Many Sacklers, Many Trusts: Why Purdue Pharma Wants a Settlement
- Deal would avoid risky, expensive ‘race to the courthouse’
- Fragmented family and its trusts complicate potential payouts
Purdue Pharma L.P. OxyContin medication.
Photographer: George Frey/Bloomberg
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For Purdue Pharma LP, the rationale behind a proposed $4.3 billion settlement with the members of the billionaire Sackler family that own the company comes down to uncertainty.
The bankrupt OxyContin maker -- as well as creditors seeking to hold Purdue and its owners accountable for the opioid crisis -- could use wide-ranging legal theories to try to extract billions of dollars from members of the Sackler family. But the endeavor would be convoluted, expensive, and could fail entirely, Purdue’s lawyers argue in new bankruptcy court papers.