Penalty Amount
$7,400,000,000
The U.S. Bankruptcy Court confirmed a $7.4 billion settlement between Purdue Pharma, the Sackler Family, and 55 attorneys general to resolve claims over the opioid crisis. Connecticut will receive up to $64 million for treatment, prevention, and victim support. The settlement bars the Sacklers from selling opioids and requires public disclosure of documents.
Purdue and the Sacklers must pay $7.4 billion over 15 years, with early payments for opioid treatment and victim support. The Sacklers are permanently barred from the U.S. opioid market and must publicly release over 30 million documents related to their business.
In-house legal teams should review contracts with pharmaceutical entities for clauses addressing fraudulent marketing, settlement payment schedules, and court-ordered injunctions. Verify compliance with document production requirements and allocations to victim support funds. Ensure that contracts include provisions for opioid-related liabilities and multistate litigation risks.
Entity
Purdue Pharma
Industry
Healthcare"Purdue Pharma"
"$7.4 billion"
"peddled a series of falsehoods to push patients toward its opioids"
$7.4B
Connecticut Attorney General William Tong announced that Purdue Pharma will dissolve as the company’s bankruptcy concludes and a $7.4 billion settlement with Purdue and the Sackler family takes effect. The settlement permanently bars the Sacklers from selling opioids in the U.S., directs funds to addiction treatment and prevention, and requires the release of over 30 million documents related to Purdue’s opioid business. Connecticut is expected to receive $64 million from the settlement, with first payments anticipated in fall 2026.
$7.4B
New York Attorney General Letitia James announced the shutdown of opioid manufacturer Purdue Pharma as part of a $7.4 billion settlement with a bipartisan coalition of 54 other state attorneys general. The Sackler family, former owners of Purdue, are permanently barred from selling opioids in the U.S. and have no involvement in Knoa Pharma, the new public benefit corporation replacing Purdue. Purdue was sentenced on criminal charges related to its role in the opioid crisis on April 28, 2026, with the new entity operating under strict oversight and excess revenue funding opioid abatement efforts.
$29.6M
Attorney General Jennifer Davenport joined a coalition of 48 states and territories in a $29.6 million settlement with Glenmark, a generic drug manufacturer, for allegedly conspiring to artificially inflate and manipulate prices, reduce competition, and restrain trade for numerous generic prescription drugs. The settlement includes cooperation in ongoing litigations and internal reforms to ensure fair competition.
$29.6M
Attorney General William Tong led a coalition of 48 states and territories in a $29.6 million settlement with Glenmark, a generic drug manufacturer, to resolve allegations of a widespread conspiracy to artificially inflate prices, reduce competition, and unreasonably restrain trade for numerous generic prescription drugs. The settlement includes cooperation from Glenmark in ongoing multistate litigations and internal reforms to ensure fair competition and compliance with antitrust laws.
$18.0M
Attorney General William Tong led a coalition of 42 attorneys general in a settlement with the bankruptcy trustee for 23andMe, resolving allegations from a 2023 data breach that compromised the genetic data of 6.9 million customers. The settlement includes $150 million in allowed claims, with $18 million paid from bankruptcy funds, and requires enhanced data security measures for the new entity holding the data.
Attorney General William Tong joined a coalition of 12 attorneys general in suing to block the $110 billion acquisition of Warner Bros. Discovery, Inc. by Paramount Skydance Corporation. The lawsuit alleges the merger violates Section 7 of the Clayton Act by substantially lessening competition in theatrical film distribution and basic cable television licensing, which would harm consumers through higher prices and reduced quality.