US court overturns historic opioid ruling against J&J

US court overturns historic opioid ruling against J&J

The company had been told to pay US$465 million to combat an addiction crisis in 2019.

The opioid crisis has caused more than 500,000 deaths in 20 years in the US. (AP pic)
NEW YORK:
The Oklahoma State Supreme Court yesterday overturned a historic decision to fine US pharmaceutical giant Johnson & Johnson US$465 million for its role in the opioid crisis.

In 2019, a judge had ordered the company to pay the sum to finance programmes to combat the opioid crisis, which has caused more than 500,000 deaths in 20 years in the US.

The judge ruled the company had created a “public nuisance” with its marketing of prescription pain pills, saying it had adopted “deceptive” marketing practices to promote opioids.

It was the first civil judgment linked to opiates against a drug company in the US.

The state initially claimed some US$17 billion dollars in costs, corresponding to 20 years of financing of these programmes.

On appeal, the Oklahoma Supreme Court ruled the judge should not have relied on the public nuisance law to condemn J&J’s manufacturing, marketing and sales practices, and overturned his decision.

J&J, like other pharmaceutical giants such as Purdue, the manufacturer of OxyContin, and major US drug distributors, have been accused of over-promoting their pain-relieving drugs from 1996 onwards, causing a crisis in addiction and an explosion of overdoses.

Distributors AmerisourceBergen, Cardinal Health and McKesson, as well as J&J, agreed in late July to pay US$26 billion to settle thousands of disputes related to the opioid crisis.

J&J said in June it had stopped production and sale of prescription opioid medications in the US.

Purdue, for its part, declared bankruptcy and agreed to pay US$4.5 billion to victims and institutions that had been affected, in exchange for a certain civil immunity for its owners, the Sackler family.

That case is still ongoing.

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