Morning Briefing
Summaries of health policy coverage from major news organizations
Judge Overseeing Consolidated Opioid Case Clears Way For Trial Even As He Supports Settlement Talks
Reuters: U.S. Judge Orders Big Drug Companies To Face Opioid Trial
A U.S. judge on Tuesday rejected efforts by major drugmakers, pharmacies and distributors to dismiss claims that they caused the nation's opioid crisis, clearing the way for a scheduled landmark trial even as he pushes for a nationwide settlement. U.S. District Judge Dan Polster, who oversees roughly 2,000 opioid lawsuits by states, counties and cities, said the plaintiffs can try to prove that drugmakers' deceptive marketing of the painkillers caused a harmful, massive increase in supply that pharmacies and distributors did not do enough to stop. (Stempel, 9/3)
Bloomberg: Big Pharma Ordered To Face Cities’ Opioid Claims
The ruling clears the way for J&J, Cardinal Health, Walgreens and other companies to face a federal court jury in Cleveland Oct. 21 on claims -- by more than 2,000 U.S. cities and counties – they fueled an opioid crisis that kills more than 100 Americans daily. The companies were seeking to throw out the municipalities’ civil-conspiracy claims and other allegations, but the judge refused. Based on the cities’ and counties evidence, “the court cannot conclude that no reasonable jury could find” opioid makers such as J&J and Teva Pharmaceutical Industries Ltd “entered into a conspiratorial agreement or malicious combination,” Polster wrote in a 10-page decision. (Feeley, 9/3)
Reuters: OxyContin Maker Prepares 'Free-Fall' Bankruptcy As Settlement Talks Stall
OxyContin maker Purdue Pharma LP is preparing to seek bankruptcy protection before the end of the month if it does not reach a settlement with U.S. communities over widespread opioid litigation, three people familiar with the matter said, after some states balked at the company's $10 billion to $12 billion offer in August to end their lawsuits as part of a negotiated Chapter 11 case. On Friday, Purdue lawyers had documents prepared for a Chapter 11 filing at a moment’s notice, Reuters has learned. (Spector and DiNapoli, 9/3)
And in other news —
The Wall Street Journal: Insys Sells Subsys, Opioid At Center Of Racketeering Case
Insys Therapeutics Inc. is selling the fentanyl painkiller Subsys out of bankruptcy, unloading the opioid drug at the center of racketeering convictions against the drugmaker’s former top brass. (Scurria, 9/3)
