Staff Reports
According to a press release from the company, Teva Pharmaceuticals, one of the largest generic medicine makers in the world, has struck an agreement in principle to settle pending litigation over its alleged role in the national opioid crisis for $4.35 billion.
The statement claims that the settlement includes a ten-year commitment to supply $1.2 billion worth of Narcan, a medication that reverses opioid overdose. Over the next 13 years, the $4.25 billion will be doled out, including $100 million set aside for Native American Tribes.
The cases, as reported by The Wall Street Journal, accuse the firm of negligently marketing opioids as medicines without disclosing the associated hazards.
According to the press release, Teva anticipates that the agreement's paperwork will be "finalized within the coming weeks." The proposal also includes an option for signatories to forgo Narcan supply in exchange for a discount of 20%.
According to the announcement, if the deal is implemented it will "resolve the vast majority of opioid-related claims and litigation" that Teva is involved in.
According to CBS News, proposed and final settlements related to the opioid problem total over $40 billion. Included in this total are the $21 billion in settlements reached by major medication distribution companies AmerisourceBergen, Cardinal Health, and McKesson, as well as the $5 billion reached by Johnson & Johnson earlier this year.
CBS News reports that in December, a jury in New York concluded that Teva was responsible for contributing to the opioid crisis in the state. Although New York is excluded from this proposed settlement, Teva stated in their press release that negotiations between Teva and New York are ongoing.
According to Teva, this preliminary agreement does not constitute a definitive settlement. According to The WSJ, Teva had previously proposed a nationwide settlement, but not enough states signed on to make the agreement binding.
For North Carolina's attorney general, Josh Stein, a final settlement "remains contingent on agreement on critical business practice changes and transparency requirements," the WSJ reports.
When reached for comment by the Daily Caller News Foundation, Teva did not immediately respond.
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