RALEIGH – Attorney General Jeff Jackson today announced that 55 attorneys general, representing all eligible states and U.S. territories, agreed to sign on to a $7.4 billion settlement with Purdue Pharma and its owners, the Sackler family. The North Carolina Department of Justice helped lead the settlement negotiations, and the Sackler family has informed the attorneys general that it will proceed with the settlement to resolve litigation against Purdue and the Sacklers for their role in the opioid crisis. Now that the state sign-on period has concluded, local governments across the country will be asked to join the settlement contingent on bankruptcy court proceedings.
Attorney General Jeff Jackson released the following statement:
“Purdue Pharma and the Sackler family are responsible for creating the opioid epidemic that continues to take the lives of North Carolinians every single day. Our office helped lead these talks, which will bring billions to people across the state and country to help them address opioid misuse and begin and stay in recovery. And the Sacklers won’t be able to manipulate doctors and patients to start another addiction epidemic again. We’re all safer for having them out of the pharma business. Like they’ve repeatedly done, I look forward to North Carolina’s local governments signing on so we can receive our full share of the funds.”
“Counties are on the front lines of the opioid overdose epidemic – and leading the way toward recovery,” said Tare “T” Davis, President of the North Carolina Association of County Commissioners and Warren County Commissioner. “Local governments, especially counties, are best positioned to help communities prevent, treat, and recover from opioid use disorders. We’re grateful to the Department of Justice for holding accountable the companies that fueled this crisis, and proud of county leaders using settlement funds to make real, lasting impact. We urge all eligible local governments to sign on to the latest settlement agreements, so North Carolina receives every dollar it’s owed to expand lifesaving services.”
Under the Sacklers’ ownership, Purdue made and aggressively marketed opioid products for decades, fueling the largest drug crisis in the nation’s history. The settlement ends the Sacklers’ control of Purdue and their ability to sell opioids in the United States. Communities across the country will directly receive funds over the next 15 years to support addiction treatment, prevention, and recovery. This settlement in principle is the nation’s largest settlement to date with individuals responsible for the opioid crisis. North Carolina’s state and local governments will receive nearly $150 million from this settlement over the next 15 years. A breakdown of estimated payments to each local government is available here.
Most of the settlement funds will be distributed in the first three years. The Sacklers will pay $1.5 billion and Purdue will pay roughly $900 million in the first payment, followed by $500 million after one year, an additional $500 million after two years, and $400 million after three years.
Like prior opioid settlements, the settlement with Purdue and the Sacklers will involve resolution of legal claims by state and local governments. The local government sign-on and voting solicitation process for this settlement moving forward will be contingent on bankruptcy court approval. A hearing is scheduled on that matter in the coming days.
Including this new settlement, the Department of Justice has secured nearly $1.6 billion in opioid settlement funds for North Carolina, with local governments slated to receive $1.3 billion. The Community Opioid Resources Engine (CORE-NC) allows people to see how each local government is using its opioid settlement funds including payment schedules, spending plans, past spending, annual narratives, and local contacts.
Unifour counties are scheduled to receive:
Alexander: $630,583.86
Burke: $2,584,360.34
Caldwell: $1,578,044.07
Catawba: $2,562,721.51