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Ordinance#211071Passed
In plain English

The ordinance authorizes a partial settlement of a lawsuit against three major opioid distributors, aiming to secure between $27 million and $50 million in abatement funds over 18 years. This lawsuit alleges that these companies contributed to the opioid crisis in San Francisco by distributing excessive amounts of opioids while ignoring legal obligations to monitor and report suspicious orders.

Ordinance authorizing the partial settlement of the lawsuit filed on behalf of the City and County of San Francisco and the People of the State of California against three large distributors of prescription opioids (AmerisourceBergen Corporation, Cardinal Health, Inc., and McKesson Corporation) for abatement funds in the range of $27 million to $50 million to be paid over 18 years; the lawsuit was filed on December 18, 2018, in the United States District Court for the Northern District of California, Case No. 3:18-cv-7591-CRB-JSC; entitled The City and County of San Francisco and the People of the State of California v. Purdue Pharma L.P., Richard S. Sackler, Jonathan D. Sackler, Mortimer D.A. Sackler, Kathe A. Sackler, Ilene Sackler Lefcourt, Beverly Sackler, Theresa Sackler, David A. Sackler, Trust for the Benefit of Members of the Raymond Sackler Family, Rhodes Pharmaceuticals L.P., Cephalon, Inc., Teva Pharmaceutical Industries Ltd., Teva Pharmaceuticals USA, Inc., Endo International Plc, Endo Health Solutions Inc., Endo Pharmaceuticals Inc., Janssen Pharmaceuticals, Inc., Insys Therapeutics, Inc., Mallinckrodt Plc, Mallinckrodt LLC, Allergan Plc F/K/A Actavis Plc, Watson Pharmaceuticals, Inc. N/K/A Actavis, Inc., Watson Laboratories, Inc., Actavis LLC, Actavis Pharma, Inc. F/K/A/ Watson Pharma, Inc., AmerisourceBergen Corporation, Cardinal Health, Inc., and McKesson Corporation; the lawsuit involves allegations that AmerisourceBergen Corporation, Cardinal Health, Inc., and McKesson Corporation created a public nuisance and violated the Unfair Competition Law and the False Advertising Laws by distributing increasingly large volumes of opioids in and around San Francisco despite knowledge of the growing epidemic caused by opioid misuse, and by failing to prevent and report suspicious opioid orders as required by state and federal law.

Introduced: Oct 19, 2021
Final action: Nov 19, 2021
Official record โ†—

How it got here

This legislation originated from a lawsuit filed by the City and County of San Francisco against major opioid distributors to secure abatement funds for the opioid crisis.

1
Lawsuit FiledDecember 18, 2018
City and County of San Francisco

The City and County of San Francisco filed a lawsuit in the United States District Court for the Northern District of California against multiple defendants, including AmerisourceBergen Corporation, Cardinal Health, Inc., and McKesson Corporation, alleging public nuisance and violations of competition and advertising laws related to opioid distribution.

Leg Final
2
Legislation PreparedOctober 8, 2021
City Attorney

The City Attorney prepared an ordinance to authorize the partial settlement of the lawsuit, allowing the City to receive abatement funds estimated between $27 million and $50 million over 18 years.

Board Pkt 110221
3
First Reading PassedNovember 2, 2021
Board of Supervisors

The Board of Supervisors passed the ordinance on first reading, moving it forward in the legislative process.

Leg Final
4
Final PassageNovember 9, 2021
Board of Supervisors

The Board of Supervisors finally passed the ordinance, authorizing the settlement of the lawsuit.

Leg Final
5
Ordinance ApprovedNovember 19, 2021
Mayor

The Mayor approved the ordinance, finalizing the settlement process for the lawsuit against the opioid distributors.

Leg Final

Reconstructed from attached documents & the official record

Document trail
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How they voted

FINALLY PASSED
Board of Supervisors ยท Nov 9, 2021Pass
4-0
PASSED ON FIRST READING
Board of Supervisors ยท Nov 2, 2021Pass
4-0

Legislative journey

Clerk of the BoardOct 8, 2021
ยทRECEIVED FROM DEPARTMENT
PresidentOct 19, 2021
โ†’RECEIVED AND ASSIGNED
Board of SupervisorsNov 2, 2021 โ€“ Nov 9, 2021
โœ“PASSED ON FIRST READINGPass
โœ“FINALLY PASSEDPass
MayorNov 19, 2021
โœ“APPROVED