Phillips & Cohen partner Erika Kelton suggests four additional approaches to fix Purdue Pharma’s “woefully inadequate” proposed bankruptcy and restructuring settlement plan in an article for Forbes.com:
Purdue Pharma’s proposed bankruptcy settlement plan should quickly and ethically provide states, municipalities and tribes with as much compensation as possible to help them deal with the opioid crisis that was fueled by Purdue’s reckless promotion of its drugs.
Purdue Pharma’s latest settlement proposal, submitted late Monday to federal bankruptcy court in New York, fails to do that.
Not only is the $4.2 billion – which the Sacklers would barely notice is gone – woefully insufficient, but tacking on an additional two years for making those payments gives the Sacklers time that addicts, their families and the governments that provide treatment and support can’t afford.
The burden of addressing the suffering and loss caused by Purdue’s business practices should be carried by the company for many years to come.
Read the entire article, “What Is Missing From Purdue Pharma’s Audacious, Proposed Bankruptcy Plan,” on Forbes.com.