Purdue Pharma, states agree to new opioid settlement

Purdue Pharma, the producer of the drug OxyContin, reached a new settlement with states and droves of local governments amid a court battle over the country’s role in the opioid crisis. 

The news comes after a previous settlement was appealed by eight states and Washington, D.C., last year. 

“We’re pleased with the settlement achieved in mediation, under which all of the additional settlement funds will be used for opioid abatement programs, overdose rescue medicines, and victims,” Purdue Pharma said in a statement to The Hill.

“With this mediation result, we continue on track to proceed through the appeals process on an expedited schedule, and we hope to swiftly deliver these resources.”

The settlement, filed in U.S. Bankruptcy Court in New York, was agreed upon by the right states and D.C. after the Sackler family, which owns Purdue, said they would contribute more cash, according to The Associated Press.

The settlement puts several stipulations on the Sackler family, including issuing an apology, a cash contribution of $6 billion, giving up control of the company and releasing more company documents.

The settlement stipulates that the family cannot resist attempts to remove the Sackler name from buildings, and the agreement creates a fund of $750 million for families and survivors. 

However, a judge still needs to approve of the agreement. 

In exchange for these conditions, the Sacklers would be protected from civil lawsuits pertaining to their alleged role in the opioid crisis. The deal does not prevent the family from facing criminal charges, but the AP notes that there’s no indication that any are forthcoming. 

“The Sackler families are pleased to have reached a settlement with additional states that will allow very substantial additional resources to reach people and communities in need,” a statement from the family reads, according to the AP.

“The families have consistently affirmed that settlement is by far the best way to help solve a serious and complex public health crisis. While the families have acted lawfully in all respects, they sincerely regret that OxyContin, a prescription medicine that continues to help people suffering from chronic pain, unexpectedly became part of an opioid crisis that has brought grief and loss to far too many families and communities,” they added. 

The deal was reached between the company and the attorneys general from eight states and Washington, D.C.