Products Liability Law Reporter

McKinsey & Co., a private entity headquartered in New York, worked with other businesses involved in manufacturing and selling opioids. For instance, McKinsey allegedly sold its ideas to OxyContin maker Purdue Pharma, L.P., for more than 15 years, from 2004 to 2019, allegedly advising Purdue that it could increase OxyContin sales and brand loyalty through physician targeting and specific messaging to prescribers. McKinsey also allegedly advised Purdue and other manufacturers to target prescribers who wrote the most prescriptions for the most patients in order to maximize profits. Beginning in the mid-1990s, there was a dramatic rise in opioid prescriptions in Texas, which caused a devastating rise in opioid abuse, dependence, and deaths.

The state of Texas sued McKinsey & Co., alleging violation of the Texas Deceptive Trade Practices-Consumer Protection Act, Tex. Bus. & Com. Code Ann. §17.41 et seq.

The parties settled for approximately $573.9 million. Among other provisions, the settlement requires McKinsey to disclose various non-privileged documents, including communications with Purdue Pharma and opioid-related communications with Endo Pharmaceuticals, Johnson & Johnson, or Mallinckrodt Pharmaceuticals.

Citation: State of Texas v. McKinsey & Co., No. D-1-GN-21-000551 (Tex. Dist. Ct. Travis Cty. Feb. 11, 2021).

Plaintiff counsel: Paul Singer, Austin, Texas; and Patricia Stein, Dallas.