REPORT TO COUNCIL
SUBJECT
Title
Authorize the City Attorney to Sign the Combined Participation Form and Eight California State-Subdivision Agreements to opt in to the Proposed National Opioid Settlement as a Non-Litigating Entity Involving Opioid Manufacturers Alvogen, Amneal, Apotex, Hikma, Indivior, Mylan, Sun, and Zydus
Report
BACKGROUND
In July 2025, a new proposed settlement was announced to resolve nationwide settlements with eight drug manufacturers. The lawsuits alleged that these eight drug manufacturers (Alvogen, Amneal, Apotex, Hikma, Invidior, Mylan, Sun, and Zydus) manufactured opioid pills and worsened the nationwide opioid crisis. The proposed settlement calls for $720 million to resolve claims made by states, local governments, and special districts, including those municipalities that were not parties to the litigation. According to the settlement, the eight settling manufacturers will pay approximately $720 million over ten years, as outlined below:
- Mylan (now part of Viatris): $284,447,916 paid over nine years
- Hikma: $95,818,293 paid over one to four years
- Amneal: $71,751,010 paid over ten years
- Apotex: $63,682,369 paid in a single year
- Indivior: $38,022,450 paid over four years
- Sun: $30,992,087 paid over one to four years
- Alvogen: $18,680,162 paid in a single year
- Zydus: $14,859,220 paid in a single year.
California is expected to receive more than $70 million from these eight settlements.
Over the last ten years, prescription drug manufacturers, distributors, and pharmacies have proposed or finalized opioid settlements totaling more than $50 billion, resulting from lawsuits and claims that these companies fueled the opioid crisis. The City Attorney previously requested Council authorization to participate in opioid settlements in 2021 (RTC No. 21-1125), 2024 (RTC No. 24-0799), and earlier this year in 2025 (RTC No. 25-0886). Since joining these settlements in 2021, the City has received $540,397 in settlement funds and e...
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