Abbott to pay $384M to resolve infant formula contamination case
USA Today
Last updated: September 15, 2026
Abbott Laboratories has agreed to a substantial settlement of over $384 million to resolve allegations stemming from infant formula contamination issues. This agreement was announced by the Justice Department on September 14th.
- Abbott will pay $384 million to resolve federal claims related to contamination at its Sturgis, Michigan, manufacturing facility. This payment will be structured as a settlement of civil claims, avoiding further legal proceedings.
- The settlement aims to address concerns and allegations that arose from bacterial contamination found in some of Abbott's powdered infant formula products. This contamination led to recalls and significant public health concerns.
- The Justice Department's announcement highlights the resolution of these federal allegations. The financial settlement signifies a significant step in addressing the consequences of the contamination issues experienced by the company.
- The case involved investigations into the company's manufacturing practices and the subsequent impact on infant health and safety due to the contaminated formula.