A proposed $ 150 million agreement has been reached with Purdue Pharma Canada, covering all provinces and territories to reimburse healthcare costs related to the sale and marketing of opioid-based painkillers.
British Columbia Attorney General David Abby said on Wednesday that this was the largest settlement of a government claim for health care spending in Canadian history.
“We know that no amount of money can bring back those who have died, but we are committed to holding corporations and others responsible for alleged abuses committed in the production and distribution of opioid products,” Ibi said in a statement Wednesday.
In a lawsuit filed in 2018, the province targeted more than 40 drug manufacturers and retailers in a bid to reimburse healthcare costs related to the drug crisis, which killed thousands across the province.
Ibbi said the proposed agreement has been accepted by governments across Canada and a plan is being worked out to determine how the money will be distributed based on the impact of each province.
“The money will go to support provincial programs to fight the opioid epidemic, which we believe Purdue’s actions have contributed to through fraudulent marketing,” he said.
More than 27,000 people died nationwide from toxic street drugs between 2016 and September 2021.
Officials say Purdue Pharma, the maker of OxyContin, downplays the risks of its drugs when it advertises them to doctors, especially when it comes to their potential for addiction, which contributes to the opioid crisis.
The resulting health care costs, such as addiction treatment, emergency response and hospital bills, are the result of “misconduct by manufacturers, distributors and their consultants,” the province said.
The case was the first of its kind by a government in Canada.
Purdue Pharma Canada denied any wrongdoing when the lawsuit was first filed. A statement from the company at the time said it was following Canadian and international drug marketing rules, as well as the code of ethics prescribed by Innovative Medicines Canada, an industry group for pharmaceutical companies.
Ibbi said many opioid manufacturers, distributors, and some of the companies they work with remain listed in the lawsuit and will be “aggressively prosecuted.”
BC says it hopes the agreement will pave the way for further similar agreements.
The application for certification of the collective claim in the Supreme Court of British Columbia is scheduled for the fall of 2023.
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