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Judge rejects Purdue Pharma’s sweeping opioid settlement

A federal judge has rejected OxyContin maker Purdue Pharma’s sweeping deal to settle thousands of lawsuits over the toll of opioids.

U.S. District Court Judge Colleen McMahon in New York found flaws in the way the bankruptcy settlement protects members of the Sackler family who own the company from lawsuits. Purdue immediately said it would appeal Thursday's decision.

The ruling sides with one federal government office, eight states and a handful of other parties over thousands who had claims against Purdue and came to support the settlement. The Sacklers would have funded much of the settlement in exchange for the legal protections.

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