Abbott Laboratories will pay $385 million to resolve a contaminated baby formula lawsuit

Abbott Laboratories will pay $384 million to resolve claims it sold potentially contaminated baby formula through Medicaid and WIC programs. New York will receive $9.3 million, with $5.3 million going directly to the state. The settlement follows a 2025 lawsuit alleging safety standard violations and misled inspections.

Abbott Laboratories agreed to a $385 million settlement over its 2022 recall of baby formula from its Michigan plant, which exacerbated a nationwide shortage. The settlement resolves claims from the DOJ, relators, and state attorneys general. Abbott denies fault or liability. The plant was closed due to contamination concerns but reopened by June 2022. The Biden administration took emergency measures to address the shortage.

New York Attorney General Letitia James announced a settlement with Abbott Laboratories, where the company will pay over $384 million for alleged safety violations in its baby formula products. Abbott is accused of failing to maintain safety standards from 2018 to 2022, leading to potential contamination and misuse of Medicaid and WIC funds. New York will receive over $9.3 million from the settlement.

Abbott Laboratories agreed to pay $385M to settle allegations of selling contaminated infant formula to government programs, contributing to the 2022 formula crisis. The settlement resolves False Claims Act allegations but does not establish a consumer claims process. The Justice Department emphasized the importance of adhering to health and safety standards for infant formula.

Abbott Laboratories will pay $385 million to settle contamination claims related to its Sturgis, Michigan, baby formula plant. The settlement resolves lawsuits from the Justice Department and multiple states. Abbott denies liability. The plant, which makes Similac, was closed in 2022 and reopened later that year, impacting U.S. formula supply.

Abbott Laboratories agreed to pay over $384 million to settle allegations of submitting false claims for infant formula and nutritional products. The settlement includes $348.7 million to the federal government and $35.5 million to states, resolving claims involving products made between 2018 and 2022 at facilities in Michigan and Arizona. Authorities alleged Abbott failed to meet safety and regulatory requirements, leading to potential contamination risks. The settlement does not admit liabilit