By Devan Cole and Ariana de Vogue | CNN
The Supreme Court docket on Thursday blocked Purdue Pharma from going ahead with chapter proceedings, which the Biden administration has referred to as an “unprecedented” association that will in the end provide the Sackler household broad safety from opioid-related civil claims.
In agreeing to pause the settlement, the court docket additionally mentioned it might take up the case and listen to arguments this December.
The case arose after the reorganization in chapter of OxyContin producer Purdue Pharma – stemming from litigation arising from claims over its function in fueling the opioid dependancy disaster.
Till lately, Purdue was managed by the Sackler household, who withdrew billions of {dollars} from the corporate earlier than it filed for chapter. The household has now agreed to contribute as much as $6 billion to Purdue’s reorganization fund on the situation that the Sacklers obtain a launch from civil legal responsibility.
The federal government, representing the US Trustee, has referred to as the plan “distinctive and unprecedented” in court docket papers, noting that decrease courts have divided on when events will be launched from legal responsibility for actions that prompted societal hurt.
