Recall that in 2007, Purdue Pharma paid a $634 million fine in connection with inappropriate marketing of Oxycontin. Of that fine, $160 million was specifically earmarked to reimburse the federal government and state governments for damages suffered by the Medicaid program. Kentucky's share of that fine was to be $500,000.
Kentucky said "no thanks" and filed its own lawsuit.
Seven years later, we're as close as we've ever been to a trial and it's more likely than not that we'll see this trial play out at "ground zero" (Pike County prosecutor Rick Bartley's phrase, not mine) of the opioid epidemic. For Purdue, whose chief financial officer is on record as saying that this could be a billion dollar case and would have a "crippling effect on Purdue's operations and jeopardize Purdue's long-term viability," this is nothing less than a "save the company" moment.
On the opposite side of the courtroom will be Kentucky Attorney General Jack Conway, a rising political star in the state. He lost the 2010 US Senate Race to Rand Paul, but remains an up and comer in the Democratic party in Kentucky. This is one of those cases in which an Attorney General can set himself up for future political wins. And beyond that, I think he genuinely wants to do the right thing here. And the right thing, according to Mr. Conway, is to hold Purdue accountable. I met Mr. Conway and got to talk with him for a few minutes at last year's National Prescription Drug Abuse Summit in Atlanta. He's the real deal. He cares about the issue of prescription drug misuse and abuse.
The most interesting take-away from the article: Purdue hired an outside consultant to assess the likelihood of getting a fair trial in Kentucky. The findings?
- 40% of Pike County residents knew someone who had run into criminal trouble because of an Oxycontin addiction;
- 33% knew someone who overdosed to was otherwise seriously hurt by the drug;
- 29% knew someone who had died;
- 90% agreed that Oxycontin had a "devastating effect" on the community.
I'm not a legal expert. I don't know if Purdue can get a fair trial in Pike County or not. But either way, it sounds to me like there's going to be a fight - and a very public and very ugly fight at that.
On Twitter @PRIUM1
On Twitter @PRIUM1