3M to Pay $7.35 Billion to Settle PFAS Groundwater Claims

3M will pay up to $7.35 billion to resolve lawsuits from people claiming they were sickened by groundwater contamination from per- and polyfluoroalkyl substances. The St. Paul, Minnesota-based company announced the deal Tuesday, ending a long legal battle over compounds used in firefighting foam and consumer goods.

The settlement covers as many as 120,000 individuals who say they were harmed by exposure to PFAS. These chemicals, often called "forever chemicals" because they do not degrade naturally, contaminated water sources near military bases, airports, and other sites where the foam was deployed. 3M did not admit liability under the terms of the agreement.

Health officials and scientists have linked PFAS exposure to liver damage, immune system issues, and certain cancers. The compounds are also common in nonstick cookware, water-resistant clothing, and grease-resistant packaging. While the EPA has set strict limits on PFAS in public drinking water, those rules do not extend to private wells.

Payouts will begin with $50 million this year. From 2028 through 2033, the company will make annual payments of more than $1 billion each. 3M can make additional payments if enough plaintiffs participate, but if too few sign on, the company has the option to cancel the settlement and continue litigating the case.

William Brown, chairman of 3M, described the agreement as a "significant milestone" that reduces uncertainty for the company. The firm has previously settled other PFAS-related cases, including a $450 million deal with New Jersey for natural resource contamination and a separate agreement to pay over $10 billion to public drinking water systems. Other manufacturers, such as DuPont, Chemours, and Corteva, have agreed to settlements totaling more than $1 billion.

Fred Thompson, an attorney with Motley Rice who helped negotiate the deal for the plaintiffs, said the settlement is welcome news for thousands of victims who have sought accountability for nearly a decade. He noted that plaintiffs urgently need funds to cover mounting medical bills and other costs. Thompson added that environmental activists have long argued that manufacturers knew about the health risks of these durable chemicals long before the public did.

A federal study intended to help regulators identify which industries dump PFAS with wastewater has been stalled for two years. The review is currently awaiting approval by the White House Office of Management and Budget.