Tennessee AG provides update regarding settlement with Mallinckrodt
Tennessee’s Attorney General has provided an updated regarding a settlement with 50 state attorney generals, local subdivisions, and the opioid manufacturer Mallinckrodt.
A new settlement pending before bankruptcy court has Mallinckrodt paying $1.6 billion into a trust that will go towards fighting the opioid crisis, including valid claims related to the company’s involvement in the crisis raised by non-governmental claimants. The company will make payments in three different phases including $450 million after emerging from bankruptcy, then $200 million on first and second year after emerging from bankruptcy, and $150 million for the third through seventh year from bankruptcy.
Mallinckrodt is the largest generic opioid manufacturer in the country.