• The Sackler family has agreed to permanently relinquish ownership of Purdue Pharma and cease opioid sales in the U.S.
• A $7.4 billion settlement has been approved by all 50 states, the District of Columbia, and U.S. territories.
• Funds from the settlement aim to support opioid addiction treatment and recovery over the next 15 years.

A landmark settlement worth $7.4 billion has been reached, with the Sackler family agreeing to permanently cease opioid sales in the United States and give up control of Purdue Pharma, the manufacturer of OxyContin. This historic agreement has garnered approval from all 50 states, the District of Columbia, and U.S. territories, marking a significant step in addressing the opioid crisis. Under the settlement's terms, Purdue will be restructured as a public benefit company, directing profits towards addiction treatment and prevention, as announced by New Jersey Attorney General Matthew Platkin and Pennsylvania Attorney General Dave Sunday, among others, according to Newsweek and NPR.

This plan was filed with a federal bankruptcy court after extensive negotiations involving state attorneys general. If finalized, this settlement will unfold over a 15-year period, with significant allocations aimed at communities impacted by opioid addiction. California is anticipated to receive up to $440 million, while New York and New Jersey expect to obtain substantial shares to support recovery efforts, as reported by HuffPost and CBS News.

Importantly, the Sackler family, who have repeatedly denied wrongdoing, will contribute around $6.5 billion to the settlement fund, with Purdue expected to pay approximately $900 million. The funds will be vital for paralleled community programs that are essential to combating the ongoing opioid crisis, which remains a significant public health issue in the United States, according to HuffPost and NPR.

As part of the settlement, members of the Sackler family will be prevented from marketing and selling opioids in the U.S., marking a crucial accountability step for the families involved in the opioid epidemic. Notably, this settlement also allows individuals to pursue further civil claims against the Sacklers independent of this agreement, which was a significant shift compared to prior settlements that attempted to shield the family from legal repercussions, as emphasized by officials and stakeholders involved, according to CBS News.