Supreme Court Declines To Hear Unusual Case Brought By Arizona Against Embattled Sackler Family
Arizona argued that the Supreme Court had "original jurisdiction" because one of the parties involved was a state. It was an unusual step to take because most cases work their way up through the lower courts. The Supreme Court didn't bite, though. Meanwhile, new documents show that Purdue Pharma's decision to cut its sales force in 2018 wasn't quite the sacrifice it may have looked like. The opioid-maker had already calculated that its past marketing would cushion any fallout from the decision.
Reuters:
U.S. Supreme Court Rejects Arizona Opioid Case Against Purdue, Sackler Family
The U.S. Supreme Court on Monday turned away a novel case by Arizona seeking to recover billions of dollars that the state has said that members of the Sackler family - owners of Purdue Pharma LP - funneled out of the OxyContin maker before the company filed for bankruptcy in September. (Raymond, 12/9)
CNBC:
Opioid Crisis: Supreme Court Refuses To Hear Case Against Purdue's Sacklers
The state accused the the Sacklers of transferring $4 billion to themselves since 2008, and at least another $2 billion to companies under their control, in violation of a fraud statute on the books in 43 states. The Sackler family has denied Arizona’s allegations. The court announced that it will not hear the case in an order with no explanation and no noted dissents. (Higgins, 12/9)
Bloomberg:
Purdue Files Show It Knew Cuts Wouldn’t Kill OxyContin Sales
When Purdue Pharma LP cut the last of its sales force in June 2018, some analysts figured the move by the maker of OxyContin painkillers would help address a U.S. opioid-addiction epidemic the company had been accused of creating. But documents filed Monday by a group of state attorneys general in the company’s bankruptcy suggests the maneuver wasn’t quite the sacrifice it seemed. (Larson, 12/9)
In other news on the opioid epidemic —
Philadelphia Inquirer:
Philadelphia Rehab Owner Who Illegally Profited From Others' Addictions Heads To Federal Prison
A star of the local addiction recovery scene — who emerged from crippling opioid dependence to launch a successful chain of area rehab centers — has been sentenced to 18 months in prison after admitting he illegally profited from the struggles of the patients he had pledged to help. Joseph Lubowitz, former CEO of Humble Beginnings Recovery Centers in Willow Grove and Cherry Hill, apologized for his transgressions during a federal court hearing Friday in Palm Beach County, Fla., and attempted to convince a judge that he was serious about making amends. (Roebuck, 12/9)