A bag of evidence containing the synthetic opioid fentanyl disguised as Oxycodone is shown during a 2020 news conference at the Fresno County Sheriff's Office in Fresno, California. (Craig Kohlruss/The Fresno Bee/Tribune News Service via Get …
AUSTIN, Texas - A $7.4 billion settlement with Purdue Pharma and its owners, the Sackler family, has taken effect, according to the Texas Attorney General's office announcement on Monday.
Texas marks this as a major step in efforts to hold the Purdue Pharma company accountable for its role in the nation’s opioid crisis.
Texas secures $286M from Purdue Pharma settlement
UKRAINE - 2023/06/06: In this photo illustration, Purdue Pharma L.P. logo is seen on a smartphone and on a pc screen. (Photo Illustration by Pavlo Gonchar/SOPA Images/LightRocket via Getty Images)
What we know:
According to the Texas Attorney General's Office, the state is expected to receive about $286.5 million from the agreement, part of more than $3 billion in opioid settlement funds secured by the state, according to Paxton’s office.
Purdue Pharma, the maker of OxyContin, filed for bankruptcy in 2019 amid mounting lawsuits and investigations by a coalition of states and territories.
Accountability for OxyContin maker
WASHINGTON, US - DECEMBER 4: A protestor holds a bottle of oxycontin during a protest outside of the U.S. Supreme Court on December 4, 2023 in Washington, DC. The Supreme Court heard arguments regarding a nationwide settlement with Purdue Pharma, th …
Texas sued the company in 2018, accusing it of deceptively marketing opioid painkillers while downplaying their risk of addiction. The settlement finally resolves the claims tied to those allegations and provides funding to states, local governments and individuals affected by opioid addiction. Most of the money will be distributed over the next three years, with payments continuing over 15 years.
Under the terms of the settlement, members of the Sackler family are permanently barred from selling opioids in the United States.
How settlement funds will address the Texas opioid crisis
MANHATTAN, NEW YORK, UNITED STATES - 2021/08/09: Oxy Dollars and prescription bottles of OxyContin seen dropped outside the courthouse. Members of P.A.I.N. (Prescription Addiction Intervention Now), Truth Pharm, and a coalition of survivors and advoc …
Big picture view:
The opioid epidemic has devastated communities across the country for decades. In Texas alone, opioid-related overdoses have claimed thousands of lives, reflecting a broader national crisis driven in recent years by the rise of fentanyl, a powerful synthetic opioid.
Texas AG Ken Paxton announces program aimed to combat opioid epidemic
The pilot program "Friday Night Lights Against Opioids" is geared toward stopping the drug epidemic among teens, especially among student-athletes.
What they're saying:
"For years, I have fought to ensure Big Pharma pays for its role in causing the opioid crisis, and this settlement is an important step in securing justice for victims," Paxton said in a statement.
State officials say the settlement funds will support addiction treatment, prevention programs and recovery services aimed at addressing the ongoing public health emergency.
Transition to Knoa Pharma
What's next:
The deal also establishes an independent monitor to help prevent the diversion of prescription opioids and requires the release of more than 30 million internal company documents.
The company’s operations have been transferred to a new entity, Knoa Pharma LLC, which will be overseen by an independent board and prohibited from marketing opioid products.
The Source: Information in this article was provided by the Texas Attorney General's Office.