CVS Pharmacy and its subsidiaries have agreed to pay $315 million to settle a Justice Department lawsuit filed in 2024. The suit accused the company of violating the Controlled Substances Act by dispensing medically unnecessary opioids, allegedly fueling addiction and billing federal healthcare programs for the prescriptions.
The Justice Department alleged that poor staffing levels, performance metrics, and incentive compensation led pharmacists to rush through prescriptions without verifying their legitimacy, including orders from known "pill mills." CVS strongly disagreed with the claims, saying its pharmacists are trained in safe medication use and that the settlement admits no wrongdoing. The company previously argued that pharmacists faced vague and ever-changing standards when filling opioid prescriptions.
Under the settlement, CVS must implement additional safeguards to ensure controlled substances are dispensed only when medically appropriate. The deal is part of a broader federal crackdown: over the past decade, drugmakers, wholesalers, and pharmacies have agreed to opioid-related settlements totaling more than $50 billion, including recent agreements with Walgreens and Walmart.