Purdue Pharma 'settles' opioids addiction allegations in $12bn deal
The US drugs firm denies aggressively marketing prescription聽painkillers while misleading doctors and patients.
Thursday 12 September 2019 12:49, UK
A drugs firm accused of contributing to an opioid addiction crisis in the US has reached a preliminary agreement to settle lawsuits brought against it.
It is estimated that Purdue Pharma, which makes a painkiller called OxyContin, could eventually pay out up to $12bn (£9.75bn).
It is alleged to have aggressively marketed prescription painkillers while misleading doctors and patients about their addiction and overdose risks.
Lawsuits claim it contributed to a public health crisis that claimed the lives of almost 400,000 people between 1999 and 2017.
Both the company and the Sackler family who own it deny any wrongdoing.
OxyContin is an opioid medication used for treatment of moderate to severe pain.
Purdue's legal strategy is said to include filing for bankruptcy, which is likely to end lawsuits filed against it, although objections could still be raised in bankruptcy court.
The deal is also said to enable Purdue to keep internal documents secret.
"The idea that Purdue might get away without having to admit any wrongdoing flies in the face of every definition of justice and accountability known to the human race. It's unconscionable," said Ryan Hampton, an advocate for people recovering from opioid addiction.
But lawyers representing more than 2,000 cities, counties and other plaintiffs, along with 23 states and three US territories are reported to be going along with the offer.
Nevertheless, more than a dozen other states remain opposed or uncommitted to the deal, meaning a court battle could still be looming.
The Sacklers have made a multibillion-dollar fortune from sales of OxyContin.
The philanthropic Sacker Trust says it has donated tens of millions of pounds to medical science, healthcare, education and the arts in the UK.
In a statement on its website, chair of the trust, Dame Theresa Sackler, said she was "deeply saddened by the addiction crisis in America".
She added: "(I) support the actions Purdue Pharma is taking to help tackle the situation, whilst still rejecting the false allegations made against the company and several members of the Sackler family."