Please ensure Javascript is enabled for purposes of website accessibility

Bayer to pay $7.25B to settle Roundup cancer lawsuits

Bayer said on Feb. 17 its Monsanto unit had reached an agreement worth as much as $7.25 billion to resolve tens of thousands of current and future lawsuits claiming that its Roundup weedkiller caused cancer. The move marks a major step for the German firm, which has spent years tackling legal risks tied to Roundup, acquired as part of its $63 billion purchase of agrochemical company Monsanto in 2018. The German company said the proposed nationwide settlement, filed on Feb. 17 in state court in St. Louis, Missouri, would establish a long-term claims program funded by capped annual payments over up to 21 years. The company is facing claims over Roundup from approximately 65,000 plaintiffs in U.S. state and federal courts. The plaintiffs say they developed non-Hodgkin lymphoma and other forms of cancer after using the weedkiller, either at home or on the job. Following the announcement, Bayer shares rose as much as 7.7% to reach their highest level since September 12, 2023. "Bayer's move will significantly reduce the legal risks. Although the settlement is very costly, it is to be welcomed as it covers future claims," Ingo Speich of Bayer investor Deka Investment said. Bayer said it expects its provisions and litigation liabilities to rise from 7.8 billion euros ($9.24 billion) to 11.8 billion euros. It anticipates around 5 billion euros in litigation-related payouts in 2026, and now expects negative free cash flow for the year. PROPOSED SETTLEMENT AIMED AT HEADING OFF FUTURE LAWSUITS Roundup is among the most widely used weedkillers in the United States. Bayer has said decades of studies have shown Roundup and its active ingredient, glyphosate, are safe for human use. The deal covers the bulk of the lawsuits, but requires a judge's approval and a minimum number of plaintiffs to opt in. It does not require Bayer to admit liability or wrongdoing and allows the company to back out if too many plaintiffs decline to participate. It is also designed to head off future lawsuits, and allows people who can prove they have been diagnosed with non-Hodgkin lymphoma and were exposed to Roundup prior to Feb. 17 to file claims to receive a portion of the settlement up to 21 years from now. The agreement was negotiated with Motley Rice, Seeger Weiss and other law firms that would represent a nationwide class of plaintiffs, if the court allows the deal to proceed. Bayer CEO Bill Anderson said on a call with investors and reporters that he is confident the proposed class action settlement will resolve the vast majority of the claims. Attorneys who negotiated on behalf of the plaintiffs said the deal represents the best path forward. Payouts will be determined by a tiered system that considers exposure, age at diagnosis and cancer type. Individuals could receive up to $198,000 or more, according to attorney Eric Holland. The company said it had separately reached confidential settlements to resolve other Roundup cases with specific law firms, although the company would not name the firms or specify the amount of those deals. SUPREME COURT TO HEAR APPEAL The Feb. 17 proposed settlement comes after the U.S. Supreme Court agreed to hear an appeal in a case that Bayer argues will sharply limit its liability in the litigation. The company said the Supreme Court case, scheduled for oral arguments at the end of April, remains essential to resolving the Roundup litigation. Bayer is arguing that consumers should not be able to sue it under state law for failing to warn that Roundup increases cancer risk because the U.S. Environmental Protection Agency has found no such risk and requires no such warning. Bayer argued that federal law does not allow it to add any warning to the product beyond the EPA-approved label. Markus Manns, portfolio manager at Bayer shareholder Union Investment, cautioned the Feb. 17 proposal was "not yet the breakthrough that many investors had hoped for." "The settlement buys Bayer time, but without a win in the Supreme Court, a new wave of lawsuits could roll over Bayer in a few years," he said. COMPANY PAID OUT $10 BILLION TO SETTLE PREVIOUS LAWSUITS The company had previously paid about $10 billion to settle most of the Roundup lawsuits that were pending as of 2020, but failed to get a settlement then covering future cases. It has had a mixed record with cases that have gone to trial. It prevailed in a series of Roundup trials, but has been hit with large jury awards in the past few years, including a $2.1 billion verdict in a case in the U.S. state of Georgia in March. The verdicts shattered both investor confidence and company hopes that the worst of the Roundup litigation was over, and put pressure on Bayer to find a comprehensive solution to the lawsuits.

Federal judges rebuke Trump ICE detention policy

Hundreds of judges around the country have ruled more than 4,400 times since October that President Donald Trump’s administration is detaining immigrants unlawfully, a Reuters review of court records found. The decisions amount to a sweeping legal rebuke of Trump’s immigration crackdown. Yet the administration has continued jailing people indefinitely even after courts ruled the policy was illegal. "It is appalling that the Government insists that this Court should redefine or completely disregard the current law as it is clearly written," U.S. District Judge Thomas Johnston of West Virginia, an appointee of President George W. Bush, wrote last week, ordering the release of a Venezuelan detainee in the state. Most of the rulings center on the Trump administration’s departure from a nearly three-decade-old interpretation of federal law that immigrants already living in the United States could be released on bond while they pursue their cases in immigration court. White House spokeswoman Abigail Jackson said the administration is "working to lawfully deliver on President Trump’s mandate to enforce federal immigration law." SOARING NUMBER OF IMMIGRANT DETAINEES Under Trump, the number of people in ICE detention reached about 68,000 this month, up about 75% from when Trump took office last year. A conservative appeals court in New Orleans last week gave the Trump administration a victory in its drive to lock up more immigrants. Just because prior administrations did not fully utilize the law to detain people “does not mean they lacked the authority to do more,” U.S. Circuit Judge Edith Jones wrote in a decision reversing rulings that led to the release of two Mexican men. Both remain free, their lawyer said. Other appeals courts are set to take up the issue in the coming weeks. Tricia McLaughlin, a Department of Homeland Security spokesperson, said the increase in lawsuits came as "no surprise" -  "especially after many activist judges have attempted to thwart President Trump from fulfilling the American people's mandate for mass deportations." The department did not respond to more specific questions about the cases and data findings in this story. With few other legal paths to freedom, immigrant detainees have filed more than 20,200 federal lawsuits demanding their release since Trump took office, a Reuters review of court dockets found, underscoring the sweeping impact of Trump's policy change. In at least 4,421 cases, more than 400 federal judges ruled since the beginning of October that U.S. Immigration and Customs Enforcement is holding people illegally as it carries out its mass-deportation campaign, Reuters found. Other cases are pending, have been dismissed because the detainee was released, or were transferred to another judicial district, which would force immigrants to file a new case. Reuters was unable to determine how many cases were moved or re-filed. Joseph Thomas, an 18-year-old high school student from Venezuela, was arrested during a traffic stop in Wisconsin in late December, while riding with his father, Elias Thomas, on his Walmart delivery route. The men are asylum seekers who entered the United States in August 2023. Both are authorized to work, their lawyer, Carrie Peltier, said. Peltier said they were stopped for “driving while brown.” Within a month, judges ordered the release of father and son. Chief U.S. District Judge Patrick Schiltz - also a Bush appointee -  ruled that Joseph had been detained illegally and ordered his immediate release. In his ruling, he said Joseph was not subject to mandatory detention, and called out a “lack of any evidence that ICE had a warrant when it detained Joseph while he was a passenger in his father’s car.” U.S. District Judge Eric Tostrud, a Trump appointee, ruled that Joseph’s father Elias was eligible for a bond hearing. “This raises an issue of statutory interpretation that courts in this District have repeatedly considered and rejected, and it will be rejected here as well,” Tostrud wrote in his order. Joseph is now taking classes online, afraid to return to school. LANDSLIDE OF LAWSUITS Habeas corpus - Latin for “you shall have the body” - emerged in the English courts in the 1300s and is enshrined in the U.S. Constitution. It provides a legal recourse for people the government has detained unlawfully. Reuters counted habeas lawsuits by gathering the dockets of every publicly filed federal court case over more than two decades from Westlaw, a legal research tool that is a division of Thomson Reuters. The records, combined with other court filings, offer the most comprehensive view to date of the scale of lawsuits moving through the U.S. justice system and of the defeats for the administration. Within the span of a few days in January, lawyers filed habeas petitions for Liam Conejo, a five-year-old Ecuadorean boy detained in the driveway of his Minnesota home; a Ukrainian man with a valid temporary humanitarian status who was detained on his way to work as a cable technician; a Salvadoran man married to a U.S. citizen and father of a 3-year-old autistic child who is also a U.S. citizen; an Eritrean hospital worker with refugee status who was arrested after letting agents into his apartment complex and a Venezuelan man who was arrested after dropping off his daughter at school. None had criminal records. DIVERTED LAWYERS, VIOLATED ORDERS The rush of lawsuits is forcing the U.S. Justice Department offices to divert attorneys who would normally prosecute criminal cases to respond to habeas cases. Using court dockets, Reuters found more than 700 Justice Department attorneys representing the government in immigration cases. Five of the attorneys each appeared on the dockets of more than 1,000 habeas cases. Partly as a result of that legal logjam, judges have found that the government has left people locked up even after judges ordered their release. In a court order issued last month in Minnesota, Schiltz said the government had violated 96 orders in 76 cases. The U.S. Attorney there, Daniel Rosen, said in a filing two days later that the cases had created an "enormous burden" for government attorneys. Similarly, U.S. District Judge Nusrat Choudhury, an appointee of Democratic President Joe Biden in New York, wrote this month that ICE violated two "clear and unambiguous orders" by flying a man to New Mexico for detention while falsely claiming he was in New Jersey and could be brought to a court hearing. A Justice Department spokesperson, Natalie Baldassarre, said the administration "is complying with court orders and fully enforcing federal immigration law." "If rogue judges followed the law in adjudicating cases and respected the government’s obligation to properly prepare cases, there wouldn’t be an ‘overwhelming’ habeas caseload or concern over DHS following orders," she said. LEGAL HURDLES In New York, advocates have waited outside immigration court to connect detained immigrants with lawyers who can file same-day habeas claims - blocking their rapid transfer to a detention center in another state. On January 16, U.S. District Judge J. Paul Oetken issued an emergency ruling for an Ecuadorean man who was detained at his court hearing, barring the government from moving him out of New York. On January 30, U.S. District Judge Andrew Carter, who like Oetken was appointed by Democratic President Barack Obama, ordered his immediate release. Still, many immigrants aren’t able to seek that relief. Some aren’t aware that they can file a habeas case. Others can’t find affordable lawyers. Judy Rall, the U.S. citizen wife of a Venezuelan detainee who has spent almost a year at the Bluebonnet detention center in Texas, said she was quoted upwards of $5,000 to file a habeas petition, which she could not afford. She and her husband have a pending immigration case based on their marriage, but the government has declined to release him while the case is being adjudicated. He has no criminal record, but the government has alleged, without providing evidence, that he has links to the Venezuelan gang Tren de Aragua. This month, her lawyer offered to take on the habeas case for free. "Our home burnt down, and I had told them I needed him to come help," she said. "I assume that is the reason."

2019 U.S. Supreme Court ruling fuels gerrymandering

Recent U.S. Supreme Court rulings allowing starkly partisan voting maps to be used in the November midterm elections crucial to Donald Trump's presidency highlight how a 2019 decision by the justices helped supercharge a political practice that polling shows most Americans oppose. The ruling by the justices in a 2019 case called Rucho v. Common Cause stripped federal courts of their power to police a practice known as partisan gerrymandering. It involves states redrawing the boundaries of electoral districts based on the partisan leanings of voters to boost a political party's candidates. The Rucho decision, according to legal experts, set the stage for the current gerrymandering arms race that began with Texas and California, whose skewed maps were preserved by the Supreme Court. It has since unfolded around the country ahead of the midterms in which Trump's fellow Republicans are fighting to retain control of both chambers of Congress. TEXAS AND CALIFORNIA MAPS The Texas legislature, at Trump's urging, drew a new map of the state's U.S. House of Representatives districts last year that aims to flip up to five currently Democratic-held seats to Republicans. That led California's legislature to redraw its voting map, aiming to flip up to five Republican-held seats to the Democrats. Those two states are the most populous in the country and, thus, have the most House seats. Heavily skewed maps also have been pursued this election cycle by Democrats in Virginia, Maryland and New York, and by Republicans in Missouri, Ohio, North Carolina and Florida. "Rucho absolutely paved the way for the current gerrymandering-fest around the country," said Harvard Law School professor Nick Stephanopoulos, a critic of the court's 2019 ruling that was decided with five conservative justices in the majority and four liberal justices dissenting. "If there were a consistent, enforceable federal limit on gerrymandering, we'd see much less - maybe close to none - of this activity," Stephanopoulos said. The court in Rucho said partisan gerrymandering is not reviewable by federal courts. Mapmaking driven primarily by race, such as voting maps intended to reduce the power of Black voters, remains illegal under Supreme Court precedent, though the justices recently made it harder to prove such claims. Republicans hold a narrow 218-214 House majority, raising the stakes for every seat in the midterms. Ceding control of either the House or Senate to the Democrats would imperil Trump's legislative agenda and open the door to Democratic-led congressional investigations targeting him and his administration. It remains to be seen whether Democrats or Republicans will prevail in the tit-for-tat fight to design a more favorable electoral landscape for their party. But public polling already suggests a clear loser: U.S. democracy. The practice of redrawing the boundaries of electoral districts is called redistricting. In an October Reuters/Ipsos poll, 61% of Americans, including 75% of Democrats and 55% of Republicans, agreed with a statement that recent redistricting plans, such as those by Texas and California, were "bad for democracy." "Voters fervently hate this," said Justin Levitt, a law professor at Loyola Marymount University in California and former White House adviser on democracy and voting rights under Democratic former President Joe Biden. "And they're right to hate it." 'POLITICIANS CHOOSING THEIR VOTERS' Although partisan gerrymandering is not new, the timing of the current battle is. Redistricting typically is carried out after the once-per-decade national census, when states are required by law to redraw districts to account for population shifts. The kind of mid-decade mapmaking happening now - not tied to a census tally - has been extremely rare since the 1960s, when the Supreme Court ruled in several major redistricting cases, University of Kentucky law professor Joshua Douglas said. "This is unprecedented in the modern era," Douglas said. The Rucho decision, Douglas added, has combined with partisan politics to produce "this race to the bottom that we're seeing today." "It's the old adage of the politicians choosing their voters, instead of the other way around," Douglas said. Stephanopoulos said, "I think extreme gerrymandering is the most anti-democratic practice in modern American politics. Fundamentally, it yields legislatures - which then enact policies - that don't reflect what the people want." Supporters of the Rucho decision hailed the justices for keeping federal courts from being thrust into the highly politicized role of picking winners and losers in redistricting fights. In most states, the legislature controls redistricting. Technological advancements over recent decades have enabled mapmakers to more precisely configure congressional districts for partisan advantage. "Gerrymandering became sort of a 'scientific' thing in the 1990s, when it could be done using computer software that enabled mappers to sort voters down to the census block level," said elections analyst J. Miles Coleman of the University of Virginia's Center for Politics. Coleman added, "I think the Supreme Court taking such a 'hands-off' approach has given partisan mappers, on both sides, even more of a mentality of 'if we can get away with pushing the envelope, why not try it?'" In the years before Rucho, federal courts struck down egregious partisan gerrymanders as so politically biased that they violated rights guaranteed by the U.S. Constitution. In the Rucho decision, Chief Justice John Roberts wrote that the court was not condoning excessive gerrymandering, which can yield election results that "seem unjust" and are "incompatible with democratic principles." Still, partisan gerrymandering is an inherently political act reserved for legislatures, not courts, whose review would appear political, Roberts said. The ruling did not apply to state courts. But while some state courts have struck down gerrymanders since Rucho, "many more state courts haven't lifted a finger," Stephanopoulos said. 'PARTISAN ADVANTAGE PURE AND SIMPLE' The Supreme Court ruled in favor of the pro-Republican Texas voting map in December and the pro-Democratic redistricting plan in California this month. In those decisions, partisanship and race were deeply intertwined. Both rulings came in cases in which challengers accused the states of using race illegally in redrawing House districts. Texas and California, in response, cited partisan motives, not racial ones. "Overwhelming evidence shows that each of California's new districts was motivated by partisanship, not race," lawyers for California Governor Gavin Newsom, a Democrat, told the justices in court papers defending the state's map. Black and Latino voters have supported Democratic candidates at significantly higher rates than Republican candidates in U.S. elections.