The big drug company Purdue Pharma will be paying billions in dollars in settlements to victims of the opioid crisis, and the family that owns the company was trying hard to isolate themselves from being responsible for paying settlements too. They got some bad news from the bankruptcy court that ruled the Sackler family cannot be protect4ed from facing litigation of their own.
Purdue tried to get bankruptcy protection two years ago as the avalanche of lawsuits started coming in, with victims claiming doctors were pushed to prescribe OxyContin. The opioid crisis has been linked to over half a million deaths in the U.S. in the past 20 years.
Attorney General Merrick Garland monitored this story, and he had this to say on Friday.
“The bankruptcy court did not have the authority to deprive victims of the opioid crisis of their right to sue the Sackler family. The department remains committed to opioid abatement efforts and supporting victims of opioid abuse.”
Purdue sent a statement to Fox Business saying they would fight the ruling.
“While the district court decision does not affect Purdue’s rock-solid operational stability or its ability to produce its many medications safely and effectively, it will delay, and perhaps end, the ability of creditors, communities, and individuals to receive billions in value to abate the opioid crisis. These funds are needed now more than ever as overdose rates hit record-highs, and we are confident that we can successfully appeal this decision and deliver desperately needed funds to the communities and individuals suffering in the midst of this crisis.”
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