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Bankruptcy Court Approves $210 Million Settlement Between Sexual Abuse Survivors and Archdiocese of St. Paul-Minneapolis

(Minneapolis, MN) – Today, U.S. Bankruptcy Court Judge Robert J. Kressel approved the consensual bankruptcy plan between sexual abuse survivors and the Archdiocese of St. Paul and Minneapolis.

“Because of the courage of these survivors standing in strength and in solidarity with each other, we can take great comfort that by the actions they’ve taken, kids and the community are safer,” said Jeff Anderson, attorney for many of the survivors.

The plan of reorganization calls for a $210 million settlement with survivors of sexual abuse by Archdiocese clergy and employees. The survivors previously voted overwhelmingly to approve the plan, with 99.5 percent of those casting ballots voting to accept.

The settlement is the largest bankruptcy settlement in a Catholic bankruptcy case in the United States. It is also the second-largest overall settlement in any Catholic sexual abuse case. Settlement proceeds will be disbursed after each claim is evaluated by a claims reviewer in a process specified by the plan. The completion of that process will signal the end of a bankruptcy process that began when the Archdiocese filed for Chapter 11 bankruptcy in January 2015.

“The resolution of this chapter in the journey can bring some comfort to all,” Anderson said. “The credit is deserved exclusively by the survivors, who had the courage to stand up for their truth and to stand against the attempt by the Archdiocese to shut them out and diminish the power that each of them has exercised individually and collectively.”