New York City to Receive $48 Million From Purdue Pharma-Sackler Settlement as Litigation Moves Forward

New York City announced it will participate in a restructured settlement with Purdue Pharma and the Sackler family that allocates approximately $48 million to the city — part of a broader $7.4 billion agreement designed to resolve ongoing litigation over the opioid manufacturer's role in fueling the addiction crisis.

Mayor Eric Adams and Corporation Counsel Muriel Goode-Trufant confirmed the city's participation in late September 2025, describing the settlement as a continuation of efforts to hold pharmaceutical companies accountable while directing resources toward communities affected by opioid addiction. The $48 million represents New York City's share of a nationwide pool distributed among state and local governments that participated in the litigation against Purdue and the Sackler family, the company's former owners.

The settlement builds on previous agreements the city has secured. The Adams administration currently receives approximately $50 million annually from major opioid settlements reached by New York City and New York State with other pharmaceutical manufacturers and distributors. That funding supports opioid prevention, treatment, and harm reduction programs across the five boroughs.

What Makes This Settlement Different

Unlike earlier settlements where Purdue Pharma admitted wrongdoing, this restructured agreement follows years of bankruptcy proceedings and legal challenges that delayed final distribution of funds. The $7.4 billion total includes contributions from both the reorganized Purdue entity and members of the Sackler family, who controlled the company during the period when OxyContin was aggressively marketed to doctors and patients.

The allocation formula prioritizes jurisdictions with high overdose rates and communities that can demonstrate direct harm from opioid misuse. New York City qualified based on both criteria — the city recorded over 3,000 overdose deaths in 2023, and its Health Department has extensively documented the public health costs of the opioid epidemic stretching back to the early 2000s.

Money from the settlement is restricted to opioid abatement uses. That includes expanding access to medication-assisted treatment, funding naloxone distribution programs, supporting syringe service programs, and investing in recovery housing. The Adams administration has not yet announced how it will allocate the incoming $48 million across those categories, but prior settlement funds have been directed through the city's Department of Health and Mental Hygiene in coordination with community-based providers.