Historic Penalty for German Pharmaceutical Giant

The German pharmaceutical company Bayer has been sentenced to pay 2.1 billion dollars in the Roundup case in the United States. This penalty became one of the highest compensations ever awarded to the company. Bayer, a German pharmaceutical and chemical company, has been ordered to pay 2.1 billion dollars to a plaintiff in the United States due to the controversial herbicide glyphosate causing cancer. Bayer continues to lose lawsuits brought by individuals who claim that Roundup, a herbicide containing glyphosate, is a significant factor in cancer formation. In a court in the state of Georgia in the United States, the jury ruled on Friday for the German company to pay 2.1 billion dollars to a plaintiff who claimed that Roundup, a herbicide causing cancer and other damages, was responsible for his suffering, which includes 65 million dollars in punitive damages. The jury also found Bayer liable for not providing sufficient explanation on the potential risks of using Roundup and failing to warn plaintiffs about the dangers of the herbicide. The amount of 2.1 billion dollars is recorded as one of the highest compensations granted in lawsuits related to Roundup, a herbicide containing glyphosate, in the United States. In a statement, Bayer denied the allegations regarding glyphosate, stating that they disagreed with the jury’s decision as it contradicted overwhelming scientific evidence and the consensus of regulatory agencies and scientific evaluations worldwide. The company announced that, just like in all other cases, they will appeal the recent decision in the state of Georgia. The German company also mentioned that compensations awarded in lawsuits reaching final verdicts were generally reduced by 90% compared to the original jury rulings. Following this decision, Bayer’s shares dropped by more than 6% on the stock market today. Bayer has been facing billions of dollars in fines and compensations in lawsuits filed by those who claim that Roundup, a glyphosate-based herbicide developed by the American agricultural company Monsanto which Bayer purchased for 63 billion dollars in 2018, is a significant factor triggering cancer. While Bayer refutes the claims about glyphosate, the International Agency for Research on Cancer (IARC) classified glyphosate as carcinogenic in 2015. In 2020, Bayer announced that it was moving towards settlements in lawsuits filed against them in the United States, agreeing to pay 10.9 billion dollars to the plaintiffs. However, the company still faces over 60,000 lawsuits related to Roundup. The German company set aside 5.9 billion dollars as a legal reserve for these lawsuits.