Bayer Faces Supreme Court Test Over $10 Billion Roundup Lawsuits
The US Supreme Court considered Bayer’s bid to preempt state lawsuits over Roundup, contesting a $1.25 million jury verdict under the Federal Insecticide, Fungicide, and Rodenticide Act. Bayer shares fell up to 6.5% in Frankfurt as litigation costs top $10 billion and a ruling is due by early July.
1. Supreme Court Hearing Overview
The Supreme Court heard arguments on whether federal pesticide law bars state courts from allowing Roundup cancer-risk lawsuits. Justices debated a $1.25 million Missouri verdict and whether the Federal Insecticide, Fungicide, and Rodenticide Act’s uniform labeling requirement preempts failure-to-warn claims.
2. Stock Reaction and Liability Risks
Bayer shares in Frankfurt slid as much as 6.5% following the hearing, reflecting investor anxiety over more than $10 billion in Roundup-related settlement costs. A ruling favoring preemption would cap future exposures and could influence litigation in related chemical and agricultural industries.
3. Analyst Perspectives and Timeline
Analysts still assign roughly a 70% chance that the Supreme Court will rule in Bayer’s favor, despite mixed signals from the bench. The court is scheduled to issue its decision by early July, making this a pivotal moment for Bayer’s legal and financial outlook.