Plan to Resolve New Orleans Archdiocese Bankruptcy Claims

New Orleans Archdiocese plan to resolve bankruptcy case moves to a vote by abuse survivors
Reported by Erin Lowrey, WDSU-TV, August 12, 2025

“A plan to resolve the Archdiocese of New Orleans’ yearslong bankruptcy case will now go to a vote by sex abuse survivors.”

“Sex abuse survivors who filed claims should receive a ballot in the mail this month and must return it before Oct. 29 with their vote, according to the proposed plan.”

“If it is approved, the plan could go into effect by the end of the year. If it is rejected, the judge could toss the [bankruptcy] case.”

“The plan settlement proposes … compensation for sex abuse survivors. [T]he plan also requires the archdiocese and its archbishop to implement new binding child protection protocols.”

“If the plan is approved, claims made by sex abuse survivors will be reviewed before payments will be decided. Each claim will be scored by a point system, and settlement totals will vary by survivor.”

James Stang, whose law firm represents the court-appointed committee of survivors in the church bankruptcy case, says, “If the settlement is not accepted by survivors and by the court, then she—Judge Grabill—has told us this [bankruptcy] case will be dismissed.”

Some attorneys “representing sex abuse survivors … say the case should be tossed, and survivors should be allowed to individually try their cases against the Archdiocese of New Orleans.”

According to Stang, “There are a lot of people out there saying the compensation isn’t fair. It’s not enough. It will never be enough. The legal system will not give you the kind of money that can address what happened to you, because no amount of money can.” If the current bankruptcy case is dismissed, “You’re not going to have 650 lawsuits heard all at one time, as best as the court system may try. And we are absolutely convinced that if the numbers come in big on the first or second trials, the archdiocese will file bankruptcy again.”

“The Survivors Committee will host online town hall meetings on Sept. 12, Sept. 24, and Oct. 20 to provide information for survivors. The settlement needs a two-thirds vote from sex abuse survivors to move forward.”

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New legislation enables adults subjected to childhood sexual assault in Louisiana to file lawsuits against their perpetrators and the churches, schools, youth athletic leagues, medical facilities, and other organizations that enabled the wrongdoing.

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