Publicis Health to pay $350M settlement for involvement in US opioid crisis
OAN’s Abril Elfi
6:16 PM – Thursday, February 1, 2024
Attorney General (AG) Andrea Joy Campbell announced a $350 million national settlement with Publicis Health in order to settle claims that the company helped OxyContin maker Purdue Pharma fuel the deadly opioid epidemic in the United States.
The state’s AG asserted that Publicis Health played a major part in creating “predatory and deceptive marketing strategies” for Purdue Pharma, which led to a rise in unnecessary OxyContin prescriptions and sales, exacerbating the opioid crisis.
This is the first time that a company’s advertising tactics has ever been charged for its part in the opioid crisis.
“For a decade, Publicis helped opioid manufacturers like Purdue Pharma convince doctors to overprescribe opioids, directly fueling the opioid crisis and causing the devastation of communities nationwide,” said New York Attorney General Letitia James. “No amount of money can compensate for lives lost and addiction suffered, but with this agreement, Publicis will cease their illegal behavior and pay $350 million to help our communities rebuild.”
The state’s lawsuits claim that Publicis Health adopted a McKinsey & Co.-created “Evolve to Excellence” strategy for Purdue Pharma. The plan was to reward doctors who wrote the most OxyContin prescriptions. They urged doctors to use messaging tactics that highlighted the drug’s “abuse-deterrent” qualities, while pushing for higher dosages.
Additionally, a separate settlement was agreed to by McKinsey & Co., where they were forced to pay $641 million to settle claims made by several states.
“Publicis devised and deployed unfair and deceptive marketing campaigns designed to push doctors to prescribe opioids to more patients, in higher doses, and for longer periods of time,” a lawsuit by the state of Massachusetts said. “By design, Publicis’s schemes worked to counter public health measures intended to reduce unnecessary opioid use, because more opioid use generated more profits for Publicis’s opioid clients.”
Public Health is now required to pay $350 million to the states within 60 days, as stated in the settlement.
The settlement also banned the company from accepting future contracts or engagement related to the sales or marketing of opioids.
Additionally, in order to be made publicly available, Publicis must make certain internal documents available that describe its work for Purdue Pharma and other opioid manufacturers, as well as correspondence with consultants like McKinsey and Practice Fusion.
These documents will be stored in an online document repository.
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What impact does the provision prohibiting Publicis from engaging in future contracts or activities related to the sales or marketing of opioids have on preventing future crises and promoting responsible business practices?
Ubject to review by the states and may be used as evidence in future litigation against other companies involved in the opioid crisis. This move aims to increase transparency and hold accountable any individuals or organizations involved in the wrongful marketing and distribution of opioids.
The settlement marks a significant step in the fight against the opioid crisis, which has devastated countless communities across the United States. The impact of overprescribing and misuse of opioids has led to a staggering number of lives lost and an increase in addiction rates. It is crucial to address the root causes of this crisis and ensure that those responsible are held accountable.
The case against Publicis highlights the role of advertising and marketing strategies in promoting the overuse of opioids. By incentivizing doctors to prescribe higher doses of OxyContin and downplaying the risks associated with the drug, Publicis actively contributed to the worsening of the crisis. This lawsuit sets a precedent by acknowledging the responsibility of advertising tactics in fueling the opioid epidemic.
New York Attorney General Letitia James emphasized that no amount of money can fully compensate for the lives lost or the suffering caused by the opioid crisis. However, the $350 million settlement will provide much-needed financial support to affected communities and aid in their recovery efforts. It also serves as a deterrent to other companies and agencies engaging in similar deceptive marketing practices.
In addition to the financial settlement, Publicis is required to disclose internal documents related to its work with Purdue Pharma and other opioid manufacturers. This information will shed light on the extent of their involvement and potentially uncover further evidence against other entities implicated in the crisis. Transparency is crucial in holding all responsible parties accountable and ensuring justice for the victims of the opioid epidemic.
The settlement also includes a provision that prohibits Publicis from engaging in future contracts or activities related to the sales or marketing of opioids. This restriction aims to prevent the company from contributing to any future crises and reinforces the need for responsible business practices within the healthcare industry.
While this settlement is a significant step towards addressing the opioid crisis, there is still much work to be done. The fight against the epidemic requires a comprehensive and multi-faceted approach, including improved access to addiction treatment, increased public awareness, and stricter regulations on the prescription and distribution of opioids. Holding companies like Publicis accountable is an essential part of this broader effort to prevent future harm and promote the well-being of affected communities.
In conclusion, the $350 million national settlement with Publicis Health is a critical milestone in the ongoing battle against the opioid crisis. By acknowledging the role of advertising tactics in fueling the epidemic and holding companies accountable for their deceptive marketing strategies, this settlement brings us one step closer to justice and supports the recovery and rebuilding of affected communities. It is a reminder that no entity is above the law, and efforts to combat the opioid crisis must continue on multiple fronts to protect public health and save lives.
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