By Natalia Rueda 
Avon, a brand known for its door-to-door sales and beloved by millions for its wide range of beauty products, has recently filed for bankruptcy. The escalating debacle involving lawsuits claiming that their talc products cause cancer added a heap of strain on their already burdened financial situation. This beauty industry titan has reportedly incurred a debt tallying up to a staggering 1 billion.
Court documents reveal that Avon has spent a staggering $225 million on legal costs related to 386 individual personal injury lawsuits and settlements related to its talcum-based powders. This figure is expected to rise as more individual lawsuits are filed against the company, if no permanent resolution is reached.
Avon is not the only company facing this issue, as fellow beauty titan Johnson & Johnson has also attempted to settle lawsuits surrounding the use of talcum powder through bankruptcy filing. This trend highlights the need for stricter regulations and greater accountability in the cosmetics industry.
The potential dangers of talc in cosmetics have been a growing concern, with studies linking it to ovarian cancer and mesothelioma. As Avon’s international operations, acquired by Natura & Co in 2020, are included in the bankruptcy filing, it is clear that the decline of the once iconic brand serves as a warning to others in the industry.
Natura & Co has offered to buy Avon’s assets for $125 million and write off $530 million in debt, in addition to providing an additional $43 million to fund the bankruptcy process.
With information from Vanguardia