ST. LOUIS — A federal judge rejected an attempt to move Monsanto’s proposed $7.25 billion settlement of Roundup cancer claims out of state court in Missouri, ruling objectors to the agreement had no power to remove the case from where it was filed.
Monsanto, a unit of German chemicals giant Bayer, is attempting to put tens of thousands of lawsuits claiming Roundup causes non-Hodgkins lymphoma behind it by offering billions of dollars to claimants and their lawyers. Monsanto maintains Roundup is safe, as does the U.S. government. The company has a pending appeal before the U.S. Supreme Court to determine if federal labeling law prevents lawsuits claiming Monsanto failed to warn consumers the active ingredient glyphosate can cause cancer.
Plaintiffs who objected to the settlement removed the case from Missouri, claiming it was a collusive agreement between Monsanto and some plaintiff lawyers that would deny thousands of other claimants their day in court. Only defendants can remove cases to federal court, however, and U.S. District Judge Henry E. Autrey ruled the case couldn’t stay in his court.
“Objectors are not defendants in the action and have no basis upon which to remove it,” the judge wrote in a brief order released June 17. “The Court, therefore lacks jurisdiction and the case must be remanded.”
Monsanto’s attempted settlement has divided plaintiff lawyers, offering some of them a quick payoff while potentially denying others anything. The company faces thousands more lawsuits in federal multidistrict litigation, where U.S. District Judge Vince Chhabria in April criticized, but refused to intervene in the state-court settlement.
Settlements that bind future claimants before they have contracted a disease are generally precluded under U.S. Supreme Court precedent. Companies have managed to end mass-tort litigation in the past, such as over silicone breast implants, by offering enough money that plaintiff lawyers settle all their cases and find it unprofitable to continue with those claims. If Monsanto wins at the Supreme Court, all pending claims may be ended.
In a statement, Monsanto praised the remand.
“This decision returns jurisdiction over the class settlement to Missouri Circuit Court where the vast majority of pending claims in the Roundup litigation have been filed,” the company said. “This decision brings much needed clarity to all parties and will enable the class approval process to continue to move forward. It also renders the related JPML proceedings moot, as this court has determined the case belongs in state, rather than federal court.
“Monsanto remains confident that the class settlement, which is supported by plaintiffs’ counsel representing tens of thousands of potential class members, is fair to all parties and the objections have no merit.”
