Consumer giant Reckitt and drugs firm Invidior hit by lawsuit linked to America’s opioid crisis
Consumer goods giant Reckitt Benckiser and drugs firm Invidior have been hit by a lawsuit linked to America’s opioid crisis.
The UK class action relates to alleged false marketing of Suboxone – a drug used to treat opioid addiction – by Indivior, a former subsidiary of FTSE100 giant Reckitt, whose products range from Dettol to Lemsip.
It comes after the two companies agreed to pay a combined £1.66billion of fines to settle investigations by the US Department of Justice.
Allegations relate to losses suffered by shareholders in the wake of the Suboxone scandal
Lawyers at Mishcon de Reya have been drafted in by Wirral Borough Council to pursue the claim, but hundreds of other investors are also understood to be involved. The case is potentially worth hundreds of millions of pounds, sources said.
Allegations relate to losses suffered by shareholders in the wake of the Suboxone scandal.
America has been battling its opioid crisis for more than 20 years. The Council on Foreign Relations has reported that opioid-related overdoses kill 1,500 people in the US each week. Suboxone is a drug used by recovering opioid addicts to reduce withdrawal symptoms.
Court documents seen by the MoS allege that Indivior published documents that contained ‘misleading statements’ and failed to give investors ‘full and fair information’.
Indivior said it was aware of the claim and intended to defend it ‘vigorously’ as it believed it to be without merit. Reckitt denies involvement in any wrongful conduct.