A law firm representing ovarian cancer patients urged a New Jersey bankruptcy court to address the imbalance in the Chapter 11 case of a Johnson & Johnson talcum powder liability unit, emphasizing the need for fair representation.
Aylstock Witkin Kreis & Overholtz PLLC highlighted concerns regarding the composition of the tort committee in the bankruptcy case of LTL Management LLC, a Johnson & Johnson subsidiary handling talcum powder-related liabilities. The firm argued that while mesothelioma patients dominate the committee, ovarian cancer patients, who constitute the majority of tort creditors, lack adequate representation.
The law firm stressed the importance of ensuring equitable representation, citing federal court rules governing creditor committees. It emphasized that highlighting the disparity does not undermine the severity of mesothelioma claims but aims to rectify the underrepresentation of ovarian cancer patients.
Aylstock Witkin’s motion, initially filed on April 8, sought modification of the committee’s makeup to include representation for ovarian cancer patients. The firm reiterated its stance in a supplemental statement filed on Tuesday, reinforcing the discussions held with the court during an April 12 hearing.
Context of the Bankruptcy Case
The Chapter 11 case stems from numerous lawsuits accusing Johnson & Johnson of concealing asbestos in its talcum powder products. LTL Management was established to manage the company’s tort liabilities and filed for bankruptcy in North Carolina, later transferring the case to New Jersey.
While the U.S. Trustee’s Office attempted to address the representation imbalance by splitting tort claimants into separate committees, the original committee was set to be reinstated. The trustee and LTL Management contested the firm’s motion, arguing against direct court intervention and asserting that the reinstated committee would adequately represent all claimants.
Aylstock Witkin’s motion is scheduled for oral arguments on May 4, indicating ongoing efforts to ensure fair representation for all claimants involved in the bankruptcy proceedings.
