Nearly $3B Secured By Texas In Opioid Settlements

Nearly $3B Secured By Texas In Opioid Settlements

Introduction

The Texas Attorney General has obtained an extra $1 billion in opioid settlement funds for the state, increasing the total settlement funds from several lawsuits to over $3 billion.

His administration recently negotiated opioid settlement settlements with Allergen, CVS, and Walgreens. Texas participated in multi-state agreements with these firms for their claimed roles in the opioid epidemic, including a $2.37 billion nationwide deal with opioid maker Allergan and a $10.7 billion settlement with pharmaceutical behemoths CVS and Walgreens.

Texas and local governments will collect more than $135 million from Allergan over a seven-year period as a result of these settlements. They will also earn more than $304 million from CVS over a 10-year period and $340 million from Walgreens over a 15-year period.

Allergen formerly manufactured Norco and Kadian-branded opioids until selling its generic opioid drugs to Teva in 2016. Several states struck cooperative deals with Allergan and Teva Pharmaceuticals last year. Teva agreed to pay Texas $150 million in cash and deliver $75 million in Narcan, a lifesaving nasal spray used to prevent opioid overdoses, including fentanyl, in a separate settlement with Texas in February.

According to the states' attorneys general, Allergan falsely promoted opioids by downplaying the risk of addiction, exaggerating their benefits, and pushing doctors to treat patients displaying indications of addiction by prescribing more opioids. Allergan is also accused of failing to maintain appropriate measures to prevent drug diversion.

The settlement agreements help to hold individuals responsible for creating and exacerbating the problem accountable, deliver justice to those who have suffered as a result of Allergan's reckless conduct, give cash to prohibit the irresponsible distribution of opioids, and assist Texans suffering addiction.

The settlement deal with Allergan calls for clinical data to be shared through a third-party archive and papers to be disclosed through a public repository. It also prevents Allergan from selling opioids, sponsoring or granting grants to third parties for opioid promotion, or lobbying on opioid-related issues.

As part of their settlement deals, CVS and Walgreens agreed to monitor, disclose, and exchange data regarding suspicious behaviour connected to opioid prescriptions, in addition to agreeing to pay the states over $11 billion in fines.

Local governments have the option to join the settlement once states do. CVS and Walgreens payouts might begin in the second half of 2023, depending on how many people sign the agreements across the country.Almost all settlement funds are to be utilized for prevention, harm reduction, treatment, and rehabilitation programmes.

So far, multi-state investigations and litigation against the pharmaceutical industry for its participation in the opioid crisis have resulted in a total payment to states of more than $50 billion.