A bankruptcy judge has extended temporary protections against opioid-related litigation for the Sackler family members who own Purdue Pharma until Feb. 1 after another judge overturned the OxyContin maker’s bankruptcy settlement this month. U.S. Bankruptcy Judge Robert Drain in White Plains, New York, extended the litigation shield on Wednesday, giving Purdue and the Sacklers time to discuss a path forward. The judge in September had approved Purdue’s reorganization plan and underlying settlement that aimed to resolve widespread litigation accusing the company and the Sacklers of fueling the U.S. opioid epidemic through deceptive marketing. The settlement included protections for the Sacklers against future opioid-related lawsuits in exchange for a $4.5 billion contribution to the plan, which would steer money toward opioid abatement efforts. The protections, known as non-debtor releases, prompted appeals from several states and the U.S. Department of Justice’s bankruptcy watchdog. U.S. District Judge Colleen McMahon reversed Drain’s approval of …
Purdue Bankruptcy Judge Extends Temporary Litigation Shield for Sacklers
December 30, 2021
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