Kentucky scores a $110 million settlement with Kroger over alleged opioid distribution misconduct, but the retail giant denies any wrongdoing.
At a Glance
- Kroger agrees to pay $110 million to Kentucky to settle opioid distribution claims
- The settlement addresses allegations of improper distribution of 444 million opioid doses over 13 years
- Half of the funds will go to Kentucky cities and counties, the other half to the state’s Opioid Abatement Advisory Commission
- Kroger denies any wrongdoing or liability as part of the agreement
- The settlement is expected to nearly double Kentucky’s funds from recent multi-state opioid settlements
Kentucky’s Unprecedented Opioid Settlement with Kroger
Kentucky Attorney General Russell Coleman has announced a groundbreaking $110 million settlement with retail giant Kroger over claims of improper opioid distribution. The lawsuit alleged that Kroger contributed significantly to Kentucky’s opioid crisis by distributing approximately 444 million opioid doses in the state from 2006 to 2019, accounting for about 11% of all opioids dispensed during that period.
“For over a decade, Kroger tragically fed the flames of the drug addiction fire that rages across every county of our Commonwealth,” Attorney General Russell Coleman said.
The settlement addresses accusations that Kroger lacked an internal monitoring system to report suspected abuse and failed to report any suspicious prescriptions in Kentucky between 2007 and 2014. Despite these claims, Kroger maintains its innocence and has agreed to the settlement to avoid costly litigation.
Kentucky to get $110M in historic opioid settlement with Kroger | Click on the image to read the full story https://t.co/XpSyrJG0WW
— WLKY (@WLKY) January 9, 2025
Distribution of Settlement Funds
The $110 million settlement will be divided equally between Kentucky’s cities and counties and the Kentucky Opioid Abatement Advisory Commission. This allocation ensures that both local and state-level initiatives to combat the opioid crisis will receive substantial funding. Approximately $18 million of the settlement will cover legal fees, leaving $90 million for direct efforts to address opioid misuse in Kentucky.
“These settlement dollars will have a massive impact on Kentucky,” Coleman stated, highlighting the significance of the agreement for the state’s ongoing battle against opioid addiction.
The Kentucky Opioid Abatement Advisory Commission will manage the distribution of the state’s portion of the funds, focusing on opioid abatement and prevention efforts. The Commission is currently accepting grant applications for opioid abatement projects, with a deadline of January 17, 2025.
Kroger’s Response and Future Implications
While agreeing to the settlement, Kroger has explicitly denied any wrongdoing or liability. A Kroger spokesperson stated, “We are pleased to have reached a settlement with the Commonwealth of Kentucky and we hope the funds will be used to combat opioid abuse in the region.” This settlement is separate from a previous $1.2 billion agreement Kroger reached with 30 other states in 2023.
Kentucky’s decision to opt out of the multi-state settlement has proven beneficial, securing $110 million instead of an estimated $50 million. Attorney General Coleman emphasized this point, saying, “No state in the country has been more impacted by the drug crisis than Kentucky. And given the widespread presence of Kroger in our Commonwealth, I just wasn’t willing to let states like New York and California get big payouts at Kentucky’s expense.”
