(Des Moines, IA) -- Iowa is one of a dozen states involved in another settlement with an opioid maker. The Iowa Attorney General's Office announced a settlement earlier this week with Teva Pharmaceuticals. Now comes word of a second settlement with the Allergan company, which has agreed to pay more than $2 billion dollars to participating states and local governments. States alleged Allergan engaged in deceptive marketing of opioids and downplayed the risk of addiction.
The proposed settlement on important financial terms would require former opioid maker Allergan to pay up to $2.37 billion to participating states and local governments.
If finalized, the Allergan settlement, together with the Teva Pharmaceuticals settlement announced this week, would provide as much as $6.6 billion nationwide, including for abatement of the crisis. Abbvie, which acquired Allergan in 2020, disclosed the agreement in its earnings announcement Friday.
Both settlements remain contingent on resolution of key issues, including details regarding the settlement structure, which is expected to build on the framework developed in prior nationwide opioid settlements. The parties are also negotiating terms requiring business practice changes and transparency.
Miller's office led the negotiations with Teva and Allergan.
Ireland-based Allergan formerly made Norco- and Kadian-branded and generic opioids. The company sold its generics portfolio, including opioid products, to Teva in 2016. Teva and the AGs announced Tuesday that they had reached an agreement in principle to provide up $4.25 billion to address its part in the opioids crisis. The Teva agreement in principle is contingent, in part, on Allergan reaching its own settlement with the states.