Kroger to Pay $110M to Settle Kentucky Opioid Lawsuit

Kroger Kroger
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Kroger has agreed to pay $110 million to resolve a lawsuit by Kentucky alleging its pharmacies contributed to the state’s opioid crisis by dispensing massive amounts of addictive painkillers. Kentucky Attorney General Russell Coleman announced the settlement on Thursday, emphasizing the state’s decision to forgo a $1.4-billion national deal Kroger reached with 30 states, counties, municipalities, and Native American tribes last year.

The lawsuit claimed Kroger’s more than 100 Kentucky pharmacies were responsible for over 11% of the state’s opioid prescriptions from 2006 to 2019, dispensing approximately 444 million doses. The state accused the retailer of ignoring suspiciously high orders and red flags, failing to report them, and continuing to distribute the drugs at alarming rates.

“This massive grocery chain allowed the fire of addiction to spread across Kentucky, leaving pain and brokenness,” Coleman said.

Kroger, which recently saw its $25-billion merger with Albertsons blocked, denied wrongdoing. The company stated it had guardrails and training in place for handling opioid prescriptions and expressed hope the settlement funds would combat opioid abuse in Kentucky.

By negotiating separately, Kentucky secured a higher payout than the $66.6 million it would have received under the broader settlement.

The opioid epidemic has driven over 727,000 U.S. deaths since 1999, according to the CDC. Drugmakers, distributors, and pharmacies have collectively paid $50 billion to resolve similar lawsuits across the country.

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