55 U.S. States & Territories Accept $7.4 Billion Purdue‑Sackler Settlement to Aid Opioid‑Hit Communities

Alabama is one of 55 U.S. states and territories participating in a landmark $7.4 billion settlement with Purdue Pharma and the Sackler family. The deal is designed to resolve long-running lawsuits over the companies’ role in America’s opioid crisis .

The settlement includes approximately $6.5 billion from the Sacklers and about $900 million from Purdue itself. Money will be distributed in stages—mostly in the first three years—with an initial Sackler payment of $1.5 billion. Purdue will pay $900 million upfront, followed by further installments over three years.

Alabama Attorney General Steve Marshall praised the agreement: “Today is a testament to our steadfast commitment to providing justice and holding the Sackler family and Purdue Pharma accountable. Our commitment to the first-in-the-nation litigation strategy has positioned Alabama to bring over three quarters of a billion dollars back to our state—a state that the opioid crisis has disproportionally impacted. It’s important for local communities to take swift action to sign on to the agreement to ensure they receive the opportunity to put that money to work for our Alabama citizens in need. Together with prudent decision making, we can make a difference for our communities and law enforcement who desperately need the support.”

Under the plan, the Sacklers will relinquish control of Purdue and must cease selling opioids in the U.S. Funds will flow to states, localities, Native American tribes, and individuals over 15 years. Alabama and its local governments could receive up to $75 million; nationwide, the settlement marks the largest one yet with those deemed responsible for the opioid crisis.

Alabama has now secured nearly $730 million from various opioid‑related legal settlements.

Assuming the settlement is approved by the bankruptcy court, state and local governments must formally join the deal to secure their share. A hearing is expected in the coming days. Communities will be expected to use the bulk of funds in the first three years for addiction treatment, prevention, and recovery services.

According to the U.S. Centers for Disease Control and Prevention, more than 850,000 people have died from opioid-related overdoses since 1999. In 2024, deaths from opiate overdose decreased by nearly 27%.