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Endo Seeks to Block Government Opioid Lawsuits During its Bankruptcy

Submitted by jhartgen@abi.org on

Endo International plc sued hundreds of state and local governments on Friday, seeking a ruling that their lawsuits accusing the company of helping fuel the U.S. opioid epidemic must be paused during the pharmaceutical company's bankruptcy, Reuters reported. In a filing in U.S. bankruptcy court in Manhattan, Endo said if those lawsuits are allowed to continue, the company will not be able to focus on successfully completing its restructuring, including a comprehensive resolution of the opioid claims. Endo filed for chapter 11 protection on Aug. 17, seeking to address its high debt load and resolve more than 3,100 lawsuits accusing the company of deceptively marketing prescription opioids like Opana by downplaying the risk of addiction. Before filing for bankruptcy, Endo reached a $450 million settlement with more than 30 states to resolve the lawsuits, but it still faces litigation risk from state and local governments that have not agreed to participate in the settlement. Other state and local governments, including Florida and West Virginia, had previously settled their opioid claims against Endo.