Nebraska Reaches $719,500 Settlement with Drug Company Purdue Pharma Over OxyContin Advertising

May 8, 2007 -- (Lincoln, NE) -- Nebraska Attorney General Jon Bruning today filed a $719,500 settlement in Lancaster County District Court with Purdue Pharma (Purdue) regarding its advertising practices for the narcotic pain medication, OxyContin.

The settlement resolves the concerns of 26 state attorneys general. They alleged that Purdue was advertising the drug to doctors for more frequent use than the Food and Drug Administration’s approved dosages, an illegal practice known as “off-label” advertising. The states also alleged Purdue failed to adequately disclose abuse and diversion risks associated with the drug in violation of the states’ respective consumer protection statutes.

Article continues below...

“Purdue pushed doctors to prescribe OxyContin often and generously and downplayed the risks of abuse and addiction,” Bruning said. “This settlement reminds drug companies that they have a responsibility for the safety of their customers.”

The settlement requires Purdue to market and promote OxyContin only in line with FDA-approved uses. It also requires that the company establish an “OxyContin Abuse and Diversion Detection Program” to detect problem prescribing and train employees about their legal responsibilities before promoting the drug. The settlement prohibits Purdue from making any false, misleading or deceptive claim regarding OxyContin.

Under the settlement, Purdue will pay $19,500,000 to states involved in the investigation. Nebraska was awarded $719,500 for attorneys’ fees, investigation costs and consumer education.

Nebraska took a lead role in the Purdue investigation. Consumer Protection Chief Leslie Levy handled the investigation and settlement negotiations.

Source: Nebraska Attorney General