NASHVILLE, Tenn. (WTVF) — A $7.4 billion settlement with Purdue Pharma and the Sackler family is now legally in effect, marking a major milestone in nationwide efforts to hold the company accountable for its role in the opioid crisis.
Tennessee Attorney General Jonathan Skrmetti said the agreement caps nearly a decade of investigations and litigation led by attorneys general across the country. Tennessee joined the multistate investigation in 2016 and filed its own lawsuit against Purdue in 2018.
That lawsuit drew in part on years of reporting and allegations about how the company marketed its opioid products. The state cited a NewsChannel 5 investigation in its lawsuit against the makers of the painkiller OxyContin. A 2012 investigation documented patients waiting outside a doctor’s office and discussing selling excess prescription pain pills on the street. The state later alleged Purdue continued targeting high-prescribing doctors despite warning signs of overprescribing and drug diversion.
Court filings also alleged Purdue used aggressive and misleading sales tactics, training employees to push opioid prescriptions using strategies described as “Always Be Closing,” a phrase associated with high-pressure sales. The lawsuit claimed the company promoted a narrative that its opioids were less addictive than they actually were and continued sales efforts even after reports of overdoses and other red flags.
Purdue filed for bankruptcy in 2019 amid mounting lawsuits. State attorneys general played a key role in negotiating a revised settlement after the U.S. Supreme Court struck down parts of an earlier agreement in 2024.
The finalized settlement resolves claims that Purdue and the Sacklers helped fuel the opioid epidemic through the production and aggressive marketing of prescription painkillers.
“No amount of money will ever be enough to pay for the damage inflicted by Purdue Pharma and the Sackler family, but I hope some Tennesseans can take solace knowing we fought to hold them accountable to the fullest extent possible and dismantled the company,” Skrmetti said. “Tennessee's consumer protection team has worked relentlessly for nearly a decade in pursuit of accountability. We are glad that this settlement will fund opioid abatement efforts across Tennessee.”
Fifty-five attorneys general representing all eligible U.S. states and territories signed onto the settlement.
The agreement permanently bars the Sacklers from selling opioids in the United States and requires the release of more than 30 million internal documents related to Purdue’s opioid business.
Communities nationwide will receive funding for addiction treatment, prevention, and recovery programs over the next 15 years. Tennessee is expected to receive about $122.4 million, with most funds distributed within the first three years.
Payments begin with more than $1.5 billion from the Sacklers and about $900 million from Purdue, followed by additional installments through 2029.
The settlement also transfers Purdue’s manufacturing operations to a new company, Knoa Pharma LLC, which will be overseen by an independent board and barred from marketing opioids.
With this deal, Tennessee has now secured more than $1.3 billion in total opioid settlement funds.
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