Summary by Moomoo AI
Walgreens Boots Alliance, Inc. (Walgreens) has reached a settlement in a shareholder derivative suit involving allegations of inadequate oversight of opioid-related matters. The suit, initially filed in Ohio and later refiled in Illinois, claimed that certain officers and directors breached fiduciary duties by failing to ensure compliance with the Controlled Substances Act, exposing the company to liability. The settlement, mediated by Hon. Layn R. Phillips (Ret.), includes a $36 million payment from directors and officers insurance carriers and the implementation of corporate governance reforms for at least five years. The reforms include the creation of a Compliance, Safety, and Quality Committee, the appointment of two new independent directors, and the establishment of a U.S. Retail Pharmacy Governance, Risk, and Compliance Committee, among other changes. The settlement is subject to court approval, with a hearing scheduled to determine its fairness, reasonableness, and adequacy, as well as to address any objections from shareholders.