Two overseas subsidiaries dismissed as defendants in federal cases in the US: Dabur India

Dabur India on Wednesday said that two of its international subsidiaries, Dabur International and Demoviva Skin Essentials Inc have been dismissed as defendants in federal cases in the US pertaining to the hair relaxer products industry. With this development, only Namaste Laboratories LLC, another international subsidiary of the company, remains a defendant in these cases along with other industry players, it added.

The FMCG major had earlier informed that its three international subsidiaries — Dabur International Ltd, Demovival Skin Essentials Inc and Namaste Laboratories are facing lawsuits in the US.

In a BSE filing on Wednesday said, “We wish to inform that Dabur and Dermoviva have been dismissed as defendants in federal cases, which were consolidated as a Multi-District Litigation, before the US District Court for the Northern District of Illinois, for lack of personal jurisdiction as neither Dabur nor Dermoviva manufactured, marketed, distributed or sold hair relaxer products in the US.”

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“Hence, now only Namaste remains as a defendant in these cases along with many other industry players such as L’Oreal, SoftSheen/Carson, Luster Products Inc., Avion Industries, Inc, PDC Brands (Parfums de Coeur, Ltd), Revlon etc,” it added.

The company further added that Dabur India Ltd is not a party to these lawsuits and it does not concern any Dabur brand or product.

“The sale of hair relaxer products by Namaste forms less than 1 per cent of the total consolidated turnover of Dabur India Ltd,” the FMCG major added.

The company reiterated that Namaste is confident in the safety of its products and believes that these lawsuits have no legal merits. Therefore, it “denies any liability and has retained counsel to defend it in these lawsuits as these allegations are based on an unsubstantiated and incomplete study published in the journal of the National Institute of Health, which study has already been held to be redundant by the Cosmetic, Toiletry & Perfumery Association in the European Union,” it added. The company also said that Namaste has product liability insurance cover in place for any potential damages or claims.

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