3M Combat Arms Earplugs Settlement Moves to Closer to Final Resolution

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HHTM
April 7, 2024

ST. PAUL, MINNESOTA – In a significant development regarding the long-running legal battle over 3M’s Combat Arms Earplugs, the manufacturing giant announced on Monday that more than 99% of claimants have agreed to participate in the settlement agreement reached last year.

According to the company’s press release, out of a staggering 293,000 total claims filed against 3M and its subsidiary Aearo Technologies, over 249,000 claimants have registered to be part of the settlement. Additionally, more than 41,000 claims have been dismissed by the courts overseeing the legal proceedings.

Once all submitted registrations have been processed and validated, 3M anticipates that the settlement’s participation level will surpass an impressive 99.9%, signifying widespread acceptance among those who alleged hearing damage from the company’s combat earplugs.

3M to Pay up to $6 Billion to Resolve Litigation

The terms of the agreement, reached in August 2023 after years of litigation, stipulate that 3M will pay a total of up to $6.0 billion between 2023 and 2029 to resolve the lawsuits, provided that all participation thresholds are met. This amount represents a pre-tax present value of $5.3 billion, for which the company had previously set aside reserves.

“This settlement marks a significant milestone in resolving the extensive litigation surrounding our Combat Arms Earplugs. While we have remained steadfast in our belief that the earplugs were effective when properly fitted, we are pleased to have reached an equitable resolution that allows us to move forward.”

–Mike Roman, 3M’s chairman and CEO

combat arms plugs 3m

THE DUAL-ENDED EAR PLUGS WERE DESIGNED TO PROVIDE TWO LEVELS OF EAR PROTECTION. ONE SIDE WAS INTENDED TO BLOCK ALL NOISES LIKE A TRADITIONAL PLUG AND THE OTHER WAS INTENDED TO PROTECT THE EARS FROM GUNFIRE AND EXPLOSIONS, BUT STILL ALLOW THE USERS TO COMMUNICATE FREELY.

The Combat Arms Earplugs, developed by Aearo Technologies before its acquisition by 3M in 2008, were designed to protect soldiers’ hearing during combat and training exercises. However, thousands of claims alleged that the earplugs were defective, leading to hearing damage and tinnitus among military personnel.

In its announcement, 3M emphasized that Aearo and the company itself are actively pursuing insurance recovery activities to offset a portion of the settlement payments. Formal processes are underway, including a lawsuit filed in Delaware and arbitration proceedings.

Legal experts have praised the settlement as a pragmatic resolution to a complex and far-reaching dispute. “Given the sheer volume of claims and the potential for protracted litigation, this settlement provides certainty and closure for both parties,” said Rachel Stein, a legal analyst at the University of Minnesota.

As the terms of the settlement agreement are implemented over the coming years, all eyes will be on 3M’s ability to navigate the legal and financial complexities while maintaining its position as a leading multinational corporation.

Source: 3M

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