$400M settlement announced for West Virginia in 12-year opioid legal battle

Aug. 2—CHARLESTON — A $400 million settlement between West Virginia's cities and counties and three opioid distributors is being hailed as a positive tool in the fight against the opioid epidemic.

On July 5, AmerisourceBergen, Cardinal Health and McKesson were set to begin arguments before the West Virginia Mass Litigation Panel but was continued to allow the parties to finalize terms of a settlement that was reached just before opening statements were scheduled to begin.

The settlement, which requires the approval of West Virginia counties and cities, will provide needed funding for combating West Virginia's opioid crisis and incorporates controls to ensure that the settlement funds are spent on well recognized methods for abating harms associated with the opioid epidemic.

Paul T. Farrell Jr. of the law firm Farrell & Fuller LLP, of San Juan, Puerto Rico, and Bob Fitzsimmons of the law firm Fitzsimmons Law Firm PLLC, of Wheeling, were the co-lead attorneys for all West Virginia counties and cities in the lawsuit.

West Virginia's counties and cities were not eligible to participate in the national settlement with the "Big Three" Distributors. Instead, West Virginia proceeded on its own litigation track in both federal and state courts. The $400 Million dollar settlement reached here will result in West Virginia receiving more settlement dollars per capita than any other state and more than double its allocation share. The funds will be paid out over 12 years and front-loaded compared to the 18-year payment schedule that is part of the national settlement.

"This settlement is an acknowledgment of the downstream devastation caused by the wholesale distribution of a billion opium pills throughout West Virginia," Farrell said. "The settlement terms also require the monies be used to abate the opioid public health epidemic which is further proof that we can impact and drive down opioid abuse and addiction with much needed resources."

West Virginia Attorney General Patrick Morrisey gave lackluster praise to the settlement agreement saying it "will benefit the fight against the opioid epidemic in West Virginia."

"I'm happy to see the judicial system work as it should by benefiting West Virginia communities that have been hit hard by opioid abuse," Morrisey said. "This settlement, along with other settlements from other cases, will provide significant help to those affected the most by the opioid crisis in West Virginia. I've always said that at the end of the day, West Virginia will have the highest per capita settlement results in the nation fighting for our people."

Fitzsimmons said opioids have gripped West Virginia for years and impacted hundreds of families, if not more.

"West Virginia has been plagued by an opioid epidemic that has brought addiction, opioid use disorder, overdose, and deaths to our friends, neighbors, and family. There is not a single person in our State who has not been affected by this crisis," Fitzsimmons said. "While money will never restore what has already been lost, our hope is that this settlement will help West Virginia turn the corner in its fight against this epidemic by providing critical funding and resources necessary to combat this epidemic-funding that will be paid by the drug industry and not the citizens and taxpayers of West Virginia"

Fitzsimmons characterized the settlement as 'record-setting' and that it took courage to fight in the courts.

"This record setting settlement for the people of West Virginia is in large part the result of the tireless work, legal ingenuity, and courage of Paul Farrell, Jr. Paul was the architect of this litigation and devoted years of his life fighting for the people of West Virginia," Fitzsimmons said.

"West Virginians should also be proud of the way in which West Virginia's legal system handled this complex case," added Fitzsimmons and Farrell. "In particular, the appointed judges of West Virginia's Mass Litigation Panel are to be thanked for their tireless efforts in this important litigation."

According to a law firm press release members of the West Virginia judiciary managed, analyzed, and ruled upon hundreds of motions; issued orders regarding complex and novel questions of law and evidence; and participated in multiple mediations between the parties. Members of the judiciary ensured that every person in the lawsuito had a fair day in court.

"We are particularly proud of the fact that this litigation war pitted the West Virginia plaintiffs' bar against some of the best blue-chip law firms in the country," Farrell said.

The West Virginia settlement excludes the City of Huntington and Cabell County who were the first to take the Big Three to trial in the country but received an adverse judgment in a bench trial.

"The exclusion of Huntington and Cabell County is particularly painful because this community is the epicenter of the opioid epidemic and started the national litigation," Farrell said.

Farrell noted that Huntington and Cabell County used the same legal theory, witnesses and evidence that resulted in a $21 billion national settlement and $400 million statewide settlement for the remaining 54 West Virginia counties and cities.