Nebraska to share in $26 billion drug company settlement over opioid abuse
Nebraska and coalition of state attorneys general announce sweeping settlement over drug addictions
Nebraska and coalition of state attorneys general announce sweeping settlement over drug addictions
A coalition of state attorneys general, including Nebraska's Doug Peterson, announced on Wednesday a $26 billion national settlement with Johnson & Johnson and three drug distributors over practices which led to widespread opioid addictions.
Johnson & Johnson alone will pay up to $5 billion within the first nine-years of the 18-year agreement.
Peterson said the majority of the money will be spent on opioid treatment and prevention. A formula factoring opioid-related deaths, substance abuse case numbers, and state populations will be used to determine each state's share.
The agreement includes the opioid distributors: Cardinal, McKesson and AmerisourceBergen.
"As a result of those efforts, we have been able to reduce the impact of opioid misuse in our state. However, with the anticipated settlement funds, we should be able to make a significant impact in treating every Nebraskan who suffers from an opioid addiction. We will need to continue to be vigilant on this issue,” said Peterson in a news release.
The money from the settlement will be divided among the states based on how hard they've been hit by the opioid crisis-- those factors include number of overdose deaths, the number of residents with substance use disorder, and the number of opioids prescribed and population of the state.
In a statement, Johnson & Johnson denied any wrongdoing, but said it will no longer manufacture opioid medications.
The company said its actions have been "appropriate and responsible."
The three drug distributors issued a joint statement saying they "strongly dispute the allegations" in the lawsuit, but said the settlement will deliver "meaningful relief to communities across the United States."
Nebraska is among more than 40 states taking part in the settlement. States have 30 days to accept the deal.
KETV NewsWatch 7 has highlighted the opioid epidemic in its ongoing "State of Addiction" coverage.
A separate lawsuit against Purdue Pharma has yet to be settled. Purdue was the largest manufacturer of prescription opioids and the company remains in bankruptcy proceedings.