When someone suffers a serious injury or illness because of the negligent actions—or inactions—of an individual or company, our civil legal system allows victims to seek financial compensation for their damages and losses. This is an extremely important part of our society since it serves as a way to protect innocent injury victims from going broke and not being able to afford the care they need. Some lawsuits also expose corporate negligence and encourage better and safer future behavior overall
The following list provides an overview of some of the biggest civil lawsuit settlement amounts in American history. For more information about these or other possible legal claims, contact our Chicago personal injury lawyers for a free consultation.
The Biggest Lawsuit Ever: The Tobacco Settlement — $206 Billion
The Tobacco Master Settlement Agreement was filed in 1998 against the four largest tobacco companies in the United States and remains the largest lawsuit in history in terms of dollars involved. Defendants included Philip Morris, R. J. Reynolds, Brown & Williamson, and Lorillard.
The lawsuit was brought by attorneys general from 46 states to seek compensation for the money tobacco illnesses cost the state healthcare system. The final settlement agreement required these companies to pay at least $206 billion over 25 years.
In addition to the financial sum, the tobacco companies involved also agreed to stop certain marketing practices, to pay states for future healthcare in perpetuity, and to fund anti-smoking campaigns like Truth.
Why this case matters: This was an important case in America because it imposed major changes to the ways tobacco companies could market their products. Without this ruling, Big Tobacco's marketing practices, including targeting young people, may have continued unchecked. This settlement is thought to have prevented countless respiratory illnesses and cancers.
British Petroleum (BP) Gulf of Mexico Oil Spill — $20 Billion
After the 2010 Deepwater Horizon oil spill that wreaked havoc on the Gulf Coast, BP faced a massive class action lawsuit. A New Orleans judge gave final approval on a settlement payment nearing $20 billion dollars, which would be paid in both private and public settlements.
Why this case matters: This case ranks among one of the largest lawsuits in history because the funds were needed to cover the federal penalties for the massive environmental damage directly caused by the spill. The remaining amount went to state and local governments for recovery efforts and private settlements for victims of illnesses like cancer.
Volkswagen Emissions Scandal — $14.7 Billion
The Volkswagen emissions scandal (referred to as Dieselgate by some) began when the EPA filed a violation of the Clean Air Act against Volkswagen. The automaker intentionally programmed some engines to only activate their emission controls while undergoing testing, which falsely allowed them to pass the tests. In real-world driving, the cars produced 40 times the allowed amount of emissions.
The biggest lawsuit ever involving an automobile maker resulted in a $14.7 billion settlement that funded a buy-back program and an additional cash payment to victims.
Why this case matters: While this is one of the few cases on this list that does not directly deal with personal injury, it is worth noting that multiple studies estimated that the extra emissions created by VW led to 10 to 350 unnecessary deaths and thousands of cases of
General Motors Auto Defect Case — $4.9 Billion
Every year, millions of defective auto parts are recalled. In most cases, there are no serious issues. But an L.A. jury in 1999 ordered General Motors to pay a record $4.9 billion in damages after a family of six was trapped inside their car.
The vehicle was rear-ended, and the faulty placement of the gas tank caused the vehicle to catch fire. The victims inside suffered severe burns. The verdict was stated to allow $107 million to compensate the family for pain, suffering, and disfigurement. The additional $4.8 billion was awarded as punitive damages after finding that GM acted out of fraud or malice. A judge later reduced the award to $1.2 billion.
Why this case matters: This case exemplifies the kind of harm that negligent corporations can cause unsuspecting consumers. This verdict amount may be rare, but serious and life-altering injuries caused by defective auto parts are not.
Talcum Powder Ovarian Cancer Case — $4.69 Billion
Baby powder is a staple in many people’s lives and is something most people remember from their childhood. This explains why it was so shocking when it was revealed that not only did talc-based body powder have cancer-causing asbestos in it, but Johnson & Johnson knew about it for years and hid the fact.
As a result of J&J's actions, a jury awarded a $4.69 billion dollar payout to 22 women after they claimed the powder caused their ovarian cancer. An appeals court rejected Johnson & Johnson’s appeal but reduced the verdict to $2.12 billion.
Why this case matters: This case was extremely important because a large number of people have been using J&J’s products daily for years. Currently, there are over 19,000 active cases related to talc powder pending.
Fen-phen Diet Drugs Settlement— $3.75 Billion
In 2000, a federal judge approved a $3.75 billion settlement for victims of the diet drug known as fen-phen. The drug potentially caused fatal heart valve damage. Before the drug was removed from the market, it was used by millions of people as a weight loss aid. While not the biggest civil lawsuit settlement amount, this case shows how holding a company responsible can change commerce and protect millions of people from injury.
Why this case matters: The settlement provided funds for injury victims based on their injuries and the length of time they used the drug. Defective drugs are not limited to diet pills, unfortunately. In recent years, popular medications like Zantac, Belviq, and, most recently, Ozempic have been linked to harmful medical conditions and side effects.
Silicone Breast Implants — $3.4 Billion
In the 1990s, a group of silicone breast implant manufacturers were sued when it was found that the implants caused autoimmune and connective tissue disorders. After one manufacturer went bankrupt due to the number of cases filed against them, the victims ultimately received compensation in the form of a $3.4 billion dollar settlement.
Why this case matters: Settlements, such as in this defective medical device case, put an end to a dangerous situation. But they also call attention to current and future issues so that consumers are more informed and can make better decisions.
Actos Diabetes Drugs — $2.4 Billion
Takeda Pharmaceutical agreed to a settlement of $2.4 billion dollars after it was determined that the drug producer’s diabetes medication called Actos led to bladder cancer in some patients. It was also discovered that Takeda concealed the dangers of using their product.
Why this case matters: Sometimes, exposing the malicious acts of a corporation is the only reason changes are eventually made. Without people standing up against them, some companies would continue producing harmful medications while they are fully aware of the injuries they could cause.
Brain Injury Caused by Train Derailment — $60 Million
A gas station manager in Virginia had his life changed forever after a train derailed next to his gas station. The victim suffered from permanent injuries, including a serious traumatic brain injury, which required long-term medical care. Due to this, he was awarded $60 million dollars in total for the injuries he suffered.
Brain Injury Due to a Defective Seatbelt — $32.5 Million
A man from Orlando, Florida, suffered a traumatic brain injury after his seatbelt failed during an auto accident. The seatbelt that was supposed to protect his life ended up being defective and caused further harm.
The victim filed a lawsuit against Ford Motor Company and Mazda Motor Company. The jury awarded $32.5 million in damages, agreeing that the seatbelt was defective.
Pedestrian Hit By a Bus Suffered a Leg Amputation — $27.5 Million
A woman was awarded $27.5 million by a New York jury after she was hit by a city bus and had to have her left leg amputated as a result. The trial took four years, but in the end, the victim was awarded the compensation she needed to move on with her life after such a horrific bus accident.
Pedestrian Accident Causes Brain Injury— $22 Million
In another pedestrian accident case, a woman suffered permanent brain damage and other bodily injuries after she was hit by a commercial truck while crossing a street in New York. A jury awarded the victim $22 million in financial restitution for medical bills, pain, and suffering, and the costs of lifetime in-home care.
Abels & Annes, Chicago Personal Injury Lawyers
After reading about the largest US civil lawsuit settlement amounts, you may have questions. Our litigation team can answer your questions and review the unique circumstances involved if you or a loved one has been injured by someone's negligence. Since we offer free consultations, it won't cost you anything to speak with an experienced personal injury attorney who can explain how we can fight to protect your rights.
The dedicated and compassionate attorneys at Abels & Annes are here to help after a serious injury or accident. For a free case evaluation, call us at (312) 924-7575 or contact us through our online form.