Opioid Talks Collapse As Officials Ask For $4.5Bn Guarantee
The settlement talks between state official and Pharmacy Company Purdue Pharma stopped when the officials asked for $4.5 billion as guarantee. The Sackler family that runs Purdue has about 2000 lawsuits against them. The family has rejected the $4.5 billion guarantee proposed by the state officials.
Sackler family, Purdue, state attorneys etc. have been trying different ways to avoid the trials and determine Purdue’s role in the Opioid crisis. The Opioid crisis has claimed the lives of over 400,000 American citizens over a period of 2 decades.
Back in August, Sackler family and Purdue devised a deal that valued from $10 – $12 billions which will allow them to file for bankruptcy and the profits will be given to the plaintiffs.
This breakdown has triggered the first ever opioid trial which is supposed to start from October 21. This trial is supposed to be a total legal drama which involves nearly all the states and a lot of local governments as well.
Attorneys general of the state of North Carolina, Josh Stein and Attorney general of Tennessee, Herbert Slattery have sent an email related to the issue which says that Sackler family has rejected 2 offers of payment from the authority and have not come up with any counter offers yet. The email also says that they expect Purdue to file bankruptcy soon. This E-mail was sent to different attorneys throughout the country to update them about the proceedings.
Josephine Martin who is a spokesperson for Purdue said that the negotiations are underway and the result will be focused on public interest. As of now the result of this breakdown over the Sackler family isn’t clear as they are being sued by 17 different states separately.
If the negotiations fail, it would be a massive blow for the people who have sued them. It will be one of the most complicated cases of bankruptcy as nearly every state along with around 2000 local governments will have to deal with Purdue in a bankruptcy court over the remaining assets.