Clergy Abuse Survivors Reach $148 Million Settlement with the Diocese of Albany
Settlement Does Not Include Contributions From the Diocese’s Insurers
(Albany, New York) – Today, a settlement was announced in the Diocese of Albany bankruptcy case on behalf of hundreds of survivors of child sexual abuse who courageously came forward to file claims. The $148 million settlement includes contributions from the Diocese of Albany, its parishes, and affiliated entities. Our firms, as attorneys for a member of the Official Committee of Tort Claimants and 186 other survivors involved in the case, worked alongside Committee counsel to help achieve this result.
“The survivors on the Official Committee of Tort Claimants in this case stood firm, fighting tirelessly for all survivors. Despite the emotional cost, they never wavered. This historic outcome is the result of their courage, resilience, and commitment to justice.” – Jeff Anderson
The Diocese of Albany filed for Chapter 11 bankruptcy in 2023 in response to lawsuits under the New York Child Victims Act. It is now the fifth diocese in the state to reach a settlement with survivors.
“This settlement is more than just a significant financial outcome for survivors,” said Cynthia LaFave. “It is also a public acknowledgement of the harm these survivors endured at the hands of the Diocese and its trusted leaders. While no amount of money can undo the trauma they endured, this settlement proves that the survivors’ voices matter and that the diocese must confront its failures and take responsibility.”
Absent from the settlement amount are contributions from the Diocese’s insurers, including Hartford, London Market Insurers (LMI), and Interstate.
“Insurers have consistently denied, delayed, and evaded responsibility,” said attorney Jeff Anderson. “These tactics are not isolated; they are part of a broader pattern seen across New York and the country. We will continue to stand with survivors in Albany and fight for justice.”
Negotiations with the insurers will continue over the coming months. The settlement will allow for litigation to continue against the insurers to force them to honor their obligations if no settlements can be reached with the carriers. The settlement will need to be approved by the bankruptcy court and voted on by all the survivors.