CAR Recap Summary - Six Remnant Defendants Opioid Settlement.docx
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CITY OF BUCKEYE
Finance Department
530 E Monroe Ave. • Buckeye, Arizona 85326
Phone 623-349-6165 • www.buckeyeaz.gov
National Opioid Settlement with Six Remnant Defendants - Summary Recap
Project Description:
State and local governments across the country have been litigating against the opioid industry,
alleging that the industry utilized unethical and illegal practices with respect to promoting the use of
opioids. In December 2020, Council approved the One Arizona Opioid Settlement Memorandum of
Understanding (MOU) between the State and Participating Local Governments. The MOU served to
jointly approach settlement negotiations with the Pharmaceutical Supply Chain Participants. In
November 2021, Council approved the One Arizona Opioid Agreement, which establishes Arizona’s
disbursement of the funds related to a national class action lawsuit against opioid manufacturers
and distributors. In December 2022, Council approved the execution and delivery of the National
Opioids Distributor Settlement Agreement with three opioid distributors, McKesson,
AmerisourceBergen, and Cardinal, and the Janssen Settlement Agreement with one manufacturer,
Johnson & Johnson. In April 2023, Council approved the execution and delivery of the National
Opioids Distributor and Settlement Agreements in the National Settlement(s) for five opioid
distributors: Teva, Allergan, Walmart, Walgreens, and CVS. In August 2025 Council approved the
execution and delivery of the Purdue Direct Settlement. In September 2025, Council approved the
execution and delivery of the Secondary Manufacturers Settlement, which includes eight opioid
manufacturers: Alvogen, Amneal, Apotex, Hikma, Indivior, Mylan, Sun, and Zydus.
A new settlement, known as the Six Remnant Defendants Settlement, was reached with six opioid
manufacturers: Associated Pharmacies, Inc (and American Associated Pharmacies); J M Smith
Corporation; Louisiana Wholesale Drug Company, Inc.; Morris and Dickson Co.; North Carolina
Mutual Wholesale Drug Company, Inc.; and United Natural Foods, Inc. (including its subsidiaries
SuperValu and Advantage Logistics). The next step in the process is for the Council to approve the
submission of the Settlement Participation form. The agreement provides for a complete waiver of
any and all past, current and future claims related to opioid use and is essentially a contract of
adhesion, as there is no ability to negotiate the terms at the city level, as the State took on that
responsibility. The exact amount that will be disbursed and when the disbursement will take place is
based on the total number of municipalities throughout the US that sign off on the agreements.
Failure to approve and submit Settlement Participation forms for the Six Remnant Defendants by
April 24, 2026, will mean the City will not receive any funds from the settlements. To receive these
critically needed funds to assist in addressing the opioid crisis in our community, the staff
recommends council approval of submission of the Settlement Participation Form authorizing the
city to participate in the opioid settlement.
Settlement Award
It is unknown how much the city will receive, but it will be a portion of the $97,625,000 national fund.
Plans:
Completion and submission of Settlement Participation Forms by April 24, 2026.
Objectives and Expected Outcomes
Funds received from these settlements will be used for treatment, prevention efforts, and education
in our community related to the opioid crisis.
Time Period for the Settlement
FY 2027 and on-going until settlement has been completed.