4 companies on verge of settling US opioid lawsuits

The three biggest U.S. drug distribution companies and the drugmaker Johnson & Johnson are on the verge of a $26 billion settlement covering thousands of lawsuits over the toll of opioids across the U.S., two people with knowledge of the plans told The Associated Press.

As a precursor to the bigger deal, New York reached an agreement Tuesday with the distribution companies AmerisourceBergen, Cardinal Health and McKesson to settle an ongoing trial in the state. That deal alone would generate more than $1 billion to abate the damage done by opioids there. The trial is expected to continue, but the settlement leaves only three drug manufacturers as defendants.

“Today, we’re holding them accountable delivering more than $1 billion more into New York communities ravaged by opioids for treatment, recovery, and prevention efforts," New York Attorney General Letitia James said in a statement Tuesday.

The people who gave the AP details of the national settlement did so on the condition of anonymity because they were not authorized to speak as details are finalized.

The national settlement with the four companies is expected to be the biggest single settlement in the complicated universe of litigation over the opioid epidemic in the U.S. It won't end the cases, but it will change them. With Johnson & Johnson settling in addition to deals being pursued by OxyContin maker Purdue Pharma and generic drugmaker Mallinckrodt, three key manufacturers will no longer be part of the cases, nor will the national drug distributors.

Other manufacturers, regional distribution companies and pharmacies will remain in the cases for now.

Cardinal Health declined to comment early Tuesday, and the other distribution companies did not respond to requests for comment. But Johnson &...