CVS will pay $315 million and strengthen oversight of opioid prescriptions.
CVS Health has agreed to pay $315 million to settle claims brought by the U.S. Department of Justice (DOJ) over the pharmacy chain’s handling of its patients’ opioid prescriptions. The agreement follows a federal case that accused the company of filling prescriptions for addictive painkillers when the medications were not medically needed. CVS denies wrongdoing and says its pharmacists are trained to fill prescriptions in a safe and proper manner. The settlement brings an end to a case announced by federal officials in 2024. Prosecutors alleged that CVS had filled large numbers of prescriptions for opioids and other controlled substances in ways that broke federal law. The case focused on prescriptions that were said to lack a valid medical purpose, along with claims that CVS sought payment from federal health programs for some of those prescriptions.
The government’s case covered conduct dating back to 2013. According to the lawsuit, CVS pharmacies filled prescriptions for opioids and other narcotics in violation of the Controlled Substances Act. The suit also alleged that the company submitted claims for payment to programs such as Medicare, despite the alleged problems with some of the prescriptions. Those claims were brought under the False Claims Act, a federal law that allows the government to seek money back when public funds are paid based on false or improper claims.
As part of the agreement, CVS will also work with the Drug Enforcement Administration to strengthen its procedures for reviewing prescriptions. The company agreed to put systems in place to track and receive reports about possible unlawful dispensing at its pharmacies. It will also review doctors suspected of writing opioid prescriptions that may break the law. These steps are intended to help identify warning signs and prevent controlled substances from being supplied when there is no proper medical reason.
The DOJ said the agreement marks a step in its efforts to address the opioid crisis. Associate Attorney General Stanley Woodward said the government would continue taking action against pharmacies accused of improperly filling prescriptions for controlled substances. Federal officials have argued that pharmacies have a duty to question prescriptions that appear suspicious rather than filling them without proper review.
CVS, however, has rejected the government’s claims. In a public statement, the company said it disagreed with the allegations and was not admitting that it had done anything wrong. The company also pointed to the training and experience of its more than 27,000 pharmacists, saying staff members work to ensure medications are provided in an appropriate manner. The settlement resolves the federal case without an admission of wrongdoing by CVS.
The federal settlement follows other large cases involving pharmacies accused of contributing to the spread of opioid addiction. In August, Walmart agreed to pay $50 million to resolve a separate federal case involving claims that it improperly filled opioid prescriptions. CVS also agreed in 2022 to pay nearly $5 billion to resolve thousands of claims brought by state and local governments, as well as Native American tribal governments. Those cases were part of wider efforts to seek compensation from companies accused of helping fuel the opioid crisis.
The federal case against CVS began with a complaint filed by a former company employee who raised concerns about the pharmacy chain’s practices. The lawsuit claimed CVS was among the nation’s largest dispensers of opioids, distributing more than 12 billion doses between 2015 and 2020. It also alleged that some pharmacies filled prescriptions from doctors operating so-called pill mills, where large amounts of addictive painkillers were prescribed without a proper medical reason. The $315 million agreement closes the federal lawsuit, while the company continues to deny the allegations.
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CVS settles US Justice Department case over opioid prescriptions for $315 million
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