Vermont Business Magazine Statement from Vermont Attorney General TJ Donovan today issued the following statement on a judge’s decision to reject the Purdue bankruptcy plan. Donovan has been critical of the plan because it lets the Sackler family personally off the hook. In this legal case, Donovan said the Sacklers abused the bankruptcy process by extracting $11 billion in the years leading up to it.
Attorney General Donovan: “I am pleased with the Court’s ruling rejecting the Purdue bankruptcy plan which would have dismissed Vermont’s legal claims against the Sackler family. This ruling gives Vermont the ability to continue to pursue those that helped create the opioid crisis.”
Last week, Attorney General Donovan filed a brief seeking the reversal of the Purdue bankruptcy order granting unprecedented legal immunity for the Sackler family.
The brief, submitted by a five-state coalition, argued that the Court should consider the Sacklers’ extraction of $11 billion from Purdue in the years leading up to its bankruptcy in determining whether the Sacklers’ nonconsensual liability release abused the bankruptcy process.
Yesterday, the Court rejected Purdue's bankruptcy plan.
A copy of the Court’s ruling is available here.
Source: Vermont AG 12.17.2021