Teva settles Ohio opioid cases, has framework in place to settle remaining cases
Teva Pharmaceutical Industries (TEVA) and its affiliates announced a settlement agreement with both Cuyahoga and Summit counties of Ohio. The settlement resolves the counties' claims and removes Teva from the Track 1 opioid litigation. Under the terms of the settlement, the company will provide the two counties with the critical opioid treatment medication buprenorphine naloxone, known by the brand name Suboxone, valued at $25M and distributed over three years to help in the care and treatment of people suffering from addiction and a cash payment in the amount of $20M, to be paid over three years. The company also confirms that there is an agreement in principle with a group of attorneys general from North Carolina, Pennsylvania, Tennessee and Texas, as well as certain defendants, for a global settlement framework. The framework is designed to provide a mechanism by which the company attempts to seek resolution of remaining potential and pending opioid claims by both the states and political subdivisions. Under this agreement, Teva would donate buprenorphine naloxone, in quantities of up to the amount needed to meet the majority of the currently estimated U.S. patient need over the next 10 years, with a value of approximately $23B. Buprenorphine naloxone is the primary drug used to treat opioid addiction. The Teva product donation will significantly contribute to the care and treatment of people suffering from addiction and assist impacted communities. Teva would also provide a cash payment of up to $250M over 10 years.