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Opioid drugmaker agrees to $2.37 billion settlement

Allergan has agreed in principle to a proposed $2.37 billion settlement to participating states and local governments, including Iowa.

Bruce WalkerbyBruce Walker
August 1, 2022
in State Government
Reading Time: 2 mins read
Opioid drugmaker agrees to $2.37 billion settlement

(The Center Square) – Allergan has agreed in principle to a proposed $2.37 billion settlement to participating states and local governments, including Iowa.

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Iowa Attorney General Tom Miller and a bipartisan group of attorneys general announced the settlement Friday.

The news comes the same week as a $4.25 billion national settlement between more than 2,500 government entities and tribes with Teva Pharmaceuticals.

“We’ve worked hard to get the best result for Americans harmed by the opioid crisis, and it’s rewarding to take another step in the right direction,” Miller said in a statement. “We continue to make it a priority to hold manufacturers responsible, while ensuring victims of this epidemic receive the help they need.”

The coalition of states alleged that Allergan deceptively marketed opioids by downplaying the risk of addiction, overstating their benefits, and encouraging doctors to treat patients showing signs addiction by prescribing them more opioids; and failed to maintain effective controls to prevent diversion of opioids.

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The $2.37 billion figure includes money that Allergan has already agreed to pay under settlements with individual states.

Details remain that need to be ironed out, including the settlement structure, but it’s anticipated states will follow established precedents with other multi-state drug company settlements.

States participating in the settlement include Illinois, Maryland, Massachusetts, New York, North Carolina, Pennsylvania, Tennessee, Texas, Vermont, Virginia, and Wisconsin. New York settled separately with Allergan in December 2021.

Tags: AllerganAttorney General of IowaOpioid Drug CrisisTom Miller
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Bruce Walker

Bruce Walker

Bruce Walker is a regional editor at The Center Square. He previously worked as editor at the Mackinac Center for Public Policy’s MichiganScience magazine and The Heartland Institute’s InfoTech & Telecom News.

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