Judge May Approve Purdue Pharmas $7B Opioid Settlement with Unanimous Support from All 50 States
3 minute readPublished: Wednesday, June 18, 2025 at 6:53 am

Purdue Pharma Settlement Faces Judge's Approval After State Agreement
A U.S. Bankruptcy Court judge is considering a revised settlement plan from Purdue Pharma, the maker of OxyContin, to resolve thousands of lawsuits related to the opioid crisis. All 50 U.S. states have unanimously agreed to the proposed settlement, which could pave the way for local governments and individual victims to vote on its approval.
The settlement, if approved, would be one of the largest in a series of legal actions over the past decade aimed at holding drug manufacturers accountable for the opioid epidemic. The agreement requires the Sackler family, former owners of Purdue Pharma, to contribute up to $6 billion over 15 years. Stakeholders, including government agencies, healthcare providers, and victims, have until September 30 to decide whether to accept the terms.
The proposed settlement differs from previous iterations, which were rejected by the U.S. Supreme Court. The revised plan allows those who do not opt into the settlement to pursue legal action against the Sackler family. The family members have already relinquished ownership of Purdue and ceased receiving distributions from its funds.
Under the agreement, the remaining entity of Purdue Pharma will be renamed, and its profits will be dedicated to combating the opioid crisis. The majority of the funds will be allocated to state and local governments to address addiction and overdose issues. Notably, over $850 million is earmarked for direct payments to individual victims, a distinction from other major settlements.
The judge's decision on the settlement is expected after a hearing scheduled for November 10, where the entire plan will be considered for approval.
BNN's Perspective:
While the unanimous agreement from all 50 states is a significant step forward, the settlement's effectiveness hinges on its implementation and the allocation of funds. The focus on direct payments to victims is a positive development, but ensuring the money reaches those who need it most and is used effectively to combat the ongoing crisis will be crucial. The settlement represents a complex legal and financial resolution to a devastating public health crisis.
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