Supreme Court Divided Over Purdue Pharma Bankruptcy Deal

Justices grapple with whether the Sackler family can be shielded from future opioid-related lawsuits as part of the settlement.

Supreme Court justices appeared divided over Purdue Pharma’s bankruptcy deal Monday, questioning whether it can immunize the Sackler family from civil lawsuits for their role in the opioid crisis.
Purdue declared bankruptcy in 2019, as it faced thousands of lawsuits and allegations that the company helped fuel the opioid crisis by the marketing of its blockbuster painkiller OxyContin.
Members of the Sackler family agreed to contribute up to $6 billion to the settlement in exchange for immunity from civil lawsuits.
The legal issue before the court is whether, according to federal bankruptcy laws, the Sacklers can be spared from future opioid-related litigation over their alleged role in fueling the nation’s crushing opioid crisis.
A decision in the case, Harrington v. Purdue Pharma L.P., is expected by the end of June.