Dec 23, 2024

Endo Agrees to $35 Million Settlement in Opioid Lawsuit Filed by Tennessee Counties

by Nadia El-Yaouti | Jul 28, 2021
Yellow opioid pills scattered on a teal surface. Photo Source: Pills (REUTERS/George Frey)

Drugmaker Endo has agreed to pay $35 million to settle a lawsuit that was brought by several Tennessee local governments and on behalf of a newborn child who was born addicted to opioids. The settlement agreements come after the drugmaker was accused of helping fuel the opioid epidemic that ravaged the nation over the past decade.

The lawsuit was brought on by nine counties and 18 cities and towns in northeast Tennessee. A third plaintiff known as “Baby Doe” was also listed in the complaint. The settlement, which has yet to be finalized, was reached the week before the case’s trial was set to begin.

This latest development with the case comes just months after a judge had ruled that Endo was liable for its role in the opioid epidemic that has swept the nation. The judgment was made without a civil trial taking place. This rare ruling was made by Sullivan County Circuit Court Chancellor E.G. Moody following what he described as a “coordinated strategy” on the part of Endo and its attorneys to delay the proceedings, keep records away from plaintiffs, and interfere with the judicial process. In the ruling, Moody wrote that Endo and its lawyers “have not shown any remorse, admitted their wrongdoing or apologized to opposing counsel or the Court for their actions.”

The District Attorney General Barry Staubus, who is also listed as a plaintiff in the case, explained of the ruling, “It’s very rare, but then again, rarely do you see the kind of behavior and actions taken by counsel and a defendant as outlined in that order.”

While the settlement is not yet finalized and requires several plaintiffs to agree to the terms, Endo shared in a statement that the settlement “will include no admission of wrongdoing, fault or liability of any kind by Endo, and the settlement value should not be extrapolated to any other opioid-related cases or claims.”

Gerard Stranch, a lawyer representing the plaintiffs in the case against Endo, shared that he anticipates that “all matters concerning participating cities and counties” will reach a conclusion by the end of the week.

Stranch also shared in a statement, “We are pleased that after four-plus years of litigation that we have been able to reach an agreement in principle with Endo, and are grateful to the communities of Northeast Tennessee for their support in this landmark prosecution.”

Along with Endo, Tennessee has filed suits against several companies regarding the opioid epidemic that has ravaged vulnerable parts of the nation, especially rural parts of Tennessee.

Meanwhile, on a national level, lawyers representing local governments shared in the same week that the potential value of a nationwide settlement associated with the opioid epidemic could reach up to $26 billion. The total number does depend on how many localities sign-on.

The settlement will involve the nation's three largest pharmaceutical companies including drugmaker Johnson & Johnson. Paul Geller, a lead lawyer representing local governments, shared in conference with reporters, “This is a nationwide crisis and it could have been and should have been addressed perhaps by other branches of government, but this really is an example of the use of litigation for fixing a national problem.” If this settlement is approved, it could potentially be the biggest settlement involving the nation’s biggest drugmakers.

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Nadia El-Yaouti
Nadia El-Yaouti
Nadia El-Yaouti is a postgraduate from James Madison University, where she studied English and Education. Residing in Central Virginia with her husband and two young daughters, she balances her workaholic tendencies with a passion for travel, exploring the world with her family.

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