Purdue Pharma's OxyContin sales were approximately $44 million in 1996, rising to a total of $3 billion in 2001 and 2002 (more than 14 million prescriptions filled). The Sackler family company spent about $200 million in 2001 alone to aggressively market the highly addictive opioid to doctors, claiming its delayed-release mechanism could limit the risk of addiction. Netflix's Painkiller is a fictionalized retelling of events that charts the origins and consequences of America's opioid crisis - a crisis that Purdue Pharma is widely blamed for creating. According to the series, the crisis has resulted in more than 300,000 overdose deaths over the past 20 years.
However, despite multiple investigations and lawsuits, the company still exists in 2023 - albeit in a different form than the one shown in the Netflix limited series. No member of the Sackler family has been criminally charged in connection with the marketing of OxyContin or any overdose deaths involving the drug. In March 2019, New York Attorney General Letitia James filed a lawsuit against opioid manufacturers, including Purdue Pharma and members of the Sackler family. Purdue Pharma filed for Chapter 11 bankruptcy in September 2019 as more than 2,600 federal and state lawsuits mounted.
James announced the settlement of the lawsuit in July 2021, declaring that the agreement would "first shut down Purdue Pharma and end the Sackler family's ability to ever manufacture opioids again." The lawsuit's resolution also demanded that the Sackler family The Le family will pay $4.5 billion over the next nine years, primarily for drug addiction treatment and prevention programs.
Critics of the settlement took issue with a condition that largely absolves Purdue of opioid-related liability, The New York Times reported. U.S. Bankruptcy Court Judge Robert Drain approved the settlement in September 2021 in White Plains, N.Y., effectively ending state and local governments, tribes, hospitals and individuals in the aftermath of the deadly public health crisis. Thousands of lawsuits filed against the company. The New York Times reports that the Sacklers will remain one of the richest families in the United States, with the Netflix series noting that the family is "believed to be" worth more than $11 billion.
They appealed despite a lower court ruling in December 2021 that Purdue Pharma's bankruptcy agreement to block future opioid-related lawsuits against the Sackler family was inappropriate. In May 2023, a federal appeals court in New York ruled in favor of Purdue Pharma's bankruptcy plan, shielding the Sackler family from future litigation.
In August 2023, Purdue Pharma's website stated that they "continue to be fully operational," offering prescription opioids as well as laxatives, preservatives and dietary supplements through a subsidiary called Avrio Health. However, as part of a post-bankruptcy reorganization plan, there will be significant changes ahead, including a new company name. Once the program is completed, "worth billions of dollars in victim compensation, opioid crisis relief and overdose rescue medications," according to the company, "Purdue Pharma will cease to exist and most of Purdue Pharma will The assets will be transferred to a new company called Knoa Pharma. "While the company has no specific timeline for when the changes will take effect, the Sackler family will have no involvement in Knoa Pharma's operations.
The bankruptcy case hit another roadblock on August 10, when the U.S. Supreme Court struck down a reported $6 billion settlement that would have given the Sackler family immunity, CNN reported . "We are confident in the legality of the restructuring plan, which enjoys near-universal support, and are optimistic that the Supreme Court will agree," a Purdue Pharma representative said in a statement to the media. "Even so, we remain Disappointed that the U.S. Trustee, despite having no concrete interest in the outcome of this process, is able to single-handedly delay billions of dollars’ worth of services that should be used to compensate victims and alleviate the opioid crisis for communities across the country, And overdosed on rescue medication.”
Deputy Attorney General Elizabeth Prelogar argued in court papers that Purdue's settlement is "exceptional and unprecedented," noting that the release is "absolute, unconditional, irrevocable, complete, final, and "Forever and permanently indemnify the Sackler family from all possible types of opioid-related civil claims" - even claims based on fraud and other forms of willful misconduct, which would be subject to bankruptcy if the Sackler family filed for bankruptcy in their individual capacity. The claim cannot be discharged either. "
While agreeing to suspend the settlement, the court also stated that it would accept the case and hear arguments in December 2023.
If you or someone you know is seeking help with substance abuse, call the SAMHSA National Helpline: 1-800-662-HELP (4357).
