Abbott settles $385 million claims over Sturgis baby formula plant closure
Abbott Laboratories agreed to pay $385 million to settle lawsuits regarding the shutdown of its largest U.S. baby formula factory in Sturgis, Michigan.
Settlement covers multiple legal claims
The agreement resolves disputes involving the Justice Department and attorneys general from several states. Abbott states this payment does not admit fault or liability regarding the contamination investigation.
Regulatory tests found no bacteria
Government regulators tested unopened product from infants involved in the 2022 recall and found negative results for Cronobacter sakazakii. The company confirmed that no distributed infant formulas have ever tested positive for this bacterium.
Federal response eased shortages
The Biden administration invoked emergency rules to prioritize domestic production while airlifting formula from Europe. These actions helped address inventory issues caused by the pandemic and prior supply chain disruptions.
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