Appeals delay Boy Scout sex abuse settlement
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Appeals filed on behalf of more than 100 abuse victims and some insurers could delay Irving-based Boy Scouts of America's exit from bankruptcy by a year or more — which would also delay payments to more than 80,000 men who say they were abused as children.
Why it matters: The $2.46 billion settlement, approved last month by a U.S. bankruptcy judge in Delaware, has the support of the Boy Scouts' two largest insurers and 86% of abuse victims who voted in the youth group's bankruptcy case.
- It's the largest sex abuse lawsuit in history.
The latest: Gilion Dumas, an attorney who represents 67 men with abuse claims dating to the 1970s and 1980s, said her clients are challenging that the settlement extends legal protections to local Boy Scouts councils and churches that were responsible for abuse, per Reuters.
- Insurance companies appealing the settlement have accused the Boy Scouts of ceding too much control over the bankruptcy case to attorneys for abuse victims, resulting in an unfair system for evaluating and paying abuse claims — though the bankruptcy judge overseeing the case has overruled those objections.
Details: Under the approved settlement, the BSA, its local councils, settling insurance companies and troop-sponsoring groups like religious organizations would contribute to a fund for survivors in exchange for protection from future abuse lawsuits.
- Claimants could receive anywhere from $3,500 to $2.7 million, for the most severe cases.
- Some money would also go toward a trust set up to fund litigation against survivors who have not settled, per AP.
What's next: An attorney representing some of the abuse survivors has said he expects the appeals to take "at least six to 18 months."