The Supreme Court rejects a nationwide opioid settlement with OxyContin maker Purdue Pharma

The U.S Supreme Court is seen on Friday, June 14, 2024, in Washington. a nationwide settlement with OxyContin maker Purdue Pharma

“The Purdue plan was a victim-centered plan that would provide billions of dollars to the states to be used exclusively to abate the opioid crisis and $750 million for victims of the crisis, so that they could begin to rebuild their lives. As a result of the senseless three-year crusade by the government against the plan, thousands of people died of overdose, and today’s decision will lead to more needless overdose deaths.

He said he would have accepted the deal if he thought it would have made a dent in the opioid crisis. The issue for the justices was whether the legal shield that bankruptcy provides can be extended to people such as, who have not declared bankruptcy themselves. Lower courts had issued conflicting decisions over that issue, which also has implications for other major product liability lawsuits settled through the bankruptcy system.

Proponents of the plan said third-party releases are sometimes necessary to forge an agreement, and federal law imposes no prohibition against them.

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