Walgreens Boots Alliance Inc (NASDAQ: WBA) reached a $230 million settlement with San Francisco to settle claims regarding its role in the city's opioid epidemic.
Last year, U.S. District Judge Charles Breyer in San Francisco said that Walgreens Boots could be held liable for " substantially contributing" to an opioid epidemic and faulted Walgreens for its "15-year failure" to properly scrutinize opioid prescriptions and flag possible misuse of the drugs.
San Francisco had estimated it might cost $8.1 billion to abate the opioid crisis and that Walgreens was legally liable for the entire amount.
Walgreens' settlement averts a trial to determine damages.
Citing a press conference, Reuters reported that San Francisco City Attorney David Chiu called Walgreens' settlement the largest awarded to a local government in years of opioid litigation nationwide.
Walgreens said it "disputes liability" and did not admit fault, but settling allows it to focus on patients, customers, and communities.
Breyer found that Walgreens' pharmacies in San Francisco received more than 1.2 million opioid prescriptions with "red flags" from 2006 to 2020 yet performed due diligence on less than 5% before dispensing them.
Price Action: WBA shares are down 1.10% at $31.69 during the premarket session on the last check Thursday.
Photo via Wikimedia Commons
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This article Walgreens Settles Opioid Epidemic Lawsuit with San Francisco for $230M, Says It Does Not Admit Fault originally appeared on Benzinga.com
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