In a groundbreaking move, the Supreme Court has temporarily halted a nationwide settlement with Purdue Pharma, the manufacturer of OxyContin. This settlement aimed to protect the Sackler family, who own the company, from civil lawsuits related to the devastating effects of opioids. The Biden administration requested this intervention, and the Supreme Court has also agreed to hear arguments on whether the settlement should proceed.
Under this deal, Purdue Pharma would emerge from bankruptcy as a restructured entity, utilizing its profits to combat the opioid epidemic. The Sackler family would contribute up to $6 billion towards this cause. However, an essential aspect of the agreement would shield the family from personal liability, a provision that has garnered opposition from the U.S. Bankruptcy Trustee and the Justice Department.
The Supreme Court has instructed all parties involved to address whether bankruptcy law justifies this broad protection against lawsuits from all opioid victims. The 2nd U.S. Circuit Court of Appeals previously allowed the reorganization plan to move forward. In a submission to the Supreme Court, Solicitor General Elizabeth Prelogar warned that upholding the lower court’s decision would set a troubling precedent for corporations and wealthy individuals to exploit the bankruptcy system and evade mass tort liability.
Purdue Pharma and other parties to the settlement urged the Supreme Court to refrain from involvement in the case, arguing that granting a stay would harm victims and unnecessarily delay the distribution of funds to address the opioid crisis.
While victims of the opioid crisis patiently await compensation, lawyer Ed Neiger, representing individual victims, commended the Supreme Court for recognizing the urgency of the matter and swiftly agreeing to hear the case. However, a group primarily consisting of parents who lost loved ones to opioid overdoses has expressed opposition to accepting the settlement.
In recent years, opioids, including fentanyl and other synthetic drugs, have contributed to over 70,000 fatal overdoses annually in the United States. The crisis initially escalated in the early 2000s with the widespread use of OxyContin and other potent prescription painkillers.
The Supreme Court’s intervention in this settlement marks a pivotal moment in the fight against the opioid epidemic, with potentially far-reaching implications.
Denial of responsibility! VigourTimes is an automatic aggregator of Global media. In each content, the hyperlink to the primary source is specified. All trademarks belong to their rightful owners, and all materials to their authors. For any complaint, please reach us at – [email protected]. We will take necessary action within 24 hours.
