Walmart has reached a settlement with the U.S. government over allegations that its pharmacies unlawfully dispensed opioid prescriptions, helping fuel the country's opioid epidemic.
The U.S. Department of Justice and Walmart confirmed the settlement on Friday, but neither disclosed its financial terms.
The lawsuit, filed in 2020, accused the Bentonville, Arkansas-based retailer of repeatedly violating the federal Controlled Substances Act since 2013. The Justice Department had previously said Walmart could face billions of dollars in civil penalties.
The Justice Department described the case as one of its most significant lawsuits against a single company over the opioid epidemic.
"The department is pleased to have reached a settlement with Walmart resolving allegations that its pharmacies failed to comply with their obligations under the Controlled Substances Act in dispensing opioids and other controlled substances," a Justice Department spokesperson said.
Walmart said it was pleased to resolve the matter and would continue supporting its pharmacists in providing patient care.
A joint stipulation dismissing the case was filed on Thursday in federal court in Wilmington, Delaware.
Walmart shares rose 0.5 per cent in morning trading.
More than 905,000 people in the United States died from opioid overdoses between 1999 and 2025, according to the U.S. Centers for Disease Control and Prevention.
The agency said annual opioid deaths began declining after 2022.
Walmart was among several major companies targeted by the U.S. government and state and local authorities over the opioid crisis.
Purdue Pharma, the maker of OxyContin, pleaded guilty to criminal charges in 2020 related to its painkiller after filing for bankruptcy protection. Drug wholesaler Cencora, formerly known as AmerisourceBergen, has also faced opioid-related litigation.
The Justice Department's case against Walmart was narrowed in March 2024 by U.S. District Judge Colm Connolly.
Connolly dismissed claims that Walmart had failed to report suspicious prescriptions to the U.S. Drug Enforcement Administration and that its pharmacists had failed to document warning signs, or "red flags", linked to prescriptions.
The judge allowed the government to pursue a claim that Walmart pharmacists had dispensed prescriptions that company compliance personnel knew were invalid.
A separate claim that pharmacists themselves knowingly dispensed invalid prescriptions also remained pending.
The settlement brings the federal case to an end.
Walmart agreed in 2022 to pay $3.1 billion to settle thousands of lawsuits brought by state and local governments over the role of its pharmacies in the opioid crisis.
CVS and Walgreens reached similar settlements, which were larger than Walmart's agreement.
The latest settlement resolves the U.S. government's lawsuit without the Justice Department or Walmart disclosing the terms.
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