Supreme Court rejects controversial Purdue Pharma bankruptcy deal

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In a 5-4 decision, the justices ruled that the multibillion opioid settlement inappropriately protected the Sackler family.

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Writing for the court majority, Justice Neil Gorsuch said that U.S. bankruptcy law doesn't afford bankruptcy courts the kind of power needed to block lawsuits against parties who haven't filed for bankruptcy. Writing for the dissenters, Justice Brett Kavanugh wrote that the ruling disrupts a deal that would have funneled money to communities and victims of the opioid crisis.

 

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