Purdue Pharma Is Dissolved and Sacklers Pay $4.5 Billion to Settle Opioid Claims

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Another fund will reimburse 130,485 people and families of those who have had addictions or died from an overdose, in amounts between $ 3,500 and $ 48,000. Guardians of approximately 6,550 children with a history of neonatal abstinence syndrome can receive approximately $ 7,000 each.

“They said take it or leave it,” said Ryan Hampton, who resigned Tuesday as co-chair of a federal government-appointed supervisory committee of plaintiffs.

OxyContin hit the market in 1996 at a time when doctors were being challenged to identify and manage pain, a symptom that health professionals had ignored as psychological or fleeting.

Purdue sales force swarmed across the country preaching the new gospel of pain relief to thousands of doctors who began prescribing OxyContin for both acute and chronic pain. By 2000, sales of the new drug had risen to nearly $ 1.1 billion.

But soon after, reports surfaced that OxyContin pills were stolen from pharmacies and crushed and snorted. In 2007, the company and three executives pleaded guilty to criminal charges and paid a total of $ 634.5 million to minimize the drug’s risk of addiction for doctors, regulators, and patients.

The nation has been hit by a spiraling epidemic of opioid abuse and overdose deaths. By 2014, local governments began filing lawsuits against Purdue. More plaintiffs followed, eventually suing other companies across the pharmaceutical supply chain. Members of the Sackler family became the personification of the villains of the epidemic. The Sacklers withdrew $ 10.4 billion from Purdue between 2008 and 2017, of which they say about half was paid in taxes.

In September 2019, in the face of 2,900 lawsuits, 628 of which were named the Sacklers, Purdue filed for bankruptcy restructuring that paused all claims.