Supreme Court rules against Purdue Pharma bankruptcy deal shielding family behind OxyContin

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The Supreme Court ruled Thursday that the bankruptcy code cannot shield the Sackler family -- who is behind the highly addictive pain medication OxyContin -- from lawsuits without the consent of all the affected victims.

OxyContin pills are arranged for a photo, Feb. 19, 2013, at a pharmacy in Montpelier, Vt. The Supreme Court ruled Thursday that the bankruptcy code cannot shield the Sackler family — who is behind the highly addictive pain medication OxyContin — from lawsuits without the consent of all the affected victims.Purdue Pharma, which produced the drug, filed for bankruptcy after facing litigation over the opioid epidemic.

The bankruptcy deal involved more than $6 billion in a settlement that would have shielded the Sackler family from civil liability. The U.S. Trustee for the federal government had opposed the settlement, saying that releasing the Sacklers from liability without the consent of all parties would violate the bankruptcy code. The high court granted the Trustee’s request to review the issue.

 

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