A specific type of Supreme Court case may not always receive the attention it merits because the underlying legal issue is too complex to be clearly communicated to the general public. That type of case is Monsanto v. Durnell, which is expected to be decided by early July. The legal question of whether state-level failure-to-warn claims are preempted by federal pesticide labeling law sounds like a theoretical preemption dispute that only interests administrative law specialists. But there are huge practical stakes.

The case will decide whether Bayer, the massive German agrochemical company that acquired Monsanto in 2018, is still liable for an estimated 180,000 cancer lawsuits brought by plaintiffs who say they developed non-Hodgkin lymphoma as a result of being exposed to glyphosate, Roundup’s active ingredient. The entire American agrochemical sector will change as a result of the verdict.

Even before the legal complexities come into play, the case’s fundamental facts are simple to understand. For around 20 years, a Missouri gardener named John Durnell employed Roundup on his land. He was diagnosed with cancer. In 2019, he filed a lawsuit, claiming that Monsanto had neglected to alert him of the product’s potential for cancer. In 2023, a jury found in his favor and awarded damages of almost $1.5 million.

On the grounds that the federal regulatory framework, particularly the Environmental Protection Agency’s earlier approval of Roundup’s labels without a cancer warning, preempts the kind of state-level failure-to-warn claims that led to the Durnell verdict, Bayer filed an appeal and eventually brought the case before the Supreme Court. The plaintiffs contend that businesses can be held accountable for warnings that go beyond what the EPA has mandated and that federal law does not override state culpability.

Because so much will depend on how the Court interprets the pertinent statutory provisions, it is important to comprehend the preemption theory, which is at the heart of the legal analysis. The legal doctrine known as “federal preemption” states that in some circumstances, federal law supersedes conflicting state law. The Federal Insecticide, Fungicide, and Rodenticide Act, which creates the foundation for the EPA’s approval of product labels and evaluation of safety claims, is the main law governing pesticide labeling.

According to Bayer, the federal regulatory framework would be effectively undermined if state-level juries were permitted to impose punishment for failing to include a cancer warning when the EPA specifically assessed and approved the labels without such a warning. The plaintiffs contend that the statute expressly recognizes state law’s supplementary role, especially when state responsibility addresses harms that the federal scheme would not sufficiently address.

It is hard to exaggerate the financial stakes for Bayer. After absorbing the Monsanto product line into a balance sheet that has been clearly stressed by the cumulative legal risk, the corporation has already budgeted billions of dollars to settle a significant fraction of the current cancer lawsuits. Bayer would be subject to continuous, practically unlimited responsibility in the remaining cases if it lost at the Supreme Court. In a single stroke, a victory would end the majority of current lawsuits. In essence, the multibillion dollar settlement offer that Bayer made public before to the decision serves as a financial hedge against the worst-case scenario. The settlement’s structure, which tries to satisfy both present and future claims, shows the company’s astute assessment that, should the Court decide against it, the legal exposure may become intolerable.

There is more to the argument put forth by Bayer and the larger agrochemical sector than just corporate self-interest. The industry’s trade coalition, the Modern Ag Alliance, has contended that a negative decision would seriously jeopardize the continued use of glyphosate and other crop protection products in American agriculture. In general, the argument goes like this. Manufacturers of pesticides will be subject to basically infinite and unpredictable product liability lawsuits if they can be held accountable in state courts for warnings that the EPA did not mandate.

The industry contends that this vulnerability will compel businesses to either remove products from the market, drastically increase prices to cover litigation reserves, or relocate production to areas with reduced legal risk. According to this viewpoint, the downstream effects would include lower American crop yields, a greater reliance on imported agricultural goods, and a deterioration of the country’s infrastructure for food security.

The plaintiffs and those who support them, such as environmental groups like Earthjustice, have quite different perspectives on the matter. They contend that the federal preemption argument is essentially a legal mechanism for shielding industry profits from accountability to the people harmed by its products, and that the agrochemical industry has spent decades opposing cancer warnings that the available scientific evidence supports.

The 2015 classification of glyphosate as a likely human carcinogen by the International Agency for Research on Cancer has been challenged by industry-funded studies, but it has been validated by other independent evaluations. The plaintiffs contend that state-level liability is an essential supplement to federal regulation in situations where federal agencies have been taken over by the industries they oversee, and that businesses should be obligated to alert consumers about plausible cancer risks regardless of whether the EPA has formally mandated such warnings.

The Supreme Court’s Glyphosate Dilemma
The Supreme Court’s Glyphosate Dilemma

Because it influences the larger context in which the Court operates, the political aspect is important to consider. Glyphosate is one of the chemical substances that the MAHA movement, which has been gaining political clout in the second Trump administration, most strongly wants to be limited or removed from American agriculture. The administration has been juggling the rising coalition of health-skeptics within its own political base with the support of the conventional agricultural business. In some respects, a Supreme Court decision in favor of Bayer would simplify the administration’s political stance by eliminating the most well-known legal avenue used to contest glyphosate. On the other hand, the activist coalition that has been advocating for more stringent regulation of agricultural chemicals would be energized by a decision against Bayer.

Particularly for Bayer, the stakes are existential in ways that the corporation hasn’t always made clear. At the time, the Monsanto acquisition was widely criticized for being overpriced, and the ensuing litigation exposure has continuously beyond what Bayer’s officials expected when they closed the deal. Major institutional investors have demanded spin-offs, asset sales, and other structural adjustments to address the legal risk, and the company’s share price has been under pressure for years due to the ongoing litigation overhang.

That overhang would be significantly reduced by a positive Supreme Court decision. A negative decision might force Bayer to undergo a more significant reorganization than the company has thought of thus far. The challenges of running a company that has been operating under so significant legal ambiguity are partially reflected in the leadership changes that have marked Bayer’s recent corporate history.

The ruling’s structure will have a significant impact on American agriculture as a whole. In addition to effectively ending the current wave of glyphosate litigation, a clear decision in favor of Bayer would enable other agrochemical producers to contend that state liability for a variety of chemical products is equally preempted by their EPA-approved labels. A decision in favor of the plaintiffs would allow thousands of ongoing lawsuits to move forward, and it would probably lead to new waves of action against other agricultural pesticides where comparable legal claims may be made. Given how the issue has been argued, the middle ground—in which the Court might rule on more specific grounds that settle the Durnell case without generating broad preemption doctrine—is conceivable but less likely.

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