Virginia to receive $103.8M in national opioid settlement
Table of Contents
Virginia will receive as much as $103.8 million as part of an anticipated $7.4-billion national settlement with Purdue Pharma and its owners, the Sackler family that would resolve litigation against the two groups for their role in the nationwide opioid epidemic.
Fifty-five attorneys general, representing all eligible states and U.S. territories, agreed to sign on to the settlement, and the Sackler family has indicated its plan to do so as well, officials announced June 16.
“The Sacklers spent years fueling an epidemic that shattered families, wrecked communities, and cost hundreds of thousands of American lives,” said Virginia Attorney General Jason Miyares in a statement. “Though no amount of money will ever bring back those we’ve lost or undo the incomprehensible level of harm caused, these settlement funds will be invested in treatment, prevention, and recovery efforts across Virginia, helping our communities heal and saving lives.”
Virginia will receive its payments during the next 15 years and will invest the money into local prevention, treatment, and recovery efforts, according to Miyares.
Under the Sacklers’ ownership, Purdue made and aggressively marketed opioids for decades, fueling the largest drug crisis in American history. The settlement ends the Sacklers’ control of Purdue and their ability to sell opioids in the United States.
This settlement in principle is the nation’s largest settlement to date with those deemed responsible for the opioid crisis. Including this new settlement, the Virginia Office of the Attorney General has secured more than $1.1 billion in settlements for Virginia.
Most of the settlement funds will be distributed in the first three years. The Sacklers will pay $1.5 billion and Purdue will pay roughly $900 million in the first payment, followed by $500 million after one year, an additional $500 million after two years, and $400 million after three years.
As with prior opioid settlements, the settlement with Purdue and the Sacklers will involve resolution of legal claims by state and local governments. The local government sign-on and voting solicitation process for this settlement moving forward will be contingent on bankruptcy court approval. A hearing is scheduled on that matter in the coming days.
