Factbox-Rite Aid joins companies going bankrupt amid opioid litigation

(Reuters) – Drugstore chain Rite Aid is the latest U.S. company to seek bankruptcy protection following pressure from lawsuits alleging that they helped fuel the opioid crisis.

Opioid drugs have been one of the major causes of the more than one million deaths since 1999 tied to drug overdose, according to data from U.S. Centers for Disease Control and Prevention.

Litigation against drugmakers, pharmacies and distributors, claiming that drugmakers downplayed the risks of opioids and that distributors and pharmacies failed to prevent them from being diverted to the illegal market has resulted in more than $50 billion in total settlements.

Here is a list of companies forced to file for bankruptcy protection, mainly due to U.S. opioid lawsuits and settlements.



RITE Aid October 2023 Rite Aid files for bankruptcy protection and

says it will close underperforming stores.

The company adds it has received a commitment

for $3.45 billion from some lenders to stay

afloat during the bankruptcy process.

Mallinckrodt August 2023 Ireland-based drugmaker files for its second

bankruptcy in the United States in a move

that reduced $1 billion from what it owes to

victims of the U.S. opioid crisis.

Endo International August 2022 U.S. drugmaker files for bankruptcy seeking

to settle thousands of lawsuits over its

alleged role in the opioid epidemic.

Rochester Drug March 2020 Drug distributor files for bankruptcy, nearly

Co-operative a year after it became the first

pharmaceutical distributor to be criminally

charged in relation to the opioid crisis.

Purdue Pharma September OxyContin maker files for bankruptcy as part

2019 of proposed $10 billion settlement for its

creditors, individual victims of addiction

and others who sued the company. The US

Supreme Court halts settlement in August

after government challenges its legality amid

concerns it would shield its wealthy owners,

the Sackler family.

Insys Therapeutics June 2019 The drugmaker files for bankruptcy protection

amid mounting expenses driven by a U.S.

Justice Department probe into claims it paid

doctors bribes to prescribe a powerful opioid


(Reporting by Pratik Jain and Leroy Leo in Bengaluru; Editing by Arun Koyyur)