California locks in $440 million from Purdue Pharma opioid settlement, AG Bonta celebrates the win
Sacramento, California – California is now set to receive more than $440 million as a major national opioid settlement with Purdue Pharma and the Sackler family formally takes effect, Attorney General Rob Bonta announced, marking a new stage in a legal fight that has stretched across nearly a decade.
The $7.4 billion agreement, reached by attorneys general across the country, resolves litigation over Purdue’s production and aggressive marketing of opioids in the United States.
It also brings legal closure to a long-running effort to hold the company and its owners accountable for their role in fueling the opioid crisis, while directing money toward addiction treatment, prevention, recovery, and other claims tied to the bankruptcy process.
“With the settlement now in effect, California will, at long last, receive critical funding from Purdue Pharma and the Sackler family to help address the opioid crisis,” said Attorney General Bonta.
“Our work doesn’t end here. We will continue holding those responsible for this crisis to account.”
The case has moved through years of investigations, lawsuits, bankruptcy proceedings, and renewed negotiations. A multistate investigation into Purdue began in 2016, and California filed suit against Purdue and certain Sackler family members in 2019. That same year, Purdue filed for bankruptcy as it faced massive litigation over its opioid business.
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Attorneys general later played a central role in the bankruptcy proceedings. After the U.S. Supreme Court invalidated provisions of an earlier settlement in June 2024, they negotiated a new agreement that secured additional money from the Sacklers. Fifty-five attorneys general, representing all eligible U.S. states and territories, signed onto the settlement in June 2025.
Most of the settlement money will be distributed during the first three years. The Sacklers are paying more than $1.5 billion immediately, followed by about $500 million in May 2027, another $500 million in May 2028, and $400 million in May 2029. Purdue is also paying approximately $900 million now.
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The settlement permanently bars the Sackler family from selling opioids in the United States. It also transfers Purdue’s manufacturing operations to Knoa Pharma LLC, a new company overseen by a board with no connection to Purdue. Knoa will not be allowed to market opioids, and an independent monitor will oversee its work to help limit the risk of diversion.
More than 30 million documents connected to Purdue’s opioid business will also be made public under the agreement.
With this settlement, California’s total opioid settlement funds are expected to rise above $4.65 billion, giving state and local communities new resources as they continue responding to the lasting damage caused by the opioid crisis.
