According to the filing, certain consumers in the hair relaxing product industry have alleged that some players/defendants sold and/or manufactured hair relaxing products containing certain chemicals and that the use of the hair relaxing product has caused ovarian cancer, uterine cancer and cancer. other health problems.
“Cases have been filed in both federal and state courts in the United States and Canada. The federal cases were consolidated as a Multi-District Litigation, also referred to as MDL, in the United States District Court for the Northern District of Illinois,” it said .
Currently, there are about 5,400 cases before the MDL, in which Namaste, Dermoviva and DINTL were named as defendants, along with certain other industry players, it added.
“The cases are in the pleading and early discovery phases of the litigation, meaning the parties are disputing the sufficiency of the plaintiffs’ complaints and, in some cases, exchanging requests for information and documents. Several motions are also pending,” the report said. added.
“At this stage of the trial, any financial implications resulting from the settlement or the outcome of the judgment cannot be determined,” it added.
However, the company said defense costs for the lawsuit are expected to exceed the materiality threshold in the near future.
Currently, the cases are in the plea and early discovery phases of litigation.
“Several motions are also pending. As we are in the early stages of the litigation, the final amount of the claim is neither probable nor estimable,” the report said.