With courthouses closing and trials being delayed across the country, Bayer AG, manufacturer of Roundup Weedkiller, has backed out of negotiations with plaintiffs over their Roundup cancer Lawsuit settlements and may ask them to settle for significantly less money. Citing falling revenues, “considerable liquidity challenges”, and the global pandemic, Bayer is expected to ask claimants to settle for as much as 20 percent less than originally offered, according to Bloomberg’s sources.

Fortune reports that the number of plaintiffs alleging that Roundup Weedkiller caused their cancer jumped from 48,699 to 52,500 in February of this year. These Roundup cancer lawsuit settlements are the biggest concern facing Bayer Chief Executive Officer Werner Baumann. Baumann lost a vote of confidence from investors last year after the company lost several trials in the U.S., causing the company’s stock prices to plummet. According to Bloomberg, Baumann won a similar vote of confidence at an investor meeting on April 28, after the company had said they would be offering lower Roundup cancer lawsuit settlements.

New Roundup Cancer Claims

Bayer stated in their first-quarter earnings report that, as of April 14, lawsuits regarding the harm allegedly done by their glyphosate-based Roundup products now have roughly 52,500 plaintiffs claiming that Roundup caused their cancers. Bayer claims that the Roundup cancer lawsuit settlements “had made progress” through negotiations, but that “the outbreak of COVID-19 and the global pandemic significantly slowed the mediation process”. The report states that Bayer will only consider Roundup cancer lawsuit settlements that are “financially reasonable” and that put in place a “mechanism” meant to resolve any future claims in a more efficient way.

“Against the background of a looming recession and looking at, in part, considerable liquidity challenges, this applies now more than ever,” the earnings report reads.

In Feb. of this year, the company admitted for the first time that it “may incur considerable financial disadvantages” from the pending lawsuits.

COVID-19 Effects on Roundup Cancer Lawsuit Settlements

According to Bloomberg’s sources, Bayer has claimed that the effects of COVID-19 on their business could cause them to offer less money in Roundup cancer lawsuit settlements. This statement comes into conflict with their reported “good start to 2020”. 

“With our life science product portfolio in the areas of health and nutrition, we have shown our ability to successfully continue our business operations in a challenging environment and deliver a positive contribution for our stakeholders even during a time of crisis,” Baumann was quoted in the earnings report.

This may seem like an overly optimistic statement meant for investors, but analysts agree. Sanford C. Bernstein analysts led by Gunther Zechmann told Fortune that they aren’t “overly worried about the Covid-19 impact on Bayer.” 

While Bayer’s business may not be significantly impacted in the long run, courthouses, trials, and settlement talks are being impacted now. The company began talks regarding Roundup cancer lawsuit settlements in March but has since backed out due to the pandemic, according to Fortune. This delay will likely give the company time to reassess and help keep the total amount awarded in Roundup cancer lawsuit settlements below $10 billion.

“Covid-19 dynamics, including restrictions imposed in recent weeks, have caused meeting cancellations and delayed this process,” U.S.-based Bayer spokesman Chris Loder told Bloomberg. “We cannot speculate about potential outcomes from the negotiations or timing, given the uncertainties surrounding the pandemic and the confidentiality of this process, but we remain committed to engaging” with plaintiffs regarding Roundup cancer lawsuit settlements.

If you or a loved one developed cancer after using Roundup as a farm worker or home gardener, you may have a legal claim. Legal migrant farm workers may also seek help. Learn more by filling out the form on this page for a FREE case evaluation.

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