Group of Abuse Survivors Endorses Settlement with New Orleans Archdiocese
By David Hammer – WWLTV and Ramon Antonio Vargas – The Guardian
On Wednesday, May 21, 2025, a proposed agreement was reached to settle sexual assault claims in the New Orleans Archdiocese bankruptcy. It would provide about $180 million to benefit survivors. This tentative agreement will require the approval of at least 2/3 of the 600+ claimants.
If the agreement does not receive the 2/3 votes required and the Diocese does not come back with a higher settlement number, the bankruptcy proceeding may be dismissed. Judge Grabill has already ordered the Archdiocese to appear before her on June 26 and show why bankruptcy should not be dismissed. If the bankruptcy is ended, each claimant will need to pursue litigation separately against the Archdiocese of New Orleans, beginning the usually lengthy and expensive process through the courts. This will be more expensive for everyone involved and reduce the available settlement funds.
If the agreement does receive the 2/3 votes required, the amount of money each claimant would receive from the settlement will be based on a matrix established under the settlement which considers the nature of the abuse and supporting evidence. The average payout would be about $300,000.
Additionally, the settlement would also require the church to make public its full archive of records concerning sexual abuse. It would also require independent investigations over any church molestation claims that occur in the future.
