In a monumental development in the fight against the opioid epidemic ravaging the United States, OxyContin maker Purdue Pharma and its billionaire owners, the Sackler family, have agreed to a sweeping $7.4 billion settlement. The deal, reached between the company, Sackler family members involved in its ownership, thousands of opioid crisis victims, and state and local governments, is one of the largest of its kind in history.
Holding Purdue Pharma and the Sacklers Accountable
Under the terms of the settlement, which still requires court approval, the Sackler family will contribute up to $7.4 billion over a 15-year period. They will also relinquish control of Purdue Pharma, the company that developed and patented the highly addictive painkiller OxyContin in 1996. Purdue will be transformed into a new entity with a board appointed by states and other plaintiffs in the lawsuits.
The funds from the settlement will be distributed among opioid crisis victims or their survivors, as well as state and local governments. The money is intended to be used for initiatives to combat the decades-long epidemic that has claimed countless lives.
The Path to the Settlement
Purdue Pharma sought bankruptcy protection in 2019 as it faced a deluge of lawsuits over its role in the opioid crisis. The lawsuits alleged that the company aggressively marketed OxyContin to doctors, downplaying the risk of addiction to the potent painkillers.
“Today, we are forcing Purdue Pharma and the Sackler family to pay $7.4 billion for their role in igniting one of the most devastating public health crises in American history,” said Connecticut Attorney General William Tong in a statement.
The Devastating Impact of the Opioid Epidemic
Many experts point to the introduction of OxyContin as a catalyst for the opioid epidemic. Since the drug hit the market, opioids have been linked to hundreds of thousands of deaths across the United States. The crisis has been especially deadly in recent years, with illicit fentanyl contributing to over 70,000 fatalities annually since 2020.
A Hard-Fought Victory for Victims and Governments
The settlement comes after the Supreme Court blocked a previous $6 billion agreement last year because it shielded Sackler family members from civil lawsuits over OxyContin. The new deal represents a significant victory for the individuals, families, and communities devastated by the opioid crisis, as well as the state and local governments that have borne the financial burden of the epidemic.
In recent years, there have been more than 100 lawsuits filed against pharmaceutical companies, distributors, and pharmacies in connection with the opioid crisis. These legal actions have resulted in settlements totaling approximately $50 billion.
The Sacklers’ Denial of Wrongdoing
Despite the settlement, the Sackler family members involved – Richard, Kathe, Mortimer Jr., Ilene, David, Theresa, and the estates of Jonathan and Beverly Sackler – continue to deny any wrongdoing. They have been vilified for their role in the privately held company, with their names removed from art galleries and universities worldwide.
Although the Sacklers are estimated to be worth billions more than they will contribute in the settlement, much of their wealth is believed to be held in offshore accounts, making it potentially impossible to access through lawsuits.
“The legal theory at the heart of the lawsuits – that Purdue and Sackler family members created a ‘public nuisance’ – is utterly devoid of merits,” claimed one branch of the family in an October 2024 filing.
Looking Ahead: Addressing the Opioid Crisis
While the Purdue Pharma and Sackler family settlement is a significant step forward in holding those responsible for the opioid epidemic accountable, much work remains to be done. The funds from the settlement will be crucial in supporting addiction treatment, prevention programs, and other initiatives to address the ongoing crisis.
As the nation continues to grapple with the devastating consequences of the opioid epidemic, it is essential that we remain vigilant in our efforts to prevent addiction, support those in recovery, and hold the pharmaceutical industry accountable for its role in this public health emergency.
The Purdue Pharma and Sackler family settlement serves as a reminder of the power of collective action and the importance of pursuing justice for those harmed by corporate greed and negligence. While no amount of money can undo the suffering caused by the opioid crisis, this settlement is a crucial step toward healing and preventing future harm.
