Pharmaceutical giants to pay $266 million to Baltimore in opioid epidemic lawsuit

Two pharmaceutical giants have been ordered to pay $266 million to the city of Baltimore after a jury found them responsible for fueling the opioid crisis, a nationwide addiction epidemic that kills tens of thousands of Americans each year.

The jury found Texas-based healthcare products company McKesson liable for $192 million and Pennsylvania-based pharmaceutical wholesaler Cencora liable for $74 million.

Baltimore accused the companies of failing to report “suspicious orders” for prescription drugs such as oxycodone and hydrocodone to federal authorities, subsequently contributing to the city’s opioid epidemic. Next month, the city will ask Judge Lawrence Fletcher-Hill in Baltimore City District Court for $9 billion from abatement companies for opioid crisis solutions.

Mayor Brandon Scott applauded the verdict, saying the jury agreed that “the massive impact on our city is a direct result of the actions of big pharmaceutical companies.”

“The opioid overdose epidemic has harmed every community in this country, but in Baltimore it has affected every resident in some way and devastated entire families and entire neighborhoods.” Scott said.

According to the Centers for Disease Control and Prevention, 81,000 people died in the USA Deaths from opioid overdoses in 2023 decreased by nearly 3% compared to the previous year. In Baltimore alone, state data found an average of 866 people suffering opioid related deaths Every year from 2017 to 2021.

2018 lawsuit accuses companies of fueling opioid crisis

Susman Godfrey, the law firm representing Baltimore, said this week’s jury verdict first successful decision No jurisdiction reached in opioid case against McKesson and Cencora. This comes nearly seven years after Baltimore sued more than a dozen drug manufacturers, wholesalers and prescribers for their alleged roles in the opioid epidemic.

“Justice was served,” said Bill Carmody, Baltimore’s lead attorney and partner at Susman Godfrey. “No city in America has been harder hit by the opioid epidemic than Baltimore, and the jury’s verdict is an important step in helping Baltimore recover and continue to be one of America’s best cities, a place where all its citizens can thrive and succeed.”

baltimore gave up on the national solution to pursue his own lawsuit with pharmaceutical companies for larger payouts over opioid addiction. The city said it has since earned more than $400 million from deals with other companies including CVS, Walgreens, Johnson & Johnson, Cardinal Health, Allergan and Teva.

The court filings accused McKesson and Cencora, previously AmerisourceBergen, and Cardinal Health of failing to detect and report suspicious opioid orders as they were required to do under federal law; This led to “dangerous amounts” of opioids flowing into Baltimore and other communities across the US. WE

“The City now seeks to hold Defendants accountable for their role in the outbreak, including requesting contributions to expensive solutions needed to alleviate the ongoing crisis,” the 2018 complaint states. The statement was included.

McKesson had previously stated, the complaint stated. He admitted that he did not report Some suspicious drug orders settled with the Department of Justice in 2017. Company, will pay 150 million dollars and suspend the sale of controlled substances from distribution centers in Colorado, Ohio, Michigan and Florida.

The Ministry of Justice also applied lawsuit against Cencora In December 2022. Federal prosecutors accused the company of failing to report hundreds of thousands of questionable orders to the Drug Enforcement Administration and said the company knew “they were possibly facilitating the diversion of prescription opioids.” The case continues.

Following Tuesday’s jury verdict in Baltimore, both companies announced they were preparing to appeal the verdict.

The decision “further frays the legal and ethical tightrope the company is asked to walk between providing access to needed medications and taking action to prevent the diversion of controlled substances,” Cencora spokesman Mike Iorfino told USA TODAY.

“We are disappointed in the jury’s verdict, which we believe does not reflect the facts of the case,” Iorfino said. “Our teams are analyzing the decision and considering all options moving forward, including appealing today’s decision.”

A spokesperson for McKesson told USA TODAY that the company is prepared to file a motion to appeal the decision and appeal if the rulings are rejected.

“We respect but disagree with the jury’s verdict, which fundamentally misunderstood McKesson’s limited role as a pharmaceutical distributor,” the spokesman said.

‘The figure that changed the game’

This week’s court ruling brings Baltimore’s total compensation fund to more than $668.5 million, a “game-changing figure” in addressing the opioid crisis, the mayor said. city he said The money will be used to fund programs and services for substance use prevention, treatment, recovery and harm reduction.

Baltimore accounts for 9% of Maryland’s population but represents 44% of the state’s overdose deaths. According to the Baltimore City Health Department. Overall, Baltimore averages more than two overdose deaths per day. The department also noted that between 2010 and 2021, an estimated 80% of opioid use disorder cases in the city started with prescription opioids before residents turned to illicit drugs.

Approximately 125 million opioid prescriptions were dispensed across the United States in 2023. According to HKMThere are “wide variations” between states. About 8.6 million Americans as young as 12 report misusing prescription opioids, the agency said.

This article first appeared on USA TODAY: Drug companies to pay $266 to Baltimore in opioid epidemic lawsuit