Sterigenics reaches $35 million settlement in Atlanta lawsuits,

Settlement follows allegations by Plaintiffs that emissions from the plant near Smyrna led to health problems in the neighboring community.

Sterigenics, the controversial medical sterilization company and its parent company have reached a $35 million settlement this week to resolve multiple lawsuits concerning its Atlanta plant.

Sterigenics has been embroiled in numerous legal disputes with Cobb County and local residents over emissions from the plant. In 2020, the company sued county officials for allegedly devaluing 5,000 properties within a 2-mile radius of the plant. Sterigenics faced hundreds of claims in the Atlanta area, with plaintiffs alleging exposure to ethylene oxide gas, a known cancer-causing agent according to the Environmental Protection Agency. The plant is authorized to use this gas for medical equipment sterilization but has faced scrutiny since 2018 when a federal report identified increased cancer risks in the plant’s vicinity. Homeowners also sued Sterigenics, claiming a decrease in their property values.

Details of the settlement, initially reported by Law360, have been filed with the U.S. Securities and Exchange Commission. The company, while agreeing to the settlement, maintains it bears no liability. The 79 plaintiffs involved must agree to dismiss their case with prejudice.

One of the lawsuits, scheduled to commence early next week in the State Court of Gwinnett County, has been put on hold due to this week’s settlement agreement between Sterigenics and the plaintiffs’ attorney representing the 79 exposure claims.

In a statement directed at investors, Sterigenics asserts that emissions from its Atlanta facility have never posed a safety hazard to the surrounding communities.

Attorney Jeff Gewirtz, who represents Cobb County homeowners and warehouse workers in various other suits against Sterigenics, clarifies that this settlement only covers a portion of the ongoing cases. Approximately 400 claims in Cobb County related to ethylene gas exposure remain pending and will proceed before cases concerning property devaluations.

Sterigenics’ statement emphasizes its intention to vigorously defend the remaining ethylene oxide cases.

In Illinois, Sterigenics and its parent company, Sotera Health Company, agreed to pay $408 million to settle lawsuits involving as many as 870 people in January of this year, as reported by the Chicago Tribune.