Walgreens Savings Club Litigation

INFORMATION REGARDING CLASS ACTION SETTLEMENT

A proposed Settlement has been reached in a class action lawsuit on behalf of individuals, third party payors, health insurers, and other entities (“TPP Claimants”) who paid  for prescription drugs at Walgreens. The class action lawsuit, Russo et al. v. Walgreen Co., No. 1:17-cv-02246, (N.D. Ill) alleged that Walgreens failed to include its Prescription Savings Club prices when determining its usual and customary prices for prescription reimbursement. Walgreens denies any wrongdoing and maintains that it correctly reported its usual and customary prices. The Court has not decided who is right.

The Court has preliminarily approved the proposed Settlement described in this Notice. To resolve the claims, the proposed Settlement will provide for $100,000,000 to be paid by Walgreens. As discussed below, all Court-approved attorneys’ fees and expenses, the costs of notice and administering the Settlement, service awards, and other costs will be deducted from this amount (“Net Settlement Fund”). The Net Settlement Fund will be paid to members of the Settlement Class (defined below) who submit valid claims.
The Court has scheduled a Fairness Hearing to decide whether to approve the Settlement, the plan for allocating the Net Settlement Fund among claimants, Class Counsel’s request for attorneys’ fees and payment of litigation expenses out of the Settlement Fund, and the plaintiffs’ request for payment of services awards. The Fairness Hearing is scheduled for September 10, 2025, at 12:15 P.M. CST, before Judge Edmond E. Chang of the U.S. District Court for the Northern District of Illinois at the United States Courthouse, 219 South Dearborn Street, Chicago, IL 60604. The time and date of the Fairness Hearing may change. For up-to-date information on the Fairness Hearing, check www.SavingsClubSettlement.com.

Who Is Included?

The Settlement Class is defined as follows:

All individuals and entities in the United States and its territories who paid, in whole or in part, at any point in time from the period January 1, 2007 through November 18, 2024 (the “Settlement Class Period”), for one or more prescription drugs from Walgreens, where prescription insurance benefits were used in filling the prescription(s).

The following groups are excluded from the Settlement Class: (1) Walgreens and its management and affiliates, and employees of Walgreens and its affiliates; (2) the Court, members of their immediate families, and judicial staff (but not members of the immediate families of judicial staff); (3) all pharmacy benefit managers; (4) individuals who paid for all of their prescription drugs from Walgreens during the Settlement Class Period without using insurance benefits; (5) federal and state government entities other than government-funded employee benefit plans; and (6) all individuals and entities, except for the named plaintiffs, that have sued, filed an arbitration demand, or participated in a settlement in a suit against Walgreens relating to its determination of usual and customary prices in connection with the Prescription Savings Club (this exception to the exclusion from the Settlement Class does not apply to individuals or entities that have voluntarily dismissed their claims without prejudice in any suit or arbitration).

What Does The Class Action Settlement Provide?

Walgreens will pay $100,000,000 into a Settlement Fund to settle all claims in the lawsuit brought on behalf of Settlement Class Members who are individuals, third party payors as well as health insurers and other entities (“TPP Claimants”) who paid for prescription drugs from Walgreens.

The Settlement Fund will be distributed pursuant to a Plan of Allocation and Distribution which has been approved by the Court, a copy of which can be reviewed on the Court Documents page of this website. Class Counsel will ask the Court to award attorneys’ fees not to exceed 30% of the Settlement Fund, as well as out-of-pocket costs, expenses, and charges not to exceed $3,000,000, and interest, as well as Service Award payments to the Plaintiffs not to exceed $5,000 to each Individual Plaintiff and $15,000 to each Fund Plaintiff, and Notice and Administration Expenses.

To be entitled to a payment from the Net Settlement Fund, you must submit a Claim Form (and documentation, if required) found on the File a Claim page of this website by April 17, 2025.