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Monday, December 9, 2019

SCOTUS rejects Arizona opioid case against Purdue Pharma & Sackler family

The U.S. Supreme Court has rejected a novel case brought by Arizona Attorney General Mark Brnovich aimed at recovering more money from privately held Purdue Pharma and the controlling Sackler family related to the company’s role in the opioid epidemic in the state.
Company lawyers argued that Arizona’s claims should be adjudicated in bankruptcy court, but Mr. Brnovich believed that the prominence of the U.S. opioid crisis justified the direct involvement of SCOTUS, a position supported by North Dakota, Ohio, Alaska, Louisiana and Utah.
The company and the Sacklers have proposed $10B and $3B, respectively, to settle all claims in the matter but half of the states have not signed on, believing that the settlement amounts should be higher.
Related tickers: Teva Pharmaceutical Industries (TEVA -0.3%), Johnson & Johnson (JNJ -0.1%), Mallinckrodt (MNK -2.1%), Endo International (ENDP -3.9%), McKesson (MCK +1.4%), Cardinal Health (CAH -0.5%), AmerisourceBergen (ABC -1%)

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