Great Lakes Wire

Michigan Attorney General Dana Nessel announced that a $7.4 billion settlement has been reached with Purdue Pharma and its owners, the Sackler family. This agreement involves all 55 attorneys general from eligible states and U.S. territories. The settlement aims to resolve litigation against Purdue and the Sacklers for their role in the opioid crisis.

“After years of settlement negotiations, this agreement finally ensures Purdue is held responsible for its role in fueling the opioid epidemic,” Nessel stated. She emphasized that while money cannot undo the harm caused, funds from previous settlements have already contributed to prevention, treatment, and recovery efforts.

Under the terms of the settlement, which ends the Sacklers’ control over Purdue and their ability to sell opioids in the U.S., communities will receive funds over 15 years for addiction treatment and prevention. Michigan is set to receive up to $154 million from this settlement during this period.

The distribution of most funds will occur within three years. The Sacklers are set to pay $1.5 billion initially, with subsequent payments totaling approximately $900 million from Purdue followed by additional payments over three years.

The legal resolution process involves state and local governments contingent on bankruptcy court approval, with a hearing scheduled soon.

Since assuming office in 2019, Nessel has focused on addressing the opioid crisis through various settlements resulting in more than $1.6 billion for Michigan's governments for treatment programs.

Provisional data from Michigan’s Department of Health and Human Services shows a significant reduction in overdose deaths between 2023 and 2024 due to strategic investments funded by national opioid settlements.

Attorney General Nessel worked alongside her counterparts across multiple states and territories including Alabama, Alaska, American Samoa, Arizona, Arkansas, California among others to secure this agreement.