A federal judge in California has granted preliminary approval of a $38 million Bayer American Depositary Receipt (ADR) class action settlement. The settlement resolves claims that the pharmaceutical company and certain executives misled investors about the financial risks of acquiring Monsanto and the ensuing Roundup litigation.
The agreement is designed to compensate investors who purchased Bayer’s ADRs between May 23, 2016, and July 6, 2020. While Bayer denies wrongdoing, the settlement will provide an avenue of recovery for thousands of allegedly affected investors under U.S. securities law. This latest development in the Bayer securities lawsuit reflects the mounting consequences of Bayer’s controversial Monsanto acquisition and related Bayer Roundup investor payout disputes that continue to unfold in U.S. courts.
Case Background and Allegations
The case was brought by institutional investors, primarily the Sheet Metal Workers National Pension Fund, the International Brotherhood of Teamsters Local No. 710 Pension Fund, and the International Union of Operating Engineers Pension Fund of Eastern Pennsylvania and Delaware. They alleged that Bayer made misleading investor statements about its ability to manage the risks tied to Monsanto’s Roundup weedkiller litigation.
According to the complaint, these statements artificially inflated the value of Bayer ADRs, which means they violated federal securities laws.
The litigation centered on the Bayer-Monsanto acquisition litigation, which Bayer completed in 2018 for $63 billion. The deal brought Monsanto’s flagship product, Roundup, under Bayer’s control, but also exposed the company to billions of dollars in legal liabilities tied to claims that Roundup causes cancer.
Settlement Approval Process
On May 19, 2023, the U.S. District Court for the Northern District of California certified the class of eligible investors. And on June 27, 2025, Judge Richard Seeborg preliminarily approved the Bayer ADR class action settlement, finding the proposal “fair, reasonable, and adequate,” subject to a final hearing.
The settlement hearing is scheduled for October 30, 2025, at 1:30 p.m. at the San Francisco Courthouse, Courtroom 3, 17th Floor, 450 Golden Gate Avenue. At this hearing, the court will:
- Determine whether to grant final approval to the settlement.
- Review the proposed plan of allocation.
- Consider motions for attorneys’ fees and litigation expenses.
- Hear objections, if any, from class members.
“This is an important settlement and resolution for our clients and investors who invest in publicly traded foreign companies through the U.S. over-the-counter markets,” said the lead counsel appointed by the court, Carol Gilden, according to a June press release.
Gilden added that the resolution “will help ensure accountability of a foreign company under U.S. securities laws.”
Who Qualifies for the Settlement?
Investors are generally eligible for the Bayer ADR class action settlement if they:
- Purchased or otherwise acquired Bayer ADRs between May 23, 2016, and July 6, 2020.
- Hold valid transaction records proving their purchases.
Certain groups are excluded, including Bayer and its affiliates, company executives and directors during the class period, immediate family members of Bayer executives, and any investors who previously requested exclusion from the class (unless they opt back in).
Those who previously excluded themselves have until October 9, 2025, to opt back in and regain eligibility.
How to File a Claim
To receive a payment, class members must submit a claim form by the Bayer ADR claim deadline 2025, which falls on October 16, 2025. Claims can be submitted:
- Online: www.bayerADRsecuritieslitigation.com
- By Mail: Postmarked no later than October 16, 2025
- By Request: Via (800) 524-0614 or email [email protected] for a physical claim form
Documentation required includes broker confirmation slips, monthly account statements, or authorized broker transaction records. If you fail to file a claim, you will not receive payment but will likely still be bound by the terms of the Bayer securities lawsuit settlement.
Settlement Amounts and Payment Details
The settlement establishes a $38 million fund plus accrued interest. After deductions for attorneys’ fees, litigation expenses, taxes, and administrative costs, the remaining funds will be distributed to eligible claimants. Here’s some good-to-know information:
- Average recovery estimate: $0.15 per share (depending on the number of valid claims).
- Recognized losses: The plan of allocation details how each claim is calculated based on purchase and sale dates, sale prices, and holding periods. These formulas are explained in the full settlement notice.
- Distribution timeline: Payments will be issued only after the court grants final approval and all appeals have been resolved.
Note: Because payout depends on each investor’s trading history, exact amounts cannot be determined in advance.
Key Deadlines
Here are the important dates for investors to remember:
- October 9, 2025: Deadline to object to the settlement; Deadline to opt back in if you previously excluded yourself.
- October 16, 2025: Claim filing deadline.
- October 30, 2025: Final Settlement Hearing in San Francisco.
Failure to act by these deadlines could result in losing eligibility for compensation.
Broader Context: Bayer’s Ongoing Legal Battles
The Bayer Monsanto lawsuit settlement is one of several high-profile cases facing the German pharmaceutical and agricultural company. Since acquiring Monsanto, Bayer has faced thousands of lawsuits alleging that Roundup, the widely used weedkiller, causes cancer.
Billions of dollars have already been committed to resolving Roundup claims, and investors argue these liabilities should have been more fully disclosed before and after the Monsanto deal.
Wrapping Up: Filing Your Claim Matters
The Bayer ADR class action settlement represents a significant development in holding multinational corporations accountable under U.S. securities laws. For investors who purchased Bayer ADRs between May 23, 2016, and July 6, 2020, the opportunity to recover part of their losses is available, but only if they act before the October 2025 deadlines.
If you believe you are eligible, carefully review the settlement notice, gather your transaction records, and submit your claim form to ensure your rights are preserved.
Frequently Asked Questions (FAQ)
Anyone who purchased or acquired Bayer ADRs between May 23, 2016, and July 6, 2020, may be eligible, unless excluded under the settlement terms.
Individual payouts will vary depending on trading history, but the estimated average recovery is $0.15 per share after costs are deducted.
You will forfeit your right to payment but remain bound by the terms of the settlement.
This securities settlement addresses losses from misleading investor statements tied to the Monsanto acquisition, while separate litigation continues over Roundup product liability claims.
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