The Daily Briefing 6.29.2021

The first jury trial in nationwide opioid litigation opens in New York today, with leading drug manufacturers and drug distributors accused of fueling the ongoing opioid epidemic that has claimed more than 800,000 lives over the past two decades. The case, brought by Nassau and Suffolk counties, is one of several thousand lawsuits brought by states, counties, Native Tribes, and the federal government seeking compensation for the devastation caused by the crisis. Other trials underway in West Virginia and California are before a judge, but in New York prosecutors will tell the jury about the machinery that powered a drug scourge via overdoses of prescription and street opioids. Pharmacy chains were also named in the New York complaint, but they reached a settlement before the trial opened, as many companies in the wide-ranging litigation have already done. Last year, a record 90,000 Americans died from a drug overdose, the majority opioid-related.

Meanwhile, a “lockbox” bill that would guarantee that funds from opioid settlements would go only toward education, prevention, and drug treatment is still on Governor Cuomo’s desk. The bipartisan measure would change the usual practice of placing the money in the state’s general fund, which could divert funding for other purposes.

And finally, in another legal development, e-cigarette maker Juul has reached a $40 million settlement in a North Carolina case, in which the once industry-leading company was accused of deceptive marketing practices that contributed to a wave of teen nicotine addiction. Thirteen other states have filed similar lawsuits against Juul, alleging that its sleek vaping device—originally aimed at helping smokers quit—actually targeted teens and young adults who had never smoked and hooked them on nicotine and marijuana.