Nate Raymond

(Reuters) – Four major pharmacy chains will face trial in the first case relating to the U.S. heroin epidemic. This creates new pressure for settlements with local and state governments that accuse them of aiding the crisis.

Lake and Trumbull in Ohio allege excessive levels of opioids within their community due to oversight problems at Walgreens Boots Alliance, CVS Health Corp (NYSE :), Walmart (NYSE 🙂 Inc) and Giant Eagle Inc.

Opening statements by lawyers representing the companies and counties will be delivered Monday before a federal jury at Cleveland. This is where thousands of similar lawsuits against pharmacies, distributors, pharmaceutical companies and other companies are still pending.

The state and local governments have brought more than 3300 cases against the opioid addiction epidemic, which U.S. data has shown led to almost 500,000 deaths due to overdoses between 1999 and 2019.

If a jury finds the companies liable for the outbreak, Dan Polster, U.S. District Judge, will determine the amount they have to pay.

Local government lawyers have indicated that the next target for settlement is the pharmacie chains.

Polster, who oversees most of the opioid lawsuits, on Tuesday renewed his long-running push https://www.reuters.com/article/us-opioids-litigation-judge/judges-unorthodox-approach-has-huge-opioid-settlement-within-reach-idUSKBN1WX1AT for a global settlement by the companies. Use this trial to have meaningful discussions, which has not been possible for the past couple years. He said.

The two counties will argue that the pharmacies caused a public nuisance in failing to flag red flags or verify prescriptions, leading to an oversupply, overdoses, and death.

Mark Lanier, the county’s lawyer stated that “the national chain pharmacies involved in this case refused to provide their pharmacists with the tools and opportunities necessary to comply with the law and stop diversion and inappropriate sale of opiates.”

They denied any wrongdoing. The company said that criminals were more likely than others to illegally obtain opioids through other sources like pill mills and crooked physicians.

CVS stated in a statement that Opioid prescriptions were written by physicians and not pharmacists. “Our pharmacies fulfill legitimate prescriptions written legally by licensed physicians.”

Giant Eagle stated that Ohio regulators visited its pharmacies within the two counties almost 100 times over the time frame and found it in compliance with the law. Requests for comment were not received from the other defendants.

Three of the most important U.S. distributors who supply pharmacies are being tried in this trial – McKesson Corp. (NYSE:). Cardinal Health Inc (NYSE:) and AmerisourceBergen (NYSE:) Corp – and the drugmaker Johnson & Johnson (NYSE:) in July proposed paying up to $26 billion to settle cases against them.

In August, a bankruptcy judge approved a settlement between OxyContin manufacturer Purdue Pharma LP (and its wealthy family members the Sacklers) that valued the company at over $10 billion.

Only one national case was settled by the Ohio pharmacy chain. Rite Aid (NYSE) Corp and the pharmacy chains in Ohio settled a $26 million settlement to resolve two cases.

Rite Aid agreed to settle in Ohio pre-trial and pay Trumbull $1.5 million. Lake County has yet to disclose its recovery.