Health Systems

Purdue Pharma reaches $7.5B settlement with US – Becker’s Hospital Review

Purdue Pharma reaches .5B settlement with US – Becker’s Hospital Review

All 50 U.S. states, the District of Columbia and U.S. territories have agreed to a $7.5 billion settlement with Purdue Pharma over its role in the opioid epidemic, NPR reported June 16. 

The agreement, filed in federal bankruptcy court in March 2025, comes after extensive litigation over the company’s marketing of the painkiller OxyContin. 

If finalized, the settlement will be paid out over 15 years. A key part of the plan includes a contribution of roughly $6.5 billion from members of the Sackler family who own Purdue. Unlike previous proposals, individuals who chose to not opt into the settlement will retain the right to pursue civil lawsuits against the Sacklers. 

“This plan will hold the Sackler family accountable for their leading role in fueling the epidemic of opioid addiction and overdoses,” said New York Attorney General Letitia James in a statement. 

The deal would also lead to the dissolution of Purdue Pharma and the formulation of a new independent public benefit company where the new entity would fund opioid treatment and prevention efforts. 

The settlement comes after five years of litigation and follows the U.S. Supreme Court’s 2024 rejection of an earlier deal that shielded the Sacklers from civil liability.  

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