x

Society

OxyContin Maker, Government Attorneys in Settlement Talks

August 28, 2019

COLUMBUS, Ohio — State attorneys general and lawyers representing local governments said Tuesday they are in active settlement talks with Purdue Pharma, the maker of the prescription painkiller OxyContin that is facing billions of dollars in potential liability for its role in the nation’s opioid crisis.

Purdue has been cast by attorneys and addiction experts as a main villain in the crisis for producing a blockbuster drug while understating its addiction risk. A report by NBC News said the privately held company has offered to settle for $10 billion to $12 billion.

In a statement, the Stamford, Connecticut-based company said it’s prepared to defend itself but sees little good in years of “wasteful litigation and appeals.”

“Purdue believes a constructive global resolution is the best path forward, and the company is actively working with the state attorneys general and other plaintiffs to achieve this outcome,” the company said.

News of the settlement talks involving more than 2,000 lawsuits against the company and other players in the painkiller industry comes about two months before the first federal trial over the toll of opioids is scheduled to start in Cleveland.

NBC reported that Purdue presented a plan for it to declare Chapter 11 bankruptcy and then restructure into a for-profit “public benefit trust.”

Paul Farrell Jr., a lead plaintiffs’ lawyer representing local governments, said all sides remain under a gag order: “All we can confirm is that we are in active settlement discussions with Purdue.”

Attorneys general representing several states also confirmed the accelerated negotiations.

Ohio Attorney General David Yost is “actively engaged in conversations with Purdue,” said spokeswoman Bethany McCorkle, declining further comment.

Kylie Mason, spokeswoman for Florida Attorney General Ashley Moody, declined comment on details of any possible settlement but said the state will “continue to aggressively pursue justice — to ensure those companies complicit in the opioid crisis pay for the pain and suffering inflicted on our state.”

Purdue Pharma is owned by members of the Sackler family, who have given money to cultural institutions around the world, including the Smithsonian Institution, New York City’s Metropolitan Museum of Art and London’s Tate Modern. The New York Times reported late Tuesday the payout would include $3 billion from the Sackler family. In addition, the Sacklers would sell another drug company, Mundipharma, which would add $1.5 billion to the settlement.

In March, Purdue and members of the Sackler family reached a $270 million settlement with Oklahoma to avoid a state trial on the toll of opioids there.

Lawsuits filed by more than 2,000 state, local and tribal governments have cast Purdue as a chief villain in an overdose crisis that has killed more than 400,000 people in the U.S. since 2000.

The lawsuits assert the company aggressively sold OxyContin as a drug with a low chance of triggering addictions despite knowing that wasn’t true.

Purdue’s drugs are just a slice of the opioids prescribed, but critics assign a lot of the blame to the company because it developed both the drug and an aggressive marketing strategy.

“Our mission here has always been clear — make Purdue Pharma and the other manufacturers and distributors pay for what they did to Pennsylvania and its people, and put the Sackler family out of the opioid business for good,” said Jacklin Rhoads, spokeswoman for Pennsylvania Attorney General Josh Shapiro, who has staffers at the Cleveland negotiations.

___

By ANDREW WELSH-HUGGINS Associated Press

Associated Press writers Geoff Mulvihill in Cherry Hill, New Jersey, and Marc Levy in Harrisburg, Pennsylvania, contributed to this report.

RELATED

ATHENS - Greece on Tuesday announced that humanitarian aid has been sent to Cyprus via the European Civil Protection Mechanism (UCPM), at Cyprus' request.

Top Stories

Columnists

A pregnant woman was driving in the HOV lane near Dallas.

General News

FALMOUTH, MA – The police in Falmouth have identified the victim in an accident involving a car plunging into the ocean on February 20, NBC10 Boston reported.

Video

Lebanon’s Christians Feel the Heat of Climate Change in Its Sacred Forest and Valley (Vid)

BCHARRE, Lebanon (AP) — Majestic cedar trees towered over dozens of Lebanese Christians gathered outside a small mid-19th century chapel hidden in a mountain forest to celebrate the Feast of the Transfiguration, the miracle where Jesus Christ, on a mountaintop, shined with light before his disciples.

MANCHESTER, England (AP) — Pep Guardiola's confidence in Manchester City remains unshaken even after a three-game winless run.

MANCHESTER, England (AP) — After reports of player unrest, Manchester United barred journalists from a pre-game news conference with Erik ten Hag on Tuesday as the Dutchman spoke ahead of a latest crunch match for his troubled team.

NICOSIA - Cypriot President Nicos Christodoulides, during a visit to Egypt and Jordan, was expected to seek support for the idea of his island country being a conduit for humanitarian aid to Gaza during Israel’s hunt there for Hamas terrorists.

Enter your email address to subscribe

Provide your email address to subscribe. For e.g. [email protected]

You may unsubscribe at any time using the link in our newsletter.