Purdue Pharma hearings begin on $7.4 billion opioid settlement plan

The Supreme Court blocked an earlier mentation of Purdue’s bankruptcy settlement.

Purdue Pharma begins respective days of hearings Wednesday to finalize a $7.4 cardinal bankruptcy restricting program that nary longer afloat protects the company’s owners, members of the Sackler families, from opioid litigation.

The U.S. Supreme Court past twelvemonth blocked an earlier mentation of Purdue’s bankruptcy settlement due to the fact that it gave the Sacklers immunity from lawsuits implicit the misleading selling of OxyContin, the painkiller that Purdue began selling successful 1996.  

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Purdue filed for bankruptcy successful 2019 aft thousands of cities, states, territories and individuals sued, alleging that the institution and its owners fueled waves of addiction and overdose deaths.

Under the caller plan, the Sacklers and Purdue boost their colony publication to $7.4 billion. The revised statement settles each civilian claims against Purdue, but idiosyncratic creditors tin take to litigate claims against the Sacklers, who person agelong argued that though they regret their company’s relation successful the nation’s opioid epidemic, they are not straight oregon personally liable for it.  

Purdue said the caller program received enactment from much than 99% of voting creditors.

“The precocious level of enactment for this Plan is gratifying aft years of aggravated enactment with our creditors to trade a colony that maximizes worth for victims and communities and puts billions of dollars to enactment for the nationalist good,” Purdue Chairman Steve Miller said successful a statement past month. “Following the result of this vote, we are focused connected preparing for the confirmation proceeding and yet the emergence of a caller institution with a public-minded mission.” 

In summation to paying billions to creditors, the program "will make important further value" by creating a caller company, Knoa Pharma, that "will supply millions of doses of lifesaving opioid usage upset treatments and overdose reversal medicines astatine nary profit," according to the Purdue statement.

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