The complaint for this class action begins by pointing out that, since 1999, there have been more than 183,000 opioid-related deaths in the US, or more than three times the number of US soldier who died in the Vietnam War. Its primary allegation is that the manufacturers and distributors of opioids have violated the Racketeering Influenced and Corrupt Organizations (RICO) Act and driven up the price of health insurance in Pennsylvania.
The class for this action is all natural persons and entities who bought health insurance policies in Pennsylvania, from 1996 through the present; and all persons who paid for any portion of employer-provided health insurance from 1996 through the present.
The complaint names a group of Manufacturer Defendants and another of Distributor Defendants. (See below for the list of company names.)
The complaint alleges that the Manufacturer Defendants knew that opioids are highly addictive and should therefore not be prescribed for chronic pain. However, it says that the companies minimized the risks of opioids and exaggerated their benefits. It claims that they targeted vulnerable populations, like veterans and the elderly, and that they corrupted and falsified the sources that doctors and patients use for guidance, like treatment guidelines, medical education programs, medical conferences and seminars, and scientific articles, to increase the use of opioids.
All this resulted in opioids becoming the most prescribed type of drug today.
The complaint claims that the Distributor Defendants compounded the problem. Distributors are required by federal law to secure and monitor drugs that pass through their hands and report theft or suspicious or unusual orders. However, the complaint claims that the Distributor Defendants did not do this. Instead, the complaint says, they filled suspicious orders and turned a blind eye to red flags that would require investigation. This allowed drug dealers and abusers easy access to opioids.
All of this, the complaint says, led to the current opioid epidemic, a public health crisis involving abuse, addiction, and death. It has required treatment for addiction and overdoses. According to the complaint, this in turn has driven up the cost of health insurance in the state, resulting in economic injury to ordinary people who are not otherwise involved in the epidemic.
The complaint claims that the Manufacturer and Distributor Defendants together have violated RICO laws and formed a conspiracy to violate them, among other things.
- Manufacturer Defendants: Purdue Pharma L.P., Purdue Pharma, Inc., the Purdue Frederick Company, Inc., Insys Therapeutics, Inc., Teva Pharmaceutical Industries, Ltd., Teva Pharmaceuticals USA, Inc., Cephalon, Inc., Johnson & Johnson, Janssen Pharmaceuticals, Inc., Endo Health Solutions Inc., Endo Pharmaceuticals, Inc., Actavis plc, Actavis, Inc., Watson Pharmaceuticals, Inc., and Watson Laboratories, Inc.
- Distributor Defendants: McKesson Corporation, Cardinal Health, Inc., and AmerisourceBergen Corporation.
Topic: Consumer
Most Recent Case Event
Manufacturers and Distributors Conspired to Raise Opioid Use RICO Complaint
August 21, 2018
The complaint for this class action begins by pointing out that, since 1999, there have been more than 183,000 opioid-related deaths in the US, or more than three times the number of US soldier who died in the Vietnam War. Its primary allegation is that the manufacturers and distributors of opioids have violated the Racketeering Influenced and Corrupt Organizations (RICO) Act and driven up the price of health insurance in Pennsylvania.
opiod_antitrust_complaint.pdfCase Event History
Manufacturers and Distributors Conspired to Raise Opioid Use RICO Complaint
August 21, 2018
The complaint for this class action begins by pointing out that, since 1999, there have been more than 183,000 opioid-related deaths in the US, or more than three times the number of US soldier who died in the Vietnam War. Its primary allegation is that the manufacturers and distributors of opioids have violated the Racketeering Influenced and Corrupt Organizations (RICO) Act and driven up the price of health insurance in Pennsylvania.
opiod_antitrust_complaint.pdf