Supreme Court to hear challenge against OxyContin maker bankruptcy settlement

The Biden administration's intervention follows the U.S. 2nd Circuit Court of Appeals upholding the settlement and the immunity for the Sacklers in May.

Published: August 10, 2023 4:46pm

The Supreme Court has agreed to hear a challenge from the Biden administration to a bankruptcy settlement for OxyContin maker Purdue Pharma, which has attracted considerable scrutiny for its alleged role in facilitating the nation's opioid epidemic.

Oral arguments of the administration's challenge will be heard in December, according to Reuters. The bankruptcy proceedings are on pause until then.

Under the terms of the settlement, Purdue's owners would pay $6 billion to settle lawsuits from people who became addicted to opioids and have blamed the company for deceptive marketing practices related to OxyContin. The wealthy Sackler family, which owns Purdue Pharma, would receive immunity under the plan.

The administration seeks to challenge that provision, contending that the Sacklers, who have not themselves filed for bankruptcy, ought not be eligible for such immunity.

The Biden administration's intervention follows the U.S. 2nd Circuit Court of Appeals upholding the settlement and the immunity for the Sacklers in May.

Ben Whedon is an editor and reporter for Just the News. Follow him on Twitter.

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