Press Release  $7.4 Billion Settlement With Purdue Pharma And Sackler Family Goes Into Effect

BOSTON — Massachusetts Attorney General Andrea Joy Campbell today announced that a $7.4 billion settlement with Purdue Pharma and its owners, the Sackler family, is now legally effective, capping nearly a decade of work by attorneys general from across the country in pursuing investigations and litigation challenging Purdue’s and the Sacklers’ role in fueling the opioid crisis. As a result of the settlement, Massachusetts is expected to receive up to $105 million to help support opioid prevention, harm reduction, treatment, and recovery throughout the Commonwealth. 

“This settlement, now effective after years of tireless advocacy, is a long-awaited milestone in holding the Sackler family accountable for fueling a crisis that stole lives, fractured families, and left lasting pain in our communities,” said AG Campbell. “While no amount of money can undo the devastation, I am hopeful that it will deliver critical resources to support healing, prevention, and recovery. I am deeply grateful to the families who turned unimaginable pain into purpose and helped drive this work forward.” 

In June 2018, Massachusetts filed the first lawsuit by any state against members of the Sackler family and other executives and directors of Purdue, the maker of opioid drugs like OxyContin. Facing massive litigation for its role in fueling the opioid epidemic, Purdue filed for bankruptcy in 2019. Attorneys general have taken a lead role in the bankruptcy proceedings, including negotiating a new settlement that obtained more money from the Sacklers after the Supreme Court in 2024 invalidated provisions in a prior settlement. The settlement gives funds to communities across the country, as well as to individual victims and other groups who filed claims in the bankruptcy proceedings. 

55 attorneys general representing all eligible U.S. states and territories signed onto the settlement, which resolves litigation against Purdue and the Sacklers for producing and aggressively marketing opioids in the United States, fueling the largest drug crisis in the country’s history. 

The settlement permanently bars the Sacklers from selling opioids in the U.S. and delivers funds for addiction treatment, prevention, and recovery to communities across the country over the next 15 years. 

Most settlement funds will be distributed in the first three years. The Sacklers are paying more than $1.5 billion today, followed by approximately an additional $500 million in May 2027, $500 million in May 2028, and $400 million in May 2029. Additionally, Purdue is paying approximately $900 million today. The funds will be distributed to states and other creditors.   

With this settlement, Massachusetts has now secured more than $1.1 billion in opioid settlement funds.  

The settlement also means that, effective today, Purdue’s manufacturing operations transfer to Knoa Pharma LLC, a newly formed entity that will be overseen by a board of directors whose members had no connection to Purdue and that will be required to pursue public health initiatives intended to help abate the opioid crisis. The settlement prevents Knoa from marketing opioids and provides for an independent monitor to ensure it provides medicines in the safest possible manner that limits the risk of diversion.  

The settlement also provides Purdue and the Sacklers will make public more than 30 million documents related to their opioid business. 

AG Campbell is joined in reaching the settlement by attorneys general of Alabama, Alaska, American Samoa, Arizona, Arkansas, California, Colorado, Connecticut, Delaware, District of Columbia, Florida, Georgia, Guam, Hawaii, Idaho, Illinois, Indiana, Iowa, Kansas, Kentucky, Louisiana, Maine, Maryland, Michigan, Minnesota, Mississippi, Missouri, Montana, Nebraska, Nevada, New Hampshire, New Jersey, New Mexico, New York, North Carolina, North Dakota, Northern Mariana Islands, Ohio, Oregon, Pennsylvania, Puerto Rico, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, U.S. Virgin Islands, Utah, Vermont, Virginia, Washington, West Virginia, Wisconsin, and Wyoming. 

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