Reckitt, a consumer goods giant, is set to face a US courtroom showdown tomorrow in a class action lawsuit connected to its baby formula products. The lawsuit alleges that one of its subsidiaries, Mead Johnson, failed to warn parents that one of its infant milk formulas, Enfamil, raised the risk of developing necrotising enterocolitis (NEC), a bowel condition that is often fatal in newborn and premature infants.
Reckitt denies the claims, stating that the science and medical consensus do not support the allegations. The company is facing a combination of hundreds of lawsuits in the US district court in Illinois, where litigation is due to begin tomorrow.
The lawsuit is a significant challenge for Reckitt, with one of its rivals, Abbott Laboratories, also facing similar allegations that one of its formula products, Similac, increased the risk of NEC. According to the report, the plaintiffs’ lawyers believe this trial is a significant moment in the pursuit of justice for the families affected by NEC.
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A Reckitt spokesman said: ‘We remain confident in our position based on the facts and the science, and look forward to presenting our case at trial.’ The company stands behind the safety and efficacy of its preterm hospital nutrition products, which neonatologists recommend when clinically appropriate.
They have maintained that the science and medical consensus do not support the allegations, and they will continue to vigorously defend themselves on the facts and the science.
The lawsuits have weighed on Reckitt’s share price, which has fallen nearly 13 per cent over the past five years. Investors have fretted about the potential costs should the courts rule against Mead Johnson.
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The trial is set to begin tomorrow, and the outcome will be closely watched by investors and families affected by NEC. ‘This bellwether trial is a key moment that brings the devastated families and premature babies affected by NEC a step closer to justice,’ said Sara Papantonio at Levin Papantonio, a law firm representing the plaintiffs in tomorrow’s class action.
An Illinois court in June reversed a verdict against the firm that it had failed to warn parents that its products could cause NEC. The company has scored a victory in a similar case, when a jury in Missouri rejected claims that Mead Johnson’s formula was responsible for an infant’s NEC.
Reckitt will present its case, and the court will determine the outcome. The company’s share price will likely be affected by the ruling, and investors will be watching closely, as they have been since the lawsuits over Enfamil and Similac first began appearing in 2022.
