Baltimore Reaches $45 Million Opioid Settlement with Allergan

The city of Baltimore has reached a $45 million settlement with Allergan Financet to resolve the city’s claims in ongoing litigation against opioid distributors and manufacturers related to the nation’s opioid epidemic.

The settlement comes after the city opted out of a proposed global settlement with other municipalities and states under which Baltimore would have received about $7 million spread over seven years, according to Mayor Mayor Brandon M. Scott.

The city’s settlement is larger than the settlements Allergan reached with many states, including the state of Maryland. In March, Maryland Attorney General Anthony G. Brown finalized settlements totaling $238 million with four firms: Teva, $70 million; Allergan, $38 million; Walmart, $55 million and Walgreens, $75 million.

Allergan will pay the entire $45 million settlement amount to Baltimore within 30 days, Scott said..

The litigation is aimed to holding distributors and manufacturers accountable for the opioid epidemic.

“We are fully aware of the devastating toll that the actions of these defendants have taken on our City, and we have shown our commitment to ensuring that they pay their fair share to tackle the harms they have left in the wake of their greed,” said Scott.

Allergan’s two opioid drugs, Kadian and Norco, made up less than half a percent of the opioids sent to Baltimore pharmacies.

In its settlement agreement with Allergan, the city has committed to using at least $5 million of the recovery for the Peer Navigator Program and $5 million of for Charm City Care Connection. In addition to these allocations, Scott announced the creation of a board that will oversee how opioid settlement money is spent.

The defendants remaining in the city’s lawsuit were responsible for over 80% of the opioids targeted at Baltimore pharmacies. Litigation is proceeding against defendants Johnson & Johnson, McKesson, Cardinal Health, AmerisourceBergen, Walgreens, CVS, Teva, and former Insys CEO John Kapoor. The case is set for trial on September 16.

The case is Mayor & City Council of Baltimore v. Purdue Pharma L.P., et el., 24-C-18-000515 in the Circuit Court of Maryland for Baltimore City.