Abbott Laboratories (ABT) is now lobbying lawmakers to protect it from numerous lawsuits that argue its infant formulas can cause a severe intestinal disease in babies as well as be shielded from potential future legal actions.
The company is also considering transferring sales and distribution control of its formulas to the federal government, Bloomberg reported.
Claims against Abbott suggest that the company failed to warn that its infant formulas, such as Similac, could increase the likelihood of developing necrotizing enterocolitis, a severe inflammation of the intestinal tissue in premature babies.
An Abbott spokesperson told Bloomberg “Numerous studies and NEC authorities have made clear that preterm infant formula does not cause NEC.”
Abbott has spent millions of dollars on its lobbying effort, the news service reported, citing disclosure documents and federal records.
Baby formula maker baby formula maker Mead Johnson, owned by Reckitt Benckiser (RBGPF)(RBGLY), is also facing NEC lawsuits.
Separately, in 2022, Abbott initiated a major recall of its baby formula following reports of bacterial contamination at one of its Michigan plants.
