Walgreens to pay $683M to settle Florida opioid lawsuit

Walgreens is the final defendant to settle in Florida’s opioid case, bringing the state’s total litigation wins to more than $3 billion.

Florida’s settlement, which provides $620 million over 18 years, has similar provisions to those in last year’s $26 billion global opioid agreement with three distributors. (Photo: Ken Wolter/Shutterstock)

Walgreen Co. has agreed to pay $683 million to settle all opioid claims brought by the state of Florida and its cities and counties, including $63 million in litigation costs.

Announced Thursday, the settlement halts a jury trial that began last month between Florida Attorney General Ashley Moody and Walgreens, which is one of several pharmacies accused of flooding communities with opiates, which are prescription painkillers.

Related: Drug companies ‘made a mockery’ of opioid laws

“As the largest pharmacy chain in the state, we remain focused on and committed to being part of the solution, and believe this resolution is in the best interest of all parties involved and the communities we serve across Florida,” said Danielle Gray, executive vice president and global chief legal officer of Walgreens Boots Alliance Inc., in a prepared statement.

In addition to the state, more than 240 subdivisions in Florida are part of the settlement.

Walgreens was represented in the deal by New York attorney Harlan Levy, co-chairman of Foley Hoag’s State Attorney General Practice. Steve Derringer, a Chicago partner at Bartlit Beck, led the trial team for Walgreens.

Walgreens is the final defendant to settle in Florida’s opioid case, bringing the state’s total funds obtained through litigation to more than $3 billion.

“Before taking office, I vowed to seek accountability for the opioid crisis, and with this final action, I can now say we have successfully accomplished our mission,” said Moody in a statement on Thursday. “The more than $3 billion secured through years of determined legal work will go to communities devastated by opioids. Our hope is this money, paid out over the next two decades, will save lives and help Florida families and communities heal.”

The announcement comes two days after Washington Attorney General Bob Ferguson reached a $518 million settlement with opiate distributors McKesson, Cardinal Health and AmerisourceBergen.  His announcement came after completing a bench trial last month but before the judge had ruled on the case.

Another opioid trial began on April 25 in San Francisco against Walgreens, as well as manufacturers Allergan and Teva, and Teva’s distribution subsidiary Anda.

Both cases in California and Washington are bench trials, but Florida put its case before jurors. Only two other juries have weighed in on the opioid crisis, and both ended in liability verdicts against the defendants, including, Walgreens. That case, brought by two Ohio counties, is set for a damages trial on May 9 against Walgreens, Walmart and CVS.

Prior to trial, Florida reached a $65 million settlement with Endo and $860 million in agreements with CVS, Teva and Allergan. CVS agreed to pay the state $484 million.

Florida’s settlement, which provides $620 million over 18 years, has similar provisions to those in last year’s $26 billion global opioid agreement with three distributors and manufacturer Johnson & Johnson’s Janssen Pharmaceuticals. Florida will get $1.6 billion from that deal.

The litigation costs are to be paid immediately and include $34 million to reimburse the state and $29 million to lawyers representing cities and counties that filed their own lawsuits. Florida’s outside counsel are Kellogg, Hansen, Todd, Figel & Frederick; Drake Martin Law Firm; Harrison Rivard Duncan & Buzzett; Newsome Melton; and Curry Law Group.

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