Dabur Faces Legal Battles in U.S. & Canada
Written by Shaveta Arora, Arushi Sharma
Over 5,400 lawsuits have been consolidated into multi-district litigation, and the subsidiaries are denying liability while preparing a strong legal defense. The financial impact and defense costs remain uncertain. Learn more about these legal challenges.
Dabur India has announced that its subsidiaries are facing lawsuits in the US and Canada from customers alleging that their hair relaxer products have caused ovarian and uterine cancer, among other health issues.
The company announced that the cases are in the initial stages of litigation, involving pleadings and early discovery, and that the allegations are based on an unsubstantiated and incomplete study.
Dabur has consolidated around 5,400 lawsuits against its subsidiaries, including Namaste Laboratories, Dermoviva Skin Essentials, and Dabur International, into a multi-district litigation before a U.S. District Court in Illinois.
The subsidiaries have refuted any liability and have engaged legal representation for their defense, according to the company.
Dabur India, known for its brands like Vatika Shampoo and Honitus cough syrup, stated that it is currently unable to assess the financial impact stemming from potential settlements or verdicts. However, they anticipate that the defense costs may surpass a significant threshold in the near future.
The company did not provide additional details in response to a request made outside of regular business hours.