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In a landmark ruling, a jury has ordered pharmaceutical giants McKesson and Cencora to pay $266 million to the city of Baltimore, finding them responsible for contributing to the opioid epidemic that has devastated communities across the United States.

McKesson, a Texas-based healthcare distributor, was held liable for $192 million, while Pennsylvania-based Cencora (formerly AmerisourceBergen) was ordered to pay $74 million. The city had accused both companies of failing to report suspicious orders of prescription opioids like oxycodone and hydrocodone to federal authorities, which they argue contributed to the widespread availability of these dangerous drugs in Baltimore.

Baltimore’s Mayor, Brandon Scott, welcomed the verdict, calling it a crucial step toward holding the pharmaceutical industry accountable for its role in the opioid crisis. “This epidemic has taken a toll on every community in this country,” Scott said. “But in Baltimore, it has touched every resident, devastated families, and torn apart entire neighborhoods.”

The opioid crisis continues to claim thousands of lives each year. According to the Centers for Disease Control and Prevention (CDC), 81,000 people died from opioid overdoses in the U.S. in 2023. In Baltimore, an average of 866 people died annually from opioid-related causes between 2017 and 2021, according to state data.

Origins of the Lawsuit

The lawsuit, which was filed in 2018, accused McKesson, Cencora, and other pharmaceutical distributors of contributing to the opioid epidemic by failing to stop suspicious orders of prescription opioids. The case has now become the first successful lawsuit in opioid litigation against these two companies.

Bill Carmody, the lead attorney for Baltimore, described the jury’s decision as an important victory for the city. “No city has been hit harder by the opioid crisis than Baltimore,” Carmody said. “This verdict is a crucial step in helping the city recover, providing critical resources to address the epidemic that continues to ravage our community.”

Baltimore’s Legal Strategy

Unlike many cities that settled their opioid-related lawsuits as part of a national agreement with drug companies, Baltimore decided to pursue its own litigation in order to secure larger financial settlements. Since filing the lawsuit, the city has already received over $400 million in settlements from other companies, including major players like CVS, Walgreens, Johnson & Johnson, and Teva.

Court documents showed that McKesson and Cencora, along with Cardinal Health, failed to properly report suspicious orders of opioids, which led to the widespread distribution of these drugs across the city and beyond. In 2017, McKesson admitted in a settlement with the U.S. Department of Justice that it had failed to report suspicious orders and agreed to pay $150 million in penalties. Cencora is also facing a federal lawsuit for its role in the crisis.

Companies Prepare to Challenge the Verdict

Both McKesson and Cencora have expressed their intention to challenge the verdict. Cencora’s spokesperson, Mike Iorfino, said the company was “disappointed” with the ruling and believed the jury had misunderstood the facts. “We are evaluating all options moving forward, including appealing today’s verdict,” he said.

McKesson also voiced its disagreement with the decision. “We respect the jury’s verdict, but we fundamentally disagree with it,” a spokesperson for the company stated. “We believe it misunderstands McKesson’s role as a pharmaceutical distributor, and we are prepared to file motions to challenge the verdict.”

The Impact on Baltimore and the Opioid Epidemic

With the $266 million judgment, Baltimore’s total recovery from opioid-related lawsuits now exceeds $668 million. Mayor Scott hailed the ruling as a “game-changing” amount that will help the city fight the opioid epidemic and support recovery efforts.

Baltimore has been particularly hard-hit by the opioid crisis, accounting for 44% of Maryland’s overdose deaths despite making up just 9% of the state’s population. The city experiences more than two overdose deaths every day, and many of these deaths are linked to the misuse of prescription opioids.

According to CDC data, approximately 125 million opioid prescriptions were filled in the U.S. in 2023. The CDC also reported that nearly 8.6 million Americans aged 12 and older misused prescription opioids in 2023.

The city of Baltimore has stated that the funds from the lawsuit will be used to support a range of programs aimed at combating the opioid epidemic, including prevention, treatment, and recovery services. As the city continues its efforts to heal from the devastating effects of the opioid crisis, the lawsuit’s outcome represents a significant step toward holding the pharmaceutical industry accountable and providing essential resources for recovery.