Bayer's Monsanto must pay $185 million after state Supreme Court restores chemical leak verdict

A U.S. court has reinstated a $185 million verdict against Bayer’s Monsanto unit over chemical contamination at a Washington state school, reviving a major case involving toxic substances.

The Washington State Supreme Court on Thursday overturned a lower court’s decision that had previously thrown out the 2021 verdict in favour of three teachers from Sky Valley Education Center in Monroe. The teachers claimed they fell ill after exposure to polychlorinated biphenyls (PCBs) — industrial chemicals produced by Monsanto and now banned for their health risks.

Monsanto, acquired by Bayer in 2018, has faced numerous lawsuits from teachers, parents, and students at the Seattle-area school who allege that PCB leaks from old light fixtures caused cancer and other illnesses. More than 200 plaintiffs have filed similar claims, with earlier jury awards exceeding $1.5 billion, though several were later reduced or overturned.

In August, Bayer said it had settled all pending PCB cases except nine, which remain under appeal — including the one addressed in Thursday’s ruling.

Attorneys for the teachers, Rick Friedman and Deepak Gupta, hailed the decision as a victory for accountability:

“This ruling sends a clear message: companies that conceal the risks of toxic chemicals must be held accountable.”

Monsanto, however, criticised the outcome, saying the court’s decision was “incorrect” and that the company was considering its legal options.

The reinstated verdict could influence the outcome of other paused appeals linked to the case.

The dispute centres on PCBs — chemicals once used in electrical equipment, paint, caulking, and floor finishes — which the U.S. government banned in 1979 due to their link to cancer and other health problems. Monsanto manufactured PCBs from 1935 to 1977, and plaintiffs claim the company knew about the dangers for decades but hid the information from regulators and the public.

Bayer argues that the plaintiffs have not proven their illnesses were caused by PCBs, noting that levels detected in the school were within limits deemed safe by the Environmental Protection Agency (EPA). The company has also said the school ignored official warnings to replace ageing light fixtures.

The latest Supreme Court decision determined that Missouri law, not Washington state law, should apply — since Monsanto’s decisions regarding PCB production were made at its Missouri headquarters. That ruling reinstates the 2021 verdict and could shape how remaining cases are decided.

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