The Sackler family and Purdue Pharma, maker of the addictive painkiller OxyContin, have reached a $7.4 billion settlement with a bipartisan coalition of 15 states to fuel… opioid crisisNew York Attorney General Letitia James made the announcement on Thursday.
The settlement prevents the Sackler family from selling opioids in the US and ends its control over Purdue. This comes seven months after the Supreme Court overturned a prior agreement with Purdue that would have given the Sackler family immunity from future opioid lawsuits, a provision that is not part of the new deal.
This is the largest settlement with contributors to the opioid crisis in the US. The Sackler family will pay the vast majority of the settlement – a total of $6.5 billion over 15 years – while Purdue will pay about $900 million up front, if it is approved. court.
More than half of the settlement will be distributed in the first few years, including about $3 billion from the Sacklers. The Sacklers will make an initial payment of $1.5 billion, adding $500 million after one year, $500 million after two years, and the remaining $400 million after three years.
This funding will be awarded to communities nationwide to support opioid addiction treatment, prevention and recovery programs over the next 15 years.
“Families in New York and across the country are suffering from the immense pain and loss resulting from the opioid crisis,” James said in a statement about the announcement Thursday. “The Sackler family continually attempted to profit at the expense of vulnerable patients and played a significant role in starting and fueling the opioid epidemic. While no amount of money can fully repair the damage they have done, money can This huge influx of funds will bring resources to communities that need them so we can recover.”
He said, “With the Sacklers no longer in control of Purdue, they will never be allowed to sell opioids in the United States again.”
The deal leaves Purdue in bankruptcy under the supervision of a monitor and bars the company from lobbying or marketing opioids. The states participating in the agreement will appoint a board of trustees to oversee the company and determine its future.
East purdue bankruptcy settlement It was canceled by the Supreme Court in June 2024. In a 5-4 decision, the justices said Sackler family members cannot be shielded from liability for civil claims related to the opioid epidemic. The original settlement required the Sacklers and Purdue to pay more than $4.5 billion.