31 Dec 2021

Drugmaker helped drive opioid addiction in New York, jury finds

12:24 pm on 31 December 2021

Teva Pharmaceutical Industries fuelled opioid addiction in New York state a jury has found on Thursday, a setback for a company still facing thousands of other opioid-related lawsuits around the United States.

A picture taken on December 14, 2017 shows the Jerusalem Teva plant, the world's biggest manufacturer of generic drugs.

The Teva plant in Jerusalem. Photo: AFP

The verdict, which followed a nearly six-month New York state court trial in a case brought by the state and two of its counties, does not include damages, which will be determined later.

The judge in the case is still considering a request Teva made for a mistrial after a lawyer for the state cited an inaccurate statistic about opioid prescriptions in his closing argument. If the verdict stands, it could put pressure on Teva to reach a nationwide settlement with other states and local governments over opioid claims.

New York and Nassau and Suffolk counties had accused the Israel-based drugmaker of engaging in misleading marketing practices that fuelled opioid addiction in the state, including by pushing drugs for off-label use.

They focused on Actiq and Fentora, cancer pain drugs made by Cephalon, a company Teva bought in 2011, as well as generic opioids sold by Teva.

The evidence at trial included a parody video made for a Cephalon sales meeting in 2006 in which the villain, Dr Evil from the Austin Powers films, talks about promoting the drugs for non-cancer pain, and another video, based on a courtroom scene in the film A Few Good Men, in which a Cephalon employee tells a lawyer played by Tom Cruise that he "can't handle the truth" about what sales representatives need to do to meet quotas.

Teva argued at trial that it complied with federal and state regulations and denied engaging in deceptive marketing. It attributed a surge in opioid prescriptions to a change in medical standards of care emphasising pain treatment beginning in the 1990s.

US officials have said that by 2019, the health crisis had led to nearly 500,000 opioid overdose deaths over two decades. More than 100,000 people died from drug overdoses during the 12-month period ending April 2021, the US Centres for Disease Control and Prevention said in a report in November, a record driven in large part by deaths from opioids like fentanyl.

The New York lawsuit is one of more than 3300 filed by state, local and Native American tribal governments across the country accusing drugmakers of minimising the addictiveness of opioid pain medications, and distributors and pharmacies of ignoring red flags that they were being diverted into illegal channels.

Other defendants in the case settled before or during trial - major pharmacies , distributors McKesson, AmerisourceBergen and Cardinal Health, and drugmakers Johnson & Johnson, Endo International and AbbVie. AbbVie's settlement, for $US200 million ($292m), came at the very end of the trial, on the day of closing arguments.

The settlement with J&J and the distributors was part of a nationwide deal worth up to $26 billion. Teva did not take part in that deal.

Teva previously prevailed in a similar case when a California judge on 2 November ruled that it and other drugmakers were not liable in a lawsuit brought by several counties in the state.

OxyContin maker Purdue Pharma filed for bankruptcy in 2019 and had hoped to resolve a flood of lawsuits over the painkiller through a deal in which the company's former owners, the Sackler family, would pay $4.5 billion in exchange for immunity from future lawsuits. However, a federal judge on 17 December scrapped the deal, a decision the company was expected to appeal.

-Reuters

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