$700 Million Opioid Settlement to Benefit Acute Care Hospitals

Resolution with opioid distributors, Janssen, Teva, and Allergan ends eight years of litigation; provides financial relief and medication to hospitals that have been at front lines of opioid crisis

ALBUQUERQUE, NM – Cuneo Gilbert & LaDuca Firm Chairman Charles LaDuca is proud to announce a landmark $700 million settlement in four nationwide class actions on behalf of acute care hospitals impacted by the opioid epidemic has received final court approval. This settlement provides eligible medical facilities financial relief and medication supplies after years of treating victims of the opioid crisis that was alleged to have been caused by the defendants’ misconduct.

The settlement ends nearly eight years of litigation between the hospitals and distributor defendants Cencora (formerly AmerisourceBergen), Cardinal Health, and McKesson as well as manufacturers Janssen, Teva, and Allergan.

Hospitals — legally and morally — are compelled to treat patients with opioid-related conditions and, as a result, were directly and monetarily damaged by excessive opioid use. The lawsuit alleged that to sell as many prescription opioids as possible, manufacturers misrepresented the risks and safety of prescription opioid use and distributors did not properly monitor, stop, or report suspicious orders. As a result, hospitals had to spend additional money and resources to treat opioid-dependent patients and patients with opioid-related conditions that they would not have had to treat otherwise.

Under the agreement, the payments by the settlement defendants are divided as follows:

• Distributors: $390 million
• Janssen: $110 million
• Teva: $126 million
• Allergan: $25 million
• Additionally, Teva will distribute Naloxone Hydrochloride Nasal Spray, a medication designed to rapidly reverse opioid overdose, to Acute Care Hospitals valued at up to $49 million

The settlement is notable not only for its size but also for its unprecedented support among class members: it received zero objections, zero opt outs, and a nearly 75% claims rate — a record-breaking result for a class action of this kind.

“The opioid crisis has affected every corner of our communities, and hospitals have been no exception,” said Charles J. LaDuca, Firm Chairman of Cuneo Gilbert & LaDuca, LLP and co-lead class counsel in the litigation. “This settlement delivers meaningful, tangible relief that directly supports the front-line institutions that have carried so much of the weight — often without recognition or reimbursement.”

“This resolution is the result of years of persistence with a clear goal: to hold these companies accountable for their role in the opioid crisis,” said LaDuca. “It delivers both justice and support to the hospitals that stepped in to care for the most vulnerable when the crisis was at its peak.”

Acute care hospital class members have already filed claims and will receive payments based on a Plan of Allocation approved by the Court.

More information is available at www.acutecarehospitalsettlement.com.

Litigation will continue against non-settling Defendants Indivior, Inc. f/k/a Reckitt Benckiser Pharmaceuticals, Inc.; Hikma Pharmaceuticals, Inc. f/k/a West-Ward Pharmaceuticals, Inc.; Henry Schein, Inc.; Walgreens; CVS; Kroger; Safeway; Albertson’s; HBC; Giant Eagle; Publix; and Walmart.

The lawsuit is a class action known as San Miguel Hospital Corp., d/b/a Alta Vista Regional Hospital v. Johnson & Johnson, No. 1:23-cv-00903, before Judge Kea Riggs of the United States District Court for the District of New Mexico.

Cuneo Gilbert & LaDuca, LLP Adds Top Litigator Robert Shelquist in Continued Expansion

Shelquist to lead new Minneapolis office as part of firm’s ongoing nationwide growth in class action and complex litigation

WASHINGTON, DC – Cuneo Gilbert & LaDuca, LLP (CGL) announces that Robert Shelquist has joined the firm as a partner, expanding CGL’s national footprint with the launch of a new office in Minneapolis, Minnesota. Shelquist, formerly a partner at Lockridge Grindal Nauen P.L.L.P., brings more than 30 years of experience in class action and complex civil litigation, with a remarkable track record of securing nearly $1 billion in recoveries for plaintiffs. His addition reflects the firm’s ongoing commitment to growing its reach and deepening its litigation capabilities across the country.

Shelquist’s arrival marks a significant milestone in the firm’s strategic expansion. A leader in consumer protection and defective products litigation, he has secured landmark verdicts, including a $60 million jury award in Peterson v. BASF Corp. He has also served in court-appointed leadership roles in both state and federal courts across the country. From his base in Minneapolis, Shelquist will focus on advancing the firm’s consumer and antitrust practices in the Midwest.

“Rob Shelquist is an outstanding trial lawyer with a proven ability to lead complex, high-stakes cases to successful outcomes,” said Charles LaDuca, Chairman of Cuneo Gilbert & LaDuca. “His expertise, combined with his deep commitment to client advocacy, makes him a perfect fit for our team as we continue to grow and diversify our practice.”

The Minneapolis office represents a new frontier in CGL’s expansion and reinforces the firm’s mission of delivering high-impact litigation and policy expertise in key regions. It also points to CGL’s sustained growth and latest milestones, including:

• Welcoming Michael Lenett as Of Counsel, bringing deep experience in managing contracts, risk mitigation, and business strategy;
• Adding Charles Barrett as a new partner and opening a new office in Nashville, Tennessee to grow the firm’s presence in the Southeast;
• Expanding the Government Relations division with the hires of Slade Bond and Sarah Rooney, seasoned advocates with extensive experience in legislative and regulatory affairs.

“Joining Cuneo Gilbert & LaDuca is an exciting opportunity to continue my work on behalf of plaintiffs while contributing to a firm that is clearly dedicated to strategic, national growth,” said Robert Shelquist. “The firm’s expanding footprint and commitment to excellence make this an exciting time to be part of the team.”