NEW YORK (AP) — A nearly unanimous support is expected from various parties, including Native American tribes, for a bankruptcy court judge to approve a settlement plan aimed at concluding thousands of lawsuits against Purdue Pharma, the maker of OxyContin. If U.S. Bankruptcy Judge Sean Lane agrees, it will mark a significant moment in the ongoing opioid crisis litigation, which has claimed nearly 900,000 lives in the U.S. since 1999.
This hearing, now in its third day, could put an end to a complex legal saga that has seen Purdue Pharma facing claims totaling trillions of dollars since filing for bankruptcy protection six years ago.
The Opposition is Quieter This Time
This round of negotiations has seen considerably less opposition than previous settlements. Out of over 54,000 personal injury victims who voted on whether to accept the plan, only a fraction opted out. The consensus reflects a shift among governmental entities, as they seek closure amid the devastating impact of the opioid epidemic on communities, including indigenous populations who have suffered immensely.
A handful of objectors made their voices heard during the court proceedings, with some advocating that the settlement funds should be exclusively for victims, while others called for criminal liability against members of the Sackler family. Nonetheless, the majority support indicates a growing inclination among affected parties to seek resolution rather than prolonged litigation.
Implications of the Settlement
The Purdue settlement, potentially ranking among the largest in opioid litigation history, requires Sackler family members to contribute up to $7 billion, with provisions to cease their involvement in opioid sales globally. The company will change its name and implement oversight to redirect profits toward combating the opioid crisis.
Critics like Pamela Bartz Halaschak, a victim advocate, argue the settlement falls short of true accountability for Purdue’s role in the epidemic. There exists widespread concern regarding the financial restitution available to victims and the efficacy of funds allocated toward recovery efforts.
Provisionally, around $850 million is set aside for individuals harmed by Purdue's opioids, with non-compensatory provisions targeting systemic change. The settlement aims for transparency, as many company documents will be released, which were previously shielded under attorney-client privilege.
A Call for Genuine Recovery
Many affected individuals, while acknowledging the steps taken by the settlement, remain skeptical about whether such financial compensations genuinely address the long-term impacts of addiction on communities. The case continues to highlight the urgent need for sustainable solutions focused on prevention, recovery, and cultural healing within the communities disproportionately affected by the opioid crisis.
