J&J agrees to stop making opioids in the U.S., pay $230M to settle NY claim

The drugmaker Johnson & Johnson has agreed to pay $230 million to settle allegations stemming from an opioid-use epidemic, the office of state Attorney General Letitia James announced Saturday as a trial was set to begin next week in Central Islip.

The company, which did not admit wrongdoing, also announced it has stopped making and distributing opioids in the United States.

In a news release, James said: "Johnson & Johnson helped fuel this fire, but today they’re committing to leaving the opioid business — not only in New York, but across the entire country. Opioids will no longer be manufactured or sold in the United States by J&J."

The release added: "Today’s agreement also makes enforceable a bar stopping J&J and all of its subsidiaries, predecessors, and successors from manufacturing or selling opioids anywhere in New York, and acknowledges Johnson & Johnson’s exit from the opioid business nationally."

Some of the drugs at issue include Duragesic, Nucynta, and Nucynta ER, which the company said accounted for less than 1% of total opioid prescriptions in the United States since their launch.

The suit, by James' office, as well as Nassau and Suffolk counties, accused Johnson & Johnson — the parent company of Janssen Pharmaceuticals Inc. — and other manufacturers and distributors of being responsible for the deaths of thousands of people on Long Island during the past decade.

According to the Centers for Disease Control and Prevention, nearly 500,000 people died around the country from an opioid overdose between 1999 and 2019, a figure that includes both prescription and illicit opioids.

The suit was filed in 2019. The other defendants, together with related entities, are Purdue Pharma; members of the Sackler Family, who own Purdue; Mallinckrodt LLC; Endo Health Solutions; Teva Pharmaceuticals USA Inc.; Allergan Finance LLC, as well as McKesson Corp., Cardinal Health Inc., AmerisourceBergen Drug Corp. and Rochester Drug Cooperative Inc., the release said.

The settlement is pending the approval of the legislatures of Nassau and Suffolk counties, according to the text of the settlement agreement, which spans 87 pages.

In a statement by the company also issued Saturday, it said it had made the decision last year to "discontinue all of its prescription pain medications in the United States. The settlement is not an admission of liability or wrongdoing by the company, and it is consistent with the terms of the previously announced $5 billion all-in settlement agreement in principle for the resolution of opioid lawsuits and claims by states, cities, counties and tribal governments.

"The dollar amount to be received by the state is the prorated share it would have received under the broader agreement in principle, which will be deducted from the all-in settlement amount."

The trial will be the first of its type to go before a jury. Hundreds of witnesses are expected to participate.

By Matthew Chayes

matthew.chayes@newsday.comchayesmatthew

Matthew Chayes, a Newsday reporter since 2007, covers New York City.