Opioid producer Purdue Pharma (Canada) (Purdue Canada) has agreed to a primary of its variety settlement in Canada ensuing from B.C.-led efforts to get better health-care prices associated to the sale and advertising and marketing of opioid-based ache medicines.
The settlement was reached within the context of a proposed class-action lawsuit introduced by British Columbia on behalf of all Canadian governments.
“B.C.’s efforts to negotiate this unique settlement, together with other Canadian governments paves the way for additional settlements to be reached in the ongoing litigation against other manufacturers and distributors of opioid products,” mentioned David Eby, Attorney General. “We know that no amount of money can bring back those who have died, but we are committed to holding corporations and others accountable for acts of alleged wrongdoing committed in the manufacturing and distribution of opioid products.”
In 2018, B.C. started a class-action lawsuit on behalf of all federal, provincial and territorial governments in Canada and enacted the Opioid Damages and Health Care Costs Recovery Act. The goal of the category motion and laws is to get better health-care prices that resulted from wrongful conduct of opioid producers, distributors and their consultants.
B.C. alleges that opioid producers, distributors and their consultants engaged in misleading advertising and marketing practices with a view to extend gross sales, leading to elevated charges of dependancy and overdose. Purdue Canada is one amongst over 40 producers and distributors named within the class motion commenced in 2018 and scheduled for a certification listening to within the subsequent 12 months.
The proposed settlement with Purdue Canada has been agreed to by all federal, provincial and territorial governments and totals $150 million in financial advantages, plus extra advantages together with entry to info and paperwork related to the lawsuit. This settlement was reached very early within the litigation course of, earlier than the allegations in opposition to Purdue Canada have been confirmed in courtroom. This is the biggest settlement of a governmental well being declare in Canadian historical past. The proposed settlement remains to be topic to remaining approval by the courts, anticipated within the subsequent few months.
In addition to the Purdue Canada settlement, B.C.’s software to certify its class-action lawsuit within the B.C. Supreme Court has been scheduled for fall 2023. This may open up the door to additional settlements to get better health-care prices.
“B.C. is using all the tools in the toolbox to tackle the ongoing public health emergency,” mentioned Sheila Malcolmson, Minister of Mental Health and Addictions. “We are standing up to multi-national pharmaceutical companies, advancing decriminalization, investing in new treatment and recovery services, expanding harm-reduction measures like prescribed safe supply, and building a comprehensive and seamless continuum of mental health and addictions care that British Columbians need and deserve.”
Together, the provinces, territories and Canadian authorities will proceed to aggressively pursue litigation in opposition to the remaining defendants till they’ve all been held accountable.