what happened to purdue pharma

In August 2023, the Supreme Court temporarily blocked a nationwide settlement with OxyContin maker Purdue Pharma that would shield members of the Sackler family who own the company from civil lawsuits over the toll of opioids. The deal would allow the company to emerge from bankruptcy as a different entity, with its profits used to fight the opioid epidemic. Members of the Sackler family would contribute up to $6 billion. The Biden administration has called the arrangement "unprecedented" and an "abuse of bankruptcy protections". The Supreme Courts decision to hear the case means that the use of nonconsensual third-party releases, which allows the Sackler family to be shielded from civil lawsuits, will be scrutinized. If the Supreme Court blocks the use of nonconsensual third-party releases, it would most likely jeopardize the entire Purdue Pharma bankruptcy settlement deal. Until recently, Purdue was controlled by the Sackler family, who withdrew billions of dollars from the company before it filed for bankruptcy.