PHILADELPHIA (KYW Newsradio) — Fifty-five attorneys general, including Pennsylvania's Dave Sunday, have announced a $7.4 billion settlement with Purdue Pharma and its owner, the Sackler family, regarding the company's role in the opioid epidemic.
Sunday's office says this marks the nation's largest settlement to date with individuals responsible for the opioid crisis.
“As Pennsylvania families and communities suffered during an unprecedented addiction crisis, Purdue and the Sacklers reaped the mammoth profits from their products,” Sunday said. “This monumental settlement achieves the top priority of getting as much money as quickly as possible to prevention, treatment, and recovery programs across the Commonwealth."
The settlement ends the Sacklers' ownership of Purdue and their ability to sell opioids in the United States.
It resolved pending litigation against Purdue and the Sacklers, who have acknowledged their role in contributing to the epidemic with rampant production and aggressive marketing of opioids for decades.
Most of the funds will be distributed in the first three years. Pennsylvania is estimated to receive as much as $200 million from the settlement over 15 years, depending on how many municipalities sign off on the terms.
All 50 states have approved the settlement. Sunday says his office will continue engagement with municipal leaders to ensure millions of dollars reach every corner of the state.
The local government voting process for this settlement is contingent on bankruptcy court approval. A hearing is expected in the coming days.