How much is the damage reportedly caused by the opioid epidemic worth to Utah?
Potentially $57 million, according to a proposed settlement agreement with the family that once owned Purdue Pharma and has been sued by several states to account for its role in the opioid crisis.
The Sackler family and Purdue Pharma have agreed to a combined $7.4 billion settlement, according to the Utah Department of Commerce. Utah’s share would be $57 million of it if the state agrees to the settlement. The state would use the money to “mitigate the impact of the opioid epidemic on Utahns,” according to a news release from the department.
“The opioid epidemic has ravaged families and communities across Utah, leaving a trail of heartbreak and loss. Too many lives have been stolen, and too many families have been shattered,” Gov. Spencer Cox said in a statement. “This settlement will not bring back those we’ve lost, but it will provide critical resources to help those struggling with addiction and prevent future tragedies. We are committed to using these funds to support treatment, prevention, and education efforts and to build a brighter, healthier future for all Utahns.”
Utah is already in line to get $540 million from earlier settlements, which will fund the Utah Opioid Task Force. A little over half of those funds — $275 million — will go to the state, while the rest will go to individual counties.
The Division of Consumer Protection (DCP) filed an administrative action in 2019 against Purdue Pharma, Richard Sackler and Kathe Sackler, claiming the family and the company knew OxyCotin “had a high risk of addiction and concealed this from consumers,” according to the department.
In Utah, prescription opioids, specifically, killed 1,611 people between 2014-2019, and 27.9% of drug overdose deaths in 2023 involved at least one prescription opioid, according to the Utah Department of Health and Human Services. The number of opioid prescriptions increased by more than 1 million between 2002 and 2015, and Utah ranked seventh in the country for prescription drug deaths, according to the DCP.
The Sacklers, who brought OxyContin to the market through Purdue Pharma in the 1990s, have long been accused in the court of public opinion of being responsible, but have tried to shield themselves from financial liability in court. The U.S. Supreme Court overturned a settlement in June that would have granted the family immunity from future litigation.
Thursday’s settlement agreement is nearly $1 billion larger than the one struck down in June and does not prevent the Sacklers from being sued individually. It does, however, include a condition that claimants set aside funds in a legal defense account for the family to fight future cases, according to reporting from The New York Times.
If approved, the Sacklers will pay $6.5 billion over the next 15 years; Purdue Pharma will pay the remaining $900 million.
“Purdue Pharma and the Sackler family caused immense harm, and innumerable lives lost through their deceptive marketing and greed,” said Utah Department of Commerce Executive Director Margaret Bussee. “The Utah Department of Commerce, through the Division of Consumer Protection, never stopped its work to hold Purdue and the Sacklers accountable for what they have done and the devastation they have caused.”
The settlement proposal still needs final court approval, but Utah is expected to agree to join it once approved.
“Too many Utahns have been harmed by the Sackler family and Purdue Pharma’s disregard for human life,” said Attorney General Derek Brown. “After I have reviewed the final written settlement, I anticipate Utah will join it, thereby ensuring that Utah families see the justice they deserve, and will encourage other states to do so as well.”
Shannon Sollitt is a Report for America corps member covering business accountability and sustainability for The Salt Lake Tribune. Your donation to match our RFA grant helps keep her writing stories like this one; please consider making a tax-deductible gift of any amount today by clicking here.