CRA was retained on behalf of LTL Management LLC, the Debtor in a bankruptcy case to opine on the impact that talc tort litigation had on the Johnson & Johnson Consumer Inc. business unit from which it was created following a divisional merger. Dr. Gregory Bell provided written and oral testimony where he assessed the impact of the mass tort litigation on the current and future financial viability of the corporate entity and its ability to compete in the marketplace. His assessment found that the financial burden due to the talc tort litigation placed the entity into a negative earnings and cashflow position and threatened its ability to continue competing in the marketplace for consumer healthcare products.
While the claimants argued that Chapter 11 for LTL Management LLC was filed in bad faith and sought dismissal of the bankruptcy filing, the Judge denied their motion to dismiss and found in favor of the Debtor after a week-long trial that included testimony from Dr. Bell, as noted in Law360.
