West Virginia

West Virginia Reaches $400 Million Opioid Deal with Distributors

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Bob Fitzsimmons, left, and Paul Farrell, attorneys for the plaintiffs, mentioned the settlement in Charleston, W.Va., on Monday.



Picture:

Kenny Kemp/Related Press

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West Virginia has reached a $400 million settlement with drug distributors

McKesson Corp.

MCK -1.71%

,

AmerisourceBergen Corp.

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ABC -1.52%

and

Cardinal Well being Inc.,

CAH -0.56%

over allegations that the businesses fueled the opioid epidemic within the state and created a well being disaster.

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The settlement, reached Monday, is the newest in a wave of others over the previous yr, together with one through which the three distributors and drug firm

Johnson & Johnson

JNJ -0.13%

agreed to pay roughly $25 billion to resolve litigation introduced by states. West Virginia had chosen to not take part in that earlier settlement.

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The $400 million settlement will likely be distributed over 12 years to greater than 100 counties and cities in West Virginia. Bob Fitzsimmons, one of many lead attorneys for the plaintiffs, stated the counties and cities will obtain roughly double the quantity they might have gotten in the event that they hadn’t pursued separate litigation with the three distributors.

“We will’t carry individuals again. We will’t reverse addictions which have occurred previously. However going ahead if we will save one particular person and one household it’s helpful,” he stated.

AmerisourceBergen stated the settlement would keep away from years of litigation whereas offering assets to communities affected by the opioid epidemic. Cardinal Well being stated in a press release that it’s dedicated to being part of the answer to the opioid epidemic and that it believes the settlement “will assist present obligatory aid to West Virginia communities in want.” A consultant for McKesson didn’t instantly reply to a request for remark.

Cabell County and town of Huntingdon, W.Va., will take part in a portion of the settlement that can go towards therapy packages however not in a smaller portion that goes on to counties. Cabell County and town had sued the three drug distributors individually, alleging that the businesses had created a public nuisance by fueling the opioid epidemic.

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Final month, a federal decide dominated in favor of the businesses and stated they couldn’t be held responsible for creating the opioid disaster within the West Virginia county and metropolis.

Write to Kris Maher at kris.maher@wsj.com

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