Kroger grocery chain to pay $1.2B to settle opioid lawsuits with cities and states
Following opioid settlements announced by CVS, Walgreens and Walmart, the retailer announced the settlement, after a number of lawsuits claimed the grocery chain helped fuel the opioid epidemic.
The Kroger Co. has agreed to pay up to $1.2 billion to resolve lawsuits brought by cities and counties over the opioid crisis.
The Cincinnati-based supermarket chain announced the settlement on Sept. 8, during its second-quarter conference call.
“The agreement with Kroger, which is subject to final documentation expected to be completed within 30 days, is the first involving one of the smaller, regional supermarket pharmacies that still played a significant part in the opioid crisis,” said lawyers on the opioid multidistrict litigation’s executive committee: Jayne Conroy of Simmons Hanly Conroy; Paul Farrell of Farrell & Fuller; and Joe Rice of Motley Rice. “With many cases against regional pharmacy defendants still pending, we will continue to aggressively litigate these remaining cases.”
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They and other firms appointed to lead the opioid multidistrict litigation, which is pending in the Northern District of Ohio, have obtained more than Kroger, one of several pharmacies sued for distributing an oversupply of prescription painkillers into communities, already reached a settlement with the state of New Mexico. Many other pharmacies have reached global settlements: Walmart agreed to pay $3.1 billion, and CVS and Walgreens reached deals totaling $10 billion.
In a Friday press release, Kroger stated: “This is an important milestone in the company’s efforts to resolve the pending opioid litigation and support abatement efforts.”
Initial payments would begin this December.
In addition to the $1.2 billion payouts, Kroger said it also would provide $36 million to Native American tribes over an 11-year period and $177 million in attorney fees and costs, to be paid over six years.
In its press release, Kroger said the opioid deal would not interfere with its plans to merge with Albertsons Companies Inc.