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[BUSINESS] · United States · 11 sources

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CVS to pay $315 million to settle opioid prescription lawsuit

CVS Pharmacy Inc. and its subsidiaries have agreed to pay $315 million to settle a U.S. Department of Justice lawsuit. The legal action alleged that the company unlawfully dispensed highly addictive opioids and other controlled substances that were medically unnecessary.

The lawsuit, initiated in 2024, claimed CVS violated the Controlled Substances Act by filling prescriptions from known ‘pill mills’ and ignoring red flags. Prosecutors alleged that the company prioritized profit metrics and incentive compensation over public safety, contributing to the national addiction and overdose crisis. The claims also involve allegations of improper billing to federal healthcare programs, including Medicare.

As part of the settlement, CVS is required to implement additional safeguards and proactive monitoring of opioid prescribing patterns to ensure medications are only dispensed when medically appropriate. CVS stated that it strongly disagrees with the allegations and that the settlement does not constitute an admission of wrongdoing. The company maintained that its pharmacists are trained in safe medication use and follow best-in-class protocols.

Entities

Brett Shumate · CVS Pharmacy Inc. · Medicare · Stanley Woodward · U.S. Department of Justice