RICHMOND, Va. (WRIC) — In a $7.4 billion multistate settlement with members of the Sackler family and their company, Purdue Pharma, Inc. for their role in creating and perpetuating the opioid crisis, Virginia is projected to receive up to about $107.4 million over the next 15 years.
According to the Office of Attorney General Jason Miyares, under the Sacklers’ leadership, Purdue invented, manufactured and aggressively marketed opioid products for decades, “fueling waves of addiction and overdose deaths across the country.”
ABC has reported that the company introduced OxyContin, a brand name of oxycodone in the 1990s. Purdue reportedly filed for bankruptcy in 2019 after it was sued thousands of times.
The settlement reportedly ends the Sacklers’ control of Purdue and bars them from selling opioids in the U.S. The funding will go to communities throughout the country, including in Virginia, to support opioid addiction treatment, prevention and recovery programs.
This is the largest settlement to date with persons responsible for contributing to the opioid crisis, and it comes after the U.S. Supreme Court overturned a prior multistate settlement with the Sacklers and Purdue in June of 2024.
“If approved, the settlement will deliver funds to the participating states, local governments, affected individuals, and other parties who have previously sued the Sacklers or Purdue,” the Office of the Attorney General said. “A significant amount of the settlement funds will be distributed in the first three years, with the Sacklers paying $1.5 billion and Purdue paying nearly $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.”
The future of the company will be determined by a board of trustees selected by participating states in consultation with the other creditors. Purdue will continue to be overseen by a monitor and will be prevented from lobbying or marketing opioids under the settlement.
If approved, the settlement will also release more than 30 million documents related to Purdue and the Sacklers’ opioid business to the public. This includes documents relating to compliance with the 2007 State Attorneys General Consent Judgments, and after six years will make previously privileged documents public.
In 2018, the Attorney General’s Office filed suit against Purdue and related entities in Tazewell County Circuit Court, alleging that they violated the Virginia Consumer Protection Act through “a large-scale campaign of misrepresentations and deception regarding the risks of addiction and benefits of prescription opioids.”
In 2019, the Attorney General’s Office filed a motion to amend the suit to include allegations against Sackler family members.