Virginia Announces $450 Million Settlement in Bankruptcy of Opioid Maker Endo – InsuranceNewsNet
Tentative settlement with Endo, which filed for Chapter 11 bankruptcy Tuesday night in the Southern District of New York, resolves allegations that Endo boosted opioid sales using deceptive marketing that minimized the risk of addiction and exaggerated the benefits. Endo, an Ireland-based drugmaker with its US headquarters in Malvern, Pennsylvania, makes generic and branded opioids including Percocet and Endocet, and also made Opana ER, which was taken off the market in 2017. States allege that Endo falsely promoted the benefits of Opana ER’s so-called abuse deterrent formulation, which did nothing to deter oral abuse and led to deadly epidemics of hepatitis and HIV in because of its widespread abuse by injection.
“Virginia has seen the brutal impact of the opioid epidemic in every corner of the Commonwealth. This national agreement will allow for extensive investment and remediation efforts for devastated communities. Although no prizes can be awarded to the thousands of lives lost, this settlement represents a major step in ensuring victims receive the treatment and care they need,” Attorney General Miyares said.
The resolution, which is dependent on final documentation and bankruptcy court approval, involves the following:
* Requires payment of $450 million in cash over 10 years to participating states and subdivisions.
* Requires Endo to turn over its opioid-related documents for publication online in a public records archive and pay $2.75 million for archiving expenses.
* Forever banned the marketing of Endo’s opioids.
Negotiations are led by Virginia and the following states: Maine, Massachusetts, New Hampshire, Pennsylvania, Tennessee and Vermont. The settlement is also joined by the attorneys general of Arizona, Colorado, Connecticut, Delaware, District of Columbia, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Michigan, Minnesota, Missouri, Montana, Nebraska, Nevada, New Jersey, North Carolina, North Dakota, Rhode Island, South Carolina, South Dakota, Utah, Washington, Wisconsin, Wyoming and the US Virgin Islands.
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Original text here: https://www.oag.state.va.us/media-center/news-releases/2427-august-17-2022-attorney-general-miyares-announces-450-million-nationwide-settlement-as-part- of-opioid-maker-endo-s-bankruptcy