FMCG giant Dabur’s foreign subsidiaries, Dabur International and Dermoviva Skin Essentials, have successfully been removed as defendants in numerous lawsuits filed in a US court. The legal actions alleged that these products were responsible for causing ovarian cancer, uterine cancer, and related health issues among users. However, Dabur’s third international entity, Namaste Laboratories LLC, remains entangled in legal proceedings before the US District Court for the Northern District of Illinois, according to a recent filing by Dabur on November 15.
The dismissal of Dabur International and Dermoviva Skin Essentials from the lawsuits was attributed to a lack of personal jurisdiction. The entities had no involvement in the manufacturing, marketing, distribution, or sale of hair relaxer products in the United States.
Contrastingly, Namaste Laboratories LLC is confronted with 5,400 cases in both federal and state courts across the US. This places Namaste alongside other industry players such as L’Oreal, SoftSheen/Carson, Luster Products Inc, Avion Industries, Inc., PDC Brands (Parfums de Coeur, Ltd), and Revlon, among others.
Dabur clarified that the lawsuits do not pertain to any Dabur brand or product, emphasizing that Dabur India Ltd is not a party to these legal challenges. Notably, the sale of hair relaxer products by Namaste constitutes less than 1 percent of the total consolidated turnover of Dabur India Ltd.
As of nearly 12:23 pm, Dabur’s shares exhibited a surge of 1.14%, reaching ₹532.00.