Johnson & Johnson (JNJ) was the worst performer within the Dow after the pharmaceutical and medical system maker failed for a second time to acquire courtroom approval to deal with legal responsibility claims associated to its talcum powder via chapter.

US Chapter Court docket Decide Michael Kaplan in New Jersey rejected the corporate’s proposal, ruling that the lawsuits didn’t put the corporate in rapid “monetary straits.”

J&J was sued by 1000’s of plaintiffs who claimed that talcum powder gave them most cancers as a result of it contained asbestos. The corporate deliberate to take care of it by letting a brand new subsidiary, LTL Administration, tackle the liabilities and declare chapter. LTL would then pay $8.9 billion in settlements, which might finish any future liabilities.

Some plaintiffs challenged the transfer in 2021 and it was rejected by a Philadelphia courtroom earlier this yr. LTL tried once more, claiming that extra plaintiffs have been in favor. Nevertheless, Decide Kaplan mentioned he sees no purpose why LTL ought to have to mitigate Chapter 11.

J&J famous that LTL will enchantment the ruling and the corporate will vigorously defend itself towards the lawsuits, which it known as “misleading and with out advantage.”

Shares of Johnson & Johnson fell almost 4% Monday after the information, and have been in detrimental territory for many of 2023.