PRESS RLEASE – Attorney General Dave Yost has announced that the attorneys general of 49 states, the District of Columbia and five U.S. territories have signed on to a $7.4 billion settlement with Purdue Pharma and its owners, the Sackler family.
Now that the state sign-on period has concluded, local governments nationwide will be asked to join the settlement, which is subject to the approval of a federal bankruptcy judge.
“This is another major step toward accountability and recovery,” Yost said. “The money won’t undo the damage, but it will help communities in Ohio and elsewhere continue to address and overcome the unspeakable harm.”
Under the Sacklers’ ownership, Purdue Pharma manufactured and aggressively marketed opioid products for decades, contributing to the largest drug crisis in American history.
The settlement ends the Sackler family’s control of Purdue and bars them from selling opioids in the United States.
Communities nationwide will receive settlement funds over the next 15 years to support addiction treatment and prevention as well as recovery services. In Ohio, the state and local governments will receive up to $198 million from the agreement.
As with previous opioid settlements, the resolution of claims by state and local governments is contingent on bankruptcy court approval. A hearing on the matter is scheduled in the coming days.
Subject that final approval in bankruptcy court, the funds will be distributed according to the established OneOhio plan: 55% to the OneOhio Recovery Foundation, 30% to local governments, and 15% to the state.
This settlement marks the latest in a string of settlements that Attorney General Yost and his staff have brokered to help fund opioid recovery in Ohio. Their previous work includes:
- An $808 million settlementwith opioid distributors Cardinal Health, McKesson and AmerisourceBergen.
- A $185 million settlementwith Johnson & Johnson and Janssen Pharmaceuticals Inc.
- A $24.7 million settlementwith McKinsey & Co.
- A $114 million settlementwith Walmart
- A $679 million settlement with drug makers Teva and Allergan and pharmacies CVS and Walgreens
Joining AG Yost in securing this settlement were the attorneys general of D.C. and every state except Oklahoma as well as the attorneys general of American Samoa, the District of Columbia, Guam, the Northern Mariana Islands, Puerto Rico and the U.S. Virgin Islands.