Pharmaceutical company Bayer took over weed killer Roundup in its acquisition of US agrochemical company Monsanto back in 2018. However, it has since been hit with thousands of cancer-related Roundup cases.
ADVERTISEMENTGerman agricultural and pharmaceutical giant Bayer has been instructed by a state court in the US state of Georgia to shell out $2.1 billion (€1.9bn) in a case regarding its Roundup weed killer, according to reports.
This is one of the biggest Roundup-related settlements Bayer has faced so far and was ordered by the State Court of Cobb County. It includes $2bn (€1.9bn) in punitive damages, as well as $65 million (€60m) in compensatory damages.
Bayer’s share price plunged 6.4% on the Frankfurt stock exchange on Monday morning.
The case was brought by a plaintiff who believed that the weed killer was responsible for his non-Hodgkin lymphoma. Roundup has been heavily criticised as it is based on the herbicide glyphosate, which may cause cancer, although Bayer has consistently maintained that this is not the case.
Another impacted consumer, William B O’Neil, CEO of O’Neil Strategic Solutions, said in a LinkedIn post: “I used Bayer’s Roundup for decades. It was a great way to kill weeds easily and if you had a larger lot, or lots, it made quick work of it too.”
“The problem is, it was marketed as a safe and efficient chemical around the home,” O’Neil explained.
“Like many others, I would strap a tank on my back and pump spray around the properties. No mask, no gloves. Now cancer. I was diagnosed with large b-cell non-Hodgkin’s lymphoma.”
The company has already shelled out around $10bn (€9.2bn) so far in cancer-related Roundup cases, however, thousands of other cases against the weed killer are still waiting to be settled. For these remaining cases, Bayer has reserved about $5.9bn (€5.4bn) for legal costs.
However, there are concerns about Bayer’s ability to pay similar settlements for these pending cases, given the sheer volume of cases.
Bayer has revealed that it will be appealing the verdict, citing scientific evidence, as well as the consensus of global regulatory bodies. The company also believes that the compensatory and punitive damages are too high while also being unconstitutional and will try to get them either decreased or removed completely.
Euronews has contacted Bayer for comment.
Roundup may be axed, Bayer says
Bayer has faced considerable backlash over its 2018 acquisition of US agrochemical company Monsanto, which developed Roundup. The deal was worth $63bn (€58.1bn) at the time, however, Bayer is now having to pay out several billions in Roundup-related lawsuit settlements.
This has led to the company warning US lawmakers that it could be forced to stop selling Roundup if it does not receive better protection from lawsuits claiming that the weed killer causes cancer.
It has also argued that state laws should not be invoked in lawsuits, since the federal US Environmental Protection Agency has already approved glyphosate as safe for use, along with foreign regulators.
If Bayer pulls the plug on Roundup, it could have significant consequences for US agriculture, as an overwhelming majority of cotton, corn and soybean acres currently depend on glyphosate.
