Question Period Note: Opioids Litigation

About

Reference number:
MHA-2023-QP-0017
Date received:
Dec 21, 2023
Organization:
Health Canada
Name of Minister:
Saks, Ya'ara (Hon.)
Title of Minister:
Minister of Mental Health and Addictions

Issue/Question:

British Columbia’s proposed class actions against opioid manufacturers, distributors and consultants seek damages for opioid-related health care costs on behalf of the provincial, territorial and federal governments.

Suggested Response:

We support provinces and territories in their efforts to recover health care costs from any company that acted inappropriately in the marketing and distribution of opioids.
It is BC’s decision on how to engage in litigation to obtain redress for its losses. BC has chosen to proceed by way of class proceedings, and include all federal, provincial and territorial governments in its proposed class.
This litigation, legislative initiatives and settlement with Purdue are examples of the significant cooperation that exists with provinces and territories as we work together to address the overdose crisis.
IF PRESSED ON MCKINSEY …
We support provinces and territories in their efforts to recover health care costs from any companies that acted inappropriately in the marketing and distribution of opioids.
It is BC’s decision on how to engage in litigation to obtain redress for its losses. BC has chosen to proceed by way of a class proceeding against McKinsey & Company, and include all federal, provincial and territorial governments in its proposed class.
This litigation against McKinsey & Company remains at an early stage and the allegations contained in BC’s claim have not yet been proven in a Canadian Court of law.
IF PRESSED ON PROVINCIAL OPIOIDS RECOVERY LEGISLATION
Canada is pleased with the provinces’ addition of Canada to their opioids recovery legislation.
These legislative provisions will give Canada a statutory basis for claiming damages from the pharmaceutical industry with respect to the opioid crisis in those jurisdictions.
These amendments are an example of the significant cooperation that exists between provinces and territories and the Government of Canada as we work together to address the overdose crisis.
IF PRESSED ON WHAT ACTION THE GOVERNMENT OF CANADA IS TAKING?
In collaboration with all orders of government, partners, stakeholders, people with lived and living experience of drug use, and organizations in communities across the country, our government is committed to addressing substance use and addiction.
There is significant cooperation in this litigation between all Canadian governments, as we work together to address the overdose crisis. Four provinces to date have amended or tabled legislation to include a cause of action for Canada which reinforces the federal government’s participation in BC’s Class Actions.
We want all governments to recover health care costs from any companies that acted inappropriately in the marketing and distribution of opioids.
Canada has also taken action on the broader issue of predatory practices of pharmaceutical companies, including significantly increasing the maximum financial penalties and further restricting the marketing of opioids. We will continue to explore all options to ensure that companies are held accountable for their role in the overdose crisis if they acted inappropriately in the marketing and distribution of opioids.
IF PRESSED ON INAPPROPRIATE MARKETING…
The health and safety of Canadians is our Government’s top priority.
The Food and Drugs Act has been amended in recent years to dramatically strengthen the penalties upon conviction for non-compliance with the new regulatory requirements. The amendments also enabled the Minister of Health to put in place additional restrictions that apply to all prescription opioid-related advertising materials since June 2019.
Health Canada will not hesitate to address advertising and marketing abuses using the new powers at its disposal.

Background:

N/A

Additional Information:

Canada is part of BC’s proposed class action against 50 opioid manufacturers and distributors for allegedly acting inappropriately in the sale and distribution of opioids in Canada.
Canada is also part of BC’s proposed class action against McKinsey & Company for allegedly acting inappropriately in the course of providing consulting and advisory services to opioid manufacturers and distributors in Canada.
Since the inception of this litigation, Canada has been working with all governments to advance the litigation as we work together to address the opioid crisis.
Canada is part of the largest settlement of a government health care costs claim in Canadian history with the BC Supreme Court approving the $150M settlement with Purdue in December 2022.
Canada was added to BC’s Opioids Cost Recovery legislation in 2022. N.S. , QC and Ontario have introduced similar legislation which also includes Canada. Such legislative amendments reinforce Canada’s participation in BC’s class actions.