One Nevada Agreement On Allocation of Opioid Recoveries
One Nevada Agreement On Allocation of Opioid Recoveries
One Nevada Agreement On Allocation of Opioid Recoveries
WHEREAS, the people of the State of Nevada and its communities have been harmed by
the misfeasance, nonfeasance, and malfeasance of certain individuals and entities, including licit
and illicit opioid distribution, that has created an opioid epidemic both nationally and within the
State of Nevada;
WHEREAS, on January 24, 2019, the Honorable Steve Sisolak, Governor of the State of
Nevada, in consultation with the Honorable Aaron D. Ford, Attorney General of the State of
Nevada, entered a Declaration of Findings Pursuant to NRS 228.1111(1)(a), declaring that the
WHEREAS, the State of Nevada though its elected representatives and counsel,
including the Honorable Aaron D. Ford, Attorney General of the State of Nevada, and certain
Local Governments, through their elected representatives and counsel, are separately engaged in
opioid-related litigation seeking to hold various entities and individuals accountable for the
opioid epidemic in the State of Nevada based on their misconduct relating to the unlawful
WHEREAS, the State of Nevada and its Local Governments share a common desire to
remediate and alleviate the impacts of the opioid epidemic throughout the State of Nevada;
THEREFORE, the State of Nevada and its Local Governments, desire, subject to formal
(“Agreement”) relating to the resolution or partial resolution of opioid-related litigation and the
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A. Definitions
1. The "State" or "State of Nevada" shall mean the State of Nevada acting through its
Attorney General.
attached.
3. "Litigating Counties" shall mean the following Nevada Counties: Carson City,
5. “Litigating Cities and Districts” shall mean the Cities and Districts listed in
Exhibit B, attached;
6. “Counsel” shall mean the contingency fee retained attorneys to the State of
Nevada and each of the Litigating Counties and Litigating Cities and Districts for
7. "The Parties" shall mean the State of Nevada and the Local Governments.
responsible for the opioid epidemic in the State of Nevada based upon various
State of Nevada, the Litigating Counties, and the Litigating Cities and Districts as
9. "Lead Litigator Costs" shall mean the costs incurred to date for opioid-related
litigation by the State of Nevada, the Litigating Counties, and the Litigating Cities
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and Districts against the Defendants of at the time of any Recovery. Costs do not
10. "Federal Government CMS Medicaid Costs" shall mean 22.52% of any Recovery
after deduction of the Lead Litigator Costs that may be asserted, and only if
Centers for Medicaid Services costs for claims, otherwise commonly known as
11. “Negotiating Committee" shall mean Counsel for the State of Nevada, the Nevada
and Counsel for the Litigating Counties, and the Litigating Cities and Districts
12. "Recovery" or "Recoveries" shall mean monetary amounts obtained through the
related litigation in Exhibit C to the extent the bankruptcy court allows for use of
13. "Approved Purposes" shall mean only uses to remediate the harms, impact, and
risks caused by the opioid epidemic to the State of Nevada and its residents, and
are consistent with those uses required by Senate Bill 390 (SB 390) as enrolled by
the 81st (2021) Nevada Legislative Session and signed into law by the Nevada
Governor, or uses that are listed as an approved use for abatement purposes in any
plan approved by a bankruptcy court that are not otherwise inconsistent with SB
390.
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B. Allocation of Recoveries
limited by Court Order, all Recoveries must be used for Approved Purposes.
2. Any Recovery, after deduction of Lead Litigator Costs, unless otherwise limited
by Court Order, and the Federal Government CMS Medicaid Costs, if and only if
percentages as follows:
Medicaid Match
17.37%
Local Governments
38.77%
State of Nevada
43.86%
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3. Unless otherwise directed by court order, the State of Nevada shall receive and
4. The State of Nevada and Local Governments shall exercise due diligence to
5. The State of Nevada and Local Governments shall make every reasonable effort
to coordinate any related press releases and/or press interaction concerning any
6. The State of Nevada and Local Governments are, after deduction of Lead
Litigator Costs unless otherwise limited by Court Order, and the Federal
Government CMS Medicaid Costs, if and only if applicable, from any Recovery,
each responsible for any remaining costs of that Party's litigation from that Party's
7. The State of Nevada and Local Governments are each responsible, unless
otherwise directed by court order, for payment of any attorney fees for the use of
share of the Recoveries after allocation pursuant to the terms of their respective
for attorney fees or costs from a national fund created by one or more Defendants
in connection with a Recovery, Counsel will refund any amount recovered from
said national fund proportionate to the amount of attorney fees paid under each
8. Additionally, a fee adjustment of 25% shall be deducted from the share of each of
litigation is dismissed with prejudice including the exhaustion of any and all
recovery for any reason, the allocation percentage for that Local Government shall
be reallocated as follows:
District, then that Litigating City or District’s allocated share shall be added to
the share of the County in which the Litigating City or District is located in
County’s allocated share shall be added to the State’s share minus the
allocated shares of any Litigating City or District located within the excluded
10. Funds received by the State of Nevada or Local Governments, which are obtained
Recovery, i.e., via grant, bequest, gift or the like, are excluded from this
Agreement.
11. The State of Nevada’s share of Recoveries, after deduction of any remaining costs
and attorney fees, shall be deposited in the Fund for Resilient Nevada through
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12. Nothing in this Agreement alters or intends to alter or change the right of the State
of Nevada or any Local Governments to pursue its own claims against any
intent of this Agreement is to join all Parties to seek and negotiate binding global
the State of Nevada or Local Governments opioid-related litigation for the benefit
C. Waiver of Conflict of Interest. Consistent with the intent of this Agreement, the Parties
agree that there is no conflict of interest in Counsel representing the Parties to this Agreement,
but to the extent Counsel’s representation may constitute a conflict of interest, the Parties waive
any Court Order, each of the Local Governments shall provide information to the State, to the
how they intend to expend, and how they did expend, their allocated shares of any
Recovery/Recoveries to ensure such Recoveries are being used for Approved Purposes only.
Local Governments shall respond and provide documents to any reasonable requests from the
State for data or information about the use of the Recoveries, including Local Government or
E. Miscellaneous
1. Construction. With regard to each and every term and condition of this
Agreement, the Parties understand and agree that the same have or has been
mutually negotiated, prepared and drafted, and if at any time the Parties are
3. Entire Agreement. This Agreement, contains the entire agreement between the
Parties and supersedes and cancels all previous negotiations and agreements, if
any.
which must be signed by all Parties and must be approved by their respective
counterparts, each of which shall be an original and all of which shall together
constitute one and the same instrument. This Agreement and any amendments
electronic scan (including in the form of an Adobe Acrobat PDF file format), shall
considered to have the same binding legal effect as if it were the original signed
version thereof.
7. Legal Advice. The Parties acknowledge that they have been advised to have this
of this Agreement.
This Agreement has been collaboratively drafted to maintain all individual claims and
causes of action in each Parties’ opioid-related litigations while allowing the State and its Local
against the Defendants. This Agreement is jointly entered into by the State of Nevada and Local
Governments, is approved by the Parties' respective Commissions, Councils, and Boards, and
provides binding authority from each Party to the Agreement regarding the resolution through the
Negotiating Committee and allocation of any Recovery. However, other than those settlements or
other disposition in this Agreement, nothing in this Agreement binds any party to any specific
We, the undersigned, hereby agree to be bound by this Agreement, which shall have an
STATE OF NEVADA
CHURCHILL COUNTY
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CLARK COUNTY
DOUGLAS COUNTY
ELKO COUNTY
ESMERALDA COUNTY
EUREKA COUNTY
HUMBOLDT COUNTY
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LANDER COUNTY
LINCOLN COUNTY
LYON COUNTY
MINERAL COUNTY
PERSHING COUNTY
STOREY COUNTY
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WASHOE COUNTY
BOULDER CITY
NYE COUNTY
CARSON CITY
CITY OF HENDERSON
12
CITY OF LAS VEGAS
CITY OF MESQUITE
CITY OF RENO
CITY OF FERNLEY
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CITY OF ELY
CITY OF SPARKS
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EXHIBIT A
Elko County
Eureka County
Lander County
Pershing County
Storey County
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EXHIBIT A
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EXHIBIT B
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EXHIBIT C
DEFENDANTS
A&H KATSCHKE LTD dba MEADOW VALLEY PHARMACY
ACTAVIS INC f/k/a WATSON PHARMACEUTICALS INC
ACTAVIS PHARMA, INC. f/k/a WATSON PHARMA, INC
ACTAVIS PHARMA, INC.
ACTAVIS, LLC
ADAM KATSCHKE
AIDA B MAXAM
ALEC BURLAKOFF
ALEJANDRO JIMINEZ INCERA
ALLERGAN FINANCE, LLC (fka ACTAVIS, INC. fka WATSON
PHARMACEUTICALS, INC.)
ALLERGAN INC
ALLERGAN PLC f/k/a ACTAVIS PLC
ALLERGAN USA INC
AMERICAN DRUG STORES
AMERISOURCEBERGEN DRUG CORPORATION
ANDA PHARMACEUTICALS, INC.
ANDA, INC
BAILY STORES LLC dba PROFESSIONAL PHARMACY
BEACON COMPANY
BEVERLY SACKLER
BOB TUCKER, INC. dba BOB TUCKER’S UNITED DRUG
C&R PHARMACY d/b/a KEN'S PHARMACY f/k/a LAM'S PHARMACY
CARDINAL HEALTH 105, INC.
CARDINAL HEALTH 108 LLC D/B/A METRO MEDICAL SUPPLY
CARDINAL HEALTH 108, LLC
CARDINAL HEALTH 110, LLC
CARDINAL HEALTH 200, LLC
CARDINAL HEALTH 414, LLC
CARDINAL HEALTH 6 INC
CARDINAL HEALTH INC.
CARDINAL HEALTH PHARMACY SERVICES, LLC
CARDINAL HEALTH TECHNOLOGIES
CARDIOLOGY PC
CEPHALON, INC.
CVS HEALTH CORP.
CVS INDIANA
CVS PHARMACY, INC.
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EXHIBIT C
2
EXHIBIT C
3
EXHIBIT C
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EXHIBIT D