The settlement facilitates the exclusion of J&J from a trial that is scheduled to start in Suffolk County this week
J&J to permanently stop manufacturing opioids across the US. (Credit: Arek Socha from Pixabay)
Johnson & Johnson (J&J) has agreed to pay $230m to New York state to resolve claims over its contribution to the opioid crisis by promoting highly addictive painkillers..
According to the New York Attorney General Letitia James, the company has agreed to allocate payments over nine years, make significant upfront payments, and permanently stop manufacturing and distribution of opioids across the US.
The settlement enables J&J to be excluded from a trial that is scheduled to start in Suffolk County on 28 June.
The proceeds from the settlement are not intended to compensate people harmed by the opioid crisis, but to mitigate the harm, and help avert future crisis.
Attorney General James said: “The opioid epidemic has wreaked havoc on countless communities across New York state and the rest of the nation, leaving millions still addicted to dangerous and deadly opioids.
“Johnson & Johnson helped fuel this fire, but today they’re committing to leaving the opioid business, not only in New York, but across the entire country.
“Opioids will no longer be manufactured or sold in the United States by J&J. We are also delivering up to $230 million to fund opioid prevention, treatment, and education efforts across New York state.”
The lawsuit was filed by the Attorney General in March 2019, to hold accountable several pharmaceutical manufacturers and distributors responsible for the opioid epidemic.
Alongside J&J, manufacturers Purdue Pharma, Mallinckrodt, Endo Health Solutions, Teva Pharmaceuticals USA, and Allergan Finance also included in the complaint. Members of the Sackler Family (owners of Purdue) and trusts they control were also included in the complaint.
Distributors including McKesson, Cardinal Health, Amerisource Bergen Drug Corporation, and Rochester Drug Cooperative were also named in the lawsuit.
As part of the settlement, J&J will also be prevented from promoting opioids or opioid products through sales representatives, sponsorships, financial support, or any other means.
The company stated that the settlement is part of with the terms of the previously announced $5bn all-in settlement agreement in principle in October last year to resolve opioid lawsuits and claims by states, cities, counties and tribal governments.
Janssen developed two prescription opioid medicines that include a patch and a crush-resistant tablet. However, the products are no longer sold in the US, the company said.