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More than 100,000 U.S. military veterans\u00a0have filed lawsuits against Minnesota-based 3M<\/a>\u00a0over hearing damage linked to what they claim are defects in the company\u2019s military-grade earplugs. The company faces billions of dollars in potential costs from legal settlements or trials after soldiers alleged they returned from war with hearing damage due to the earplugs, which the government bought for around $7.63 a pair.<\/u><\/u><\/span><\/p>\n 3M is set to begin court-ordered negotiations next month with lawyers representing soldiers who used the earplugs. The lawsuits are weighing on 3M shares, analysts said, and signal a warning to other manufacturers that liability risks may outweigh the gains from making protective products.<\/span><\/p>\n Earplug cases from across the country, involving dozens of lawyers, have been consolidated into a multidistrict litigation based in Florida. There are currently around 107,000 active cases and an additional 127,000 cases that could move over to the active list if filing fees are paid and other steps are taken.<\/u><\/u><\/span><\/p>\n 3M said the earplugs work when soldiers are given proper training and use them as intended. The company also claimed it has a legal protection known as a government contractor defense, meaning that a supplier can\u2019t be held liable for manufacturing a product that the government requested.<\/p>\n Eric Rucker, a 3M attorney, said the military is continuing to use newer versions of the 3M earplugs. \u201cThe product does work,\u201d he said. \u201cIt was designed based on our collaboration with the military.\u201d<\/p>\n Bryan Aylstock, the court-appointed lead lawyer for the plaintiffs, said soldiers have hearing damage and ringing in the ears, known as tinnitus, after using the product. \u201cThis is a bad earplug,\u201d he said. \u201cMost juries look at the evidence and they award significant damages.\u201d<\/p>\n Soldiers are given a hearing exam when they first join the military and annual exams afterward, which allows their hearing damage to be documented. At issue in the cases is whether soldiers\u2019 hearing issues are due to allegedly faulty earplugs, not wearing them enough, or something else entirely.<\/p>\n The lawsuits, which also include a smaller number of consumers and police plaintiffs, started after 3M settled a case with the Justice Department. In July 2018, 3M agreed to pay $9.1 million to the U.S. government to resolve allegations that it knowingly sold the earplugs to the military without disclosing defects. 3M denied any wrongdoing or liability.<\/p>\n Earlier this year, 3M appealed the ruling of a federal judge in Florida that the contractor defense doesn\u2019t apply because the military didn\u2019t offer reasonably precise specifications for the product. The U.S. Chamber of Commerce has supported 3M\u2019s appeal, saying that weakening of the contractor defense could deter companies from making products for the military.<\/p>\n