Supreme Court's Battle Over Purdue Pharma's Opioid Settlement and Sackler Family Shield
The Supreme Court is considering whether to uphold a bankruptcy plan for Purdue Pharma that grants the Sackler family, who owned and operated the company during the opioid crisis, broad legal protections from civil lawsuits related to their role in the epidemic. The plan, which was approved by 95% of victims, includes a provision releasing the Sacklers from civil liability in exchange for their contribution of $6 billion for abatement of the opioid crisis. The Biden administration and some victims argue that these third-party releases are not allowed under the bankruptcy code, while several Supreme Court justices expressed concerns about unraveling the settlement agreement and the impact on victims. A decision is expected by the end of June.
