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RIAG: Teva, Allergan Pay $28M Opioid Settlement

RI Attorney General Peter F. Neronha.
RI Attorney General Peter F. Neronha.
RI Attorney General Peter F. Neronha.

PROVIDENCE, R.I. – Attorney General Peter F. Neronha announced $28.5 million in Opioid settlements with drug manufacturers Teva and Allergan that will deliver $28.5 million in cash as well as one million life-saving Naloxone sprays to RI the next 10 years.

Rhode Island will also receive 67,000 30-pill bottles of the treatment drug Suboxone in various doses over the next 10 years at no cost, bringing the combined settlement value up to approximately $107 million to combat the opioid epidemic. The agreements resolve claims brought by the Office for the companies’ roles in helping to fuel the opioid epidemic.

Over the past year, Attorney General Neronha has now negotiated a total of more than $250 million for opioid treatment, rescue, prevention, and recovery in Rhode Island. Today’s agreement also resolves Rhode Island’s claims against the last remaining opioid defendant in Rhode Island’s principal opioid litigation.

“While no amount of money will ever be enough to undo the harm suffered by Rhode Islanders throughout the ongoing opioid epidemic, these additional recoveries will further support public health efforts to respond to the challenges brought on by this epidemic, which have grown much worse during the Covid-19 pandemic,” said Attorney General Neronha. “And now, with the agreement of Teva to supply the state with enough Naloxone to meet the projected demand, at no cost for the next 10 years, we can use these hard-gained monetary recoveries for other purposes. City and town leaders have been important partners in this litigation, and I look forward to working with them to deliver these additional resources to the people they serve.”

Settlement highlights include:  

  • Teva and Allergan will pay Rhode Island a combined $28.5 million over 13 years, $21 million from Teva and $7.5 million from Allergan.
  • Municipalities will have the same opportunity to share in this recovery under the Memorandum of Understanding between the State and cities and towns, which provides that 20% of the cash recoveries will go to cities and towns that join the agreement.
  • Payments are front-loaded to ensure monetary relief to Rhode Island as quickly as possible:
    • A total of $12 million will be paid within 60 days of the settlement.
    • Rhode Island will receive more than half of its cash recovery from Teva – $13 million – within one year of the settlement
    • Rhode Island will receive its full recovery from Allergan within six years, at $1.25 million per year.
    • Cities and towns will have an opportunity to receive their share of funds upfront by joining the settlement within 60 days.

Teva has also committed to supply Rhode Island with supplies of Naloxone and Suboxone that are sufficient to meet the State’s projected needs for the next 10 years, according to Rhode Island health officials.

Teva will supply 50,000 kits of Naloxone (100,000 nasal sprays) per year for 10 years, medication valued at $62.5 million. Naloxone is a lifesaving intervention that can reverse the often-fatal effects of an overdose.

Teva will supply Suboxone medication valued at $16 million over 10 years. Suboxone is a medication used to treat opioid use disorder.

Rob Borkowski
Author: Rob Borkowski

Rob has worked as reporter and editor for several publications, including The Kent County Daily Times and Coventry Courier, before working for Gatehouse in MA then moving home with Patch Media. Now he's publisher and editor of Contact him at [email protected] with tips, press releases, advertising inquiries, and concerns.

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