Attorney General Jennifer Davenport announced on May 1 that a $7.4 billion settlement with Purdue Pharma and the Sackler family has become legally effective, following nearly ten years of investigations and litigation by attorneys general across the country regarding their role in the opioid crisis.
The significance of this development lies in its potential to provide substantial funds for communities affected by the opioid epidemic, as well as individuals and groups who filed claims during bankruptcy proceedings. The agreement also marks an important step in holding those responsible for contributing to what is considered one of the largest drug crises in U.S. history accountable for their actions.
“Purdue and the Sackler family hyper-charged America’s opioid epidemic through their recklessness and greed,” said Attorney General Davenport. “Money cannot erase the pain for the people who have lost loved ones to this crisis, but those responsible are being held accountable for their actions. These settlement funds must be used for education, prevention, and recovery to continue the progress made in avoiding and treating opioid addiction.”
The settlement was signed by fifty-five attorneys general representing all eligible states and territories. It permanently bars members of the Sackler family from selling opioids within the United States while delivering funds over a period of fifteen years intended for addiction treatment, prevention efforts, and recovery programs nationwide. New Jersey is expected to receive $125.4 million from these funds.
Most payments will occur within three years: more than $1.5 billion will be paid immediately by the Sacklers, followed by additional payments totaling $1.4 billion through May 2029; Purdue will also pay approximately $900 million now. With this agreement, New Jersey has secured over $1.3 billion from various opioid settlements.
As part of its terms, Purdue’s manufacturing operations will transfer immediately to Knoa Pharma LLC—an entity overseen by a board unaffiliated with Purdue—and an independent monitor will ensure safe distribution practices that minimize diversion risks while prohibiting marketing activities related to opioids.
Additionally, more than 30 million documents about Purdue’s opioid business will be made public under this deal.
According to the official website, New Jersey Attorney General Matthew Platkin aims to protect residents’ lives and property while upholding legal standards statewide; his office extends services throughout all counties and municipalities according to its website. The Attorney General’s office influences public safety through law enforcement oversight as reported online and holds statutory authority on matters involving prosecution or regulation across New Jersey according to its mandate. Services provided include state legal representation, crime lab support, victim advocacy programs,and consumer protection initiatives, functioning as a justice-focused agency serving all residents statewide as described online.
Assistant Attorney General Lara Fogel along with Deputy Attorneys General Brian DeVito and Jesse Sierant handled these matters on behalf of New Jersey.
