Illustration: Sarah Grillo/Axios

Johnson & Johnson has officially been found liable in Oklahoma for deceptive and false marketing of opioids — the first major instance of legal accountability for the opioid epidemic.

Yes, but: If Oklahoma's $572 million judgment is a sign of things to come, states may only be looking at short-term relief — and drug companies may only incur short-term annoyances, rather than crippling penalties.

The big picture: Judge Thad Balkman wrote in his decision that J&J "pervasively, systemically and substantially" created a public nuisance by falsely promoting its opioids as safe and necessary, which led to massive overprescribing and addiction.

  • Oklahoma had claimed J&J was the opioid "kingpin."

Why it matters: "This is the first time ... that a pharmaceutical company has been found responsible in the court of law for causing the opioid crisis," said Andrew Kolodny, a doctor and opioid researcher who was a key witness for Oklahoma in the case. "This is a landmark decision."

Between the lines: $572 million is just the 1-year cost of abating Oklahoma's opioid crisis, the ruling says.

  • The state wanted $17 billion, but the judge said it didn't present enough evidence to validate a longer-term payout. One year of addiction treatment services and other programs is a Band-Aid.
  • The judgment is less than 4% of J&J's net profit from 2018, and significancly less than the $2 billion some Wall Street analysts expected J&J to end up paying — and that's why shares of J&J and other related companies soared in after-hours trading.
  • If this case is used as a benchmark in the national lawsuit, J&J likely would pay billions — but again, not an insurmountable amount for a company that brings in more than $80 billion of sales annually.

What they're saying: J&J plans to appeal, saying in a statement the judge's decision was "flawed" and that it is ready to extend this fight into 2021.

  • Wall Street prognosticator Kevin O'Leary, among others, has urged J&J and other companies to "fight like hell through the litigation."

Go deeper

The TikTok deal's for-show provisions and flimsy foundations

Illustration: Aïda Amer/Axios

The new deal to rescue TikTok from a threatened U.S. ban — full of provisions aimed at creating the temporary appearance of a presidential win — looks like a sort of Potemkin village agreement.

How it works: Potemkin villages were fake-storefront towns stood up to impress a visiting czar and dignitaries. When the visitors left, the stage set got struck.

  • Similarly, many elements of this plan look hastily erected and easily abandoned once the spotlight moves on.
1 hour ago - Technology

Over 3 million U.S. voters have already registered on social media

Illustration: Eniola Odetunde/Axios

An estimated 2.5 million+ Americans have registered to vote on Facebook, Instagram, and Messenger, Facebook announced Monday. More than 733,000 Americans have registered to vote so far via Snapchat.

Why it matters: The broad reach of social media platforms makes them uniquely effective at engaging voters — especially younger voters who may not know how to register to vote or be civically engaged.

Felix Salmon, author of Capital
1 hour ago - Economy & Business

Wall Street: Recession is over

Illustration: Aïda Amer/Axios

U.S. economic activity fell more sharply in the second quarter of this year than during any other quarter in history. It's also going to grow more sharply in the third quarter of this year than during any other quarter in history.

  • The recession is over, according to Wall Street, with current forecasts showing sustained economic growth through 2021 and beyond.