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New Orleans Catholic abuse survivors express anger over bankruptcy settlement payout amounts

Clergy abuse survivors in the New Orleans Roman Catholic archdiocese's bankruptcy protection case are receiving payout determinations capped at roughly $641,000.

The short version

  • Clergy abuse survivors in the New Orleans Roman Catholic archdiocese's bankruptcy case have begun receiving letters detailing their estimated individual settlement payouts.
  • The maximum 100-point allocation under a zero-to-100 severity scale yields an estimated payout of $641,425.64, with each point valued at $6,414.26.
  • Survivors expressed anger over payouts that fall below recent Louisiana jury awards, a lack of point breakdowns in allocation letters, and a required $1,000 fee to request reconsideration.
  • Claimants have 30 days to appeal their point allocations, with roughly $56 million from the $305 million settlement currently withheld to address appeals.

Key facts

  • Letters sent to hundreds of clergy abuse survivors in the New Orleans archdiocese bankruptcy outlined payout estimates capped at $641,425.64 for a maximum 100-point score.[The Guardian]
  • The payouts stem from a $305 million settlement agreed upon on December 8 by the archdiocese and its insurers to resolve a bankruptcy case opened in 2020.[The Guardian]
  • Under the point system, rape was valued at 75 points, oral or digital abuse at 56 points, and grooming behavior at 5 points.[The Guardian]
  • More than 800 abuse claims received point allocations, including over 100 that received zero points for reasons such as lack of affiliation with the archdiocese.[The Guardian]
  • Under a protocol approved in December, survivors must pay an out-of-pocket fee of $1,000 to submit a request for reconsideration within 30 days.[The Guardian]
  • Approximately $56 million from the settlement is being withheld temporarily to accommodate successful appeals, with any unspent portion to be redistributed to survivors based on point totals.[The Guardian]

What remains uncertain

  • The exact total number of claimants who will choose to pay the $1,000 fee and file appeals within the 30-day window remains unknown.[The Guardian]
  • How many point allocations may be adjusted upon appeal, and how much withheld funds will eventually be redistributed to survivors, has not been determined.[The Guardian]

Sources