Johnson & Johnson settlement shows the new stakes in litigation finance

Johnson & Johnson has fired shots at the litigation funding industry following the recent $14 billion settlement of its talcum powder liability. In a press release, it blamed what it said was frivolous litigation as a result, in part, of “the unregulated and surreptitious financing of product litigation by financial institutions.” The release did not name names, but J&J later told a federal court it sought the details on the plaintiffs’ backers and it was serving a subpoena on the $48.0 billion alternative asset manager Fortress Investment Group.