Five states have agreed to facilitate settlement talks by dropping objections to...
- Five states have agreed to facilitate settlement talks by dropping objections to a bid by Insys Therapeutics Inc in bankruptcy court to put on hold their lawsuits alleging the drugmaker helped fuel the opioid epidemic.
Insys requested the injunction when it filed for Chapter 11 bankruptcy protection on June 10, becoming the first drugmaker accused in lawsuits by state and local governments of contributing to the deadly opioid epidemic to do so. Filing for bankruptcy normally halts active litigation against a company while it reorganizes. But a longstanding exception in U.S. bankruptcy law allows for lawsuits to proceed enforcing government officials’ “police powers.”
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