The two overseas subsidiaries of FMCG firm Dabur, Dabur International and Dermoviva Skin Essentials, have been removed from the list of defendants in many lawsuits brought before a US court on allegations that the products' use contributed to uterine and ovarian cancer as well as other related health problems among consumers. But according to a filing made by the FMCG major on November 15, Namaste Laboratories LLC, its third foreign corporation, would still be prosecuted in the US District Court for the Northern District of Illinois.
The reason for the dismissal was the absence of personal jurisdiction, since neither Dabur nor Dermoviva were involved in the production, promotion, distribution, or sale of hair relaxer products within the United States.
On the other hand, along with other major players in the business including L'Oreal, SoftSheen/Carson, Lustre Products Inc., Avion Industries, Inc., PDC Brands (Parfums de Coeur, Ltd.), and Revlon, Namaste Laboratories LLC will be dealing with 5,400 lawsuits in US federal and state courts.
Dabur has emphasised that Dabur India Ltd is not a party to these claims and that the litigation has nothing to do with any of its brands or products. Less than 1% of Dabur India Ltd.'s entire consolidated turnover comes from Namaste's sales of hair relaxer products.
"We wish to inform that Dabur and Dermoviva have been dismissed as defendants in federal cases, which were consolidated as a Multi-District Litigation, before the US District Court for the Northern District of Illinois, for lack of personal jurisdiction as neither Dabur nor Dermoviva manufactured, marketed, distributed or sold hair relaxer products in the US," said Dabur India on November 15. Hence, now only Namaste remains as a defendant in these cases along with many other industry players such as L'Oreal, SoftSheen/Carson, Luster Products Inc, Avlon Industries, Inc. PDC Brands (Parfums de Coeur, Ltd), Revlon etc,Dabur added.
Dabur has emphasised that Dabur India Ltd is not a party to these claims and that the litigation has nothing to do with any of its brands or products. Less than 1% of Dabur India Ltd.'s entire consolidated turnover comes from Namaste's sales of hair relaxer products.
The claims are based on an incomplete and unsupported study that was published in the National Institute of Health journal; the Cosmetic, Toiletry & Perfumery Association in the European Union had already declared the study to be unnecessary.
Namaste has denied any liability and has retained counsel to defend against the lawsuits. Additionally, Namaste has product liability insurance cover in place to address potential damages, claims, and defense costs arising from the litigation. The company remains steadfast in its position that these lawsuits lack legal merit.
