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HomeMy WebLinkAboutAgreements/Contracts - BOCC (004)Bob Ferguson ATTORNEY GENERAL OF WASHINGTON 1125 Washington Street SE — PO Box 40100 — Olympia, WA 98504-0100 July 14, 2022 RE: Opioid Settlement Dear Local Elected Leaders: One of my highest priorities as Attorney General has been to address the opioid crisis that has devastated so many communities and families throughout our state. I know you are already familiar with how destructive the opioid epidemic has been for Washington, and I am grateful for all you've already done to confront the many challenges it presents. After two years of litigation and a lengthy trial against the three largest pharmaceutical distributors in the nation, my office recently entered into a settlement agreement in which the defendants have agreed to pay $518 million over 17 years if all conditions are met. These funds will provide much needed resources and assistance to deal with this crisis. You and your colleagues will have discretion to earmark a significant portion of this settlement to combat the opioid epidemic in your communities. For the distributor settlement agreement to become effective, we must have sign on to the settlement from (1) all jurisdictions in our state that filed a lawsuit against the distributors and (2) 90% of jurisdictions with a population of over 10,000 that did not file a lawsuit. This structure is similar to the arrangement that 48 other states and local governments have entered into with opioid distributors. Importantly, no group of litigating or non -litigating jurisdictions has decided not to approve the national settlement, and this resolution will bring tens of millions more to our communities. As a non -litigating jurisdiction, your participation in the settlement agreement is crucial to ensure we receive the funding necessary to provide additional resources to providers and treatment to individuals who desperately need our help. If we do not receive the requisite participation by the local governments, we will not receive the $518 million to help Washington combat the opioid epidemic. Your jurisdiction can sign on by executing and returning the enclosed Participation Form. We have a deadline of Friday, September 23, 2022 for local government approval. Please return the completed Participation Form to: comopioidscases(a�atgwa.gov j%jy C tpd�� �p ER,E ,4. �,'fp� �' �`� 9 ti a,..v ...+ 4 `•.s t, t} P y.: 'r,�. evx,=.�<c:.• .rv.:camcesrYxerce,:;�,.-�c :.r�_c,:.,u-x�._". .r..e.c+*:a._ ATTORNEY GENERAL OF WASHINGTON Local Elected Leaders July 14, 2022 Page 2 Thank you for all you have already done to address the opioid crisis in our state. I urge you to sign on to the settlement agreement as soon as possible to allow us to begin distributing these funds promptly and get additional treatment and support to those who need it most. Here are links to Washington's settlement with the distributors and the national distributor settlement, which is an exhibit to Washington's settlement: • Washin ton Distributor settlement • National .Distributor Settlement Our office has recovered a total of more than $730 million from opioid litigation, including $183 million in recoveries from Purdue Pharma, more than $18 million from Mallinckrodt, and $13.5 million from McKinsey to address harms from the opioid crisis. This includes $159 million in additional resources because we rejected national settlements involving Purdue Pharma and the distributors and took those corporations to court. If you have any questions, please contact Jeff Rupert, Chief of my Complex Litigation Division at 206-389-2116 or Jeffre ..Ru ert at .wa. ov. Sincerely, BOB FERGUSON Attorney General RWF/j lg Encl. Exhibit F Subdivision Settlement Participation Form Governmental Entity: "rri" c,, State: W A Authorized Official: , , ;TD tiC Address 1: ROY- 31 Address 2: ° City, State, Zip: �4 A - - Phone: �0 0 i Email: 0,C 1-4 o o Ca 5 r aj&+ O c The governmental entity identified above ("Governmental Entity"), in order to obtain and in consideration for the benefits provided to the Governmental Entity pursuant to the Settlement Agreement dated May 2, 2022 ("Distributors Washington Settlement"), and acting through the undersigned authorized official, hereby elects to participate in the Distributors Washington Settlement, release all Released Claims against all Released Entities, and agrees as follows. 1. The Governmental Entity is aware of and has reviewed the Distributors Washington Settlement, including the Distributor Global Settlement Agreement dated July 21, 2021 ("Global Settlement") attached to the Distributors Washington Settlement as Exhibit H, understands that all terms in this Participation Form have the meanings defined therein, and agrees that by signing this Participation Form, the Governmental Entity elects to participate in the Distributors Washington Settlement and become a Participating Subdivision as provided therein. 2. The Governmental Entity shall, within 14 days of October 1, 2022 and prior to the filing of the Consent Judgment, secure the dismissal with prejudice of any Released Claims that it has filed. 4. The Governmental Entity agrees to the terms of the Distributors Washington Settlement pertaining to Subdivisions as defined therein. 5. By agreeing to the terms of the Distributors Washington Settlement and becoming a Releasor, the Governmental Entity is entitled to the benefits provided therein, including, if applicable, monetary payments beginning after December 1, 2022. 6. The Governmental Entity agrees to use any monies it receives through the Distributors Washington Settlement solely for the purposes provided therein. 7. The Governmental Entity submits to the jurisdiction of the Washington Consent Judgment Court for purposes limited to that court's role as provided in, and for resolving disputes to the extent provided in, the Distributors Washington Settlement. The Governmental Entity likewise agrees to arbitrate before the National Arbitration Panel as provided in, and for resolving disputes to the extent otherwise provided in the Distributors Washington Settlement. F-1 8. The Governmental Entity has the right to enforce the Distributors Washington Settlement as provided therein. 9. The Governmental Entity, as a Participating Subdivision, hereby becomes a Releasor for all purposes in the Distributors Washington Settlement, including, but not limited to, all provisions of Section XI of the Global Settlement, and along with all departments, agencies, divisions, boards, commissions, districts, instrumentalities of any kind and attorneys, and any person in their official capacity elected or appointed to serve any of the foregoing and any agency, person, or other entity claiming by or through any of the foregoing, and any other entity identified in the definition of Releasor, provides for a release to the fullest extent of its authority. As a Releasor, the Governmental Entity hereby absolutely, unconditionally, and irrevocably covenants not to bring, file, or claim, or to cause, assist or permit to be brought, filed, or claimed, or to otherwise seek to establish liability for any Released Claims against any Released Entity in any forum whatsoever. The releases provided for in the Distributors Washington Settlement are intended by the Agreement Parties to be broad and shall be interpreted so as to give the Released Entities the broadest possible bar against any liability relating in any way to Released Claims and extend to the full extent of the power of the Governmental Entity to release claims. The Distributors Washington Settlement shall be a complete bar to any Released Claim. 10. The Governmental Entity hereby takes on all rights and obligations of a Participating Subdivision as set forth in the Distributors Washington Settlement. 11. In connection with the releases provided for in the Distributors Washington Settlement, each Governmental Entity expressly waives, releases, and forever discharges any and all provisions, rights, and benefits conferred by any law of any state or territory of the United States or other jurisdiction, or principle of common law, which is similar, comparable, or equivalent to § 1542 of the California Civil Code, which reads: General Release; extent. A general release does not extend to claims that the creditor or releasing party does not know or suspect to exist in his or her favor at the time of executing the release, and that if known by him or her would have materially affected his or her settlement with the debtor or released party. A Releasor may hereafter discover facts other than or different from those which it knows, believes, or assumes to be true with respect to the Released Claims, but each Governmental Entity hereby expressly waives and fully, finally, and forever settles, releases and discharges, upon the date the Distributors Washington Settlement becomes effective pursuant to Section II.B of the Distributors Washington Settlement, any and all Released Claims that may exist as of such date but which Releasors do not know or suspect to exist, whether through ignorance, oversight, error, negligence or through no fault whatsoever, and which, if known, would materially affect the Governmental Entities' decision to participate in the Distributors Washington Settlement. F-2 12. Nothing herein is intended to modify in any way the terms of the Distributors Washington Settlement, to which Governmental Entity hereby agrees. To the extent this Participation Form is worded differently from Exhibit F to the Distributors Washington Settlement or interpreted differently from the Distributors Washington Settlement in any respect, the Distributors Washington Settlement controls. I have all necessary power and authorization to execute this Participation Form on behalf of the Governmental Entity. Signature: 4'0Grp 7 Name: E. ��e) n� Title: eAelle- Date: F-3