The St. Louis Cathedral and Jackson Square are seen at sunset near the French Quarter in downtown New Orleans on April 10, 2010. / Credit: Graythen/Getty Images
CNA Staff, Oct 31, 2025 / 10:30 am (CNA).
The Archdiocese of New Orleans secured nearly unanimous approval for a $230 million bankruptcy settlement on Thursday, paving the way for payouts to over 650 victims after five years of contentious litigation in the nation’s second-oldest Catholic archdiocese.
The vote, which closed at midnight on Oct. 30, saw 99.63% of creditors — including hundreds of abuse survivors — endorse the plan in the U.S. Bankruptcy Court of the Eastern District of Louisiana, according to The Guardian.
Only the bondholder class, owed $30 million, opposed it, voting against the plan by a vote of 59 to 14, according to court documents. In 2017, bondholders lent the Church $40 million to help refinance parish debt and have been repaid only 25% of the outstanding balance. They have alleged fraud against the Church after it withheld promised interest payments. Legal experts say their “no” vote will not derail confirmation of the settlement, however.
“Your honor, there is overwhelming support for this plan,” archdiocese attorney Mark Mintz said in court on Thursday. The plan required that two-thirds of voters approve it.
Final tallies of the votes will be filed next week, and a hearing before Judge Meredith Grabill is set for mid-November, potentially ending the archdiocese’s Chapter 11 case filed in May 2020 amid a flood of abuse claims.
In a statement to CNA, the archdiocese said: “Today we have the voting results of our proposed settlement and reorganization plan, which has been overwhelmingly approved by survivors and other creditors. We are grateful to the survivors who have voted in favor of moving forward with this plan and continue to pray that both the monetary settlement and the nonmonetary provisions provide each of them some path towards their healing and reconciliation.”
Archbishop Gregory Aymond originally told the Vatican in a letter that he thought he could settle abuse claims for around $7 million. The archdiocese has spent close to $50 million so far on legal fees alone.
The settlement going to abuse victims breaks down to $130 million in immediate cash from the archdiocese and affiliates, $20 million in promissory notes, $30 million from insurers, and up to $50 million more from property sales, including the Christopher Homes facilities, a property that has provided affordable housing and assisted living to low-income and senior citizens in the Gulf Coast area for the last 50 years.
Payout amounts to individual claimants will be determined by a point system negotiated by a committee of victims and administered by a trustee and an independent claims administrator appointed by the court.
The point system is based on the type and nature of the alleged abuse. Additional points can be awarded for factors like participation in criminal prosecutions, pre-bankruptcy lawsuits, or leadership in victim efforts, while points may be reduced if the claimant was over 18 and consented to the contact. The impact of the alleged abuse on the victim’s behavior, academic achievement, mental health, faith, and family relationships can also adjust the score.
Abuse victim Richard Coon cast his vote on Monday. “I voted ‘yes’ to get Aymond out of town. I just think he’s been a horrible leader,” Coon said.
In September, Pope Leo XIV named Bishop James Checchio as coadjutor archbishop of New Orleans. Checchio has been working alongside Aymond and will replace him when he retires, which Aymond has said he plans to do when the bankruptcy case is resolved.
The $230 million deal is significantly higher than the initial $180 million proposal in May, which drew fire from attorneys like Richard Trahant, who criticized it for being “lowball.”
The initial settlement was “dead on arrival,” according to Trahant, who, along with other attorneys, urged his clients in May to hold out for a better offer, saying they deserved closer to $300 million, a figure similar to the $323 million paid out to about 600 claimants by the Diocese of Rockville Centre in New York in 2024.
“There is no amount of money that could ever make these survivors whole,” Trahant said in a statement Thursday.
In the Diocese of Rockville Centre bankruptcy settlement, attorneys reportedly collected about 30% of the $323 million, or approximately $96.9 million. Similarly, the Los Angeles Archdiocese’s $660 million settlement in 2007 saw attorneys receiving an estimated $165-$217.8 million, or 25%-33% of the payout.
The bankruptcy stemmed from explosive revelations in 2018, when the Archdiocese of New Orleans listed over 50 credibly accused priests. In 2021, the Louisiana Legislature eliminated the statute of limitations for civil actions related to the sexual abuse of minors.
The new law allows victims to pursue civil damages indefinitely for abuse occurring on or after June 14, 1992, or where the victim was a minor as of June 14, 2021, with a three-year filing window (which ended June 14, 2024) for older cases.
The Diocese of Lafayette, along with the Archdiocese of New Orleans, the Diocese of Baton Rouge, the Diocese of Houma-Thibodaux, Catholic Charities, the Diocese of Lake Charles, and several other entities challenged the law’s constitutionality, arguing it violated due process, but the Louisiana Supreme Court upheld it in June 2024 in a 4-3 decision.
Critics argued the retroactive nature of the law risks unfairness to defendants unable to defend against decades-old abuse claims due to lost evidence and highlighted the potentially devastating financial impact.
Read More![Missouri court says man can sue St. Louis Archdiocese over abuse he repressed for decades #Catholic
The Cathedral Basilica of St. Louis. / Credit: legacy1995/Shutterstock
CNA Staff, Oct 16, 2025 / 11:48 am (CNA).
A Missouri appeals court has ordered that an alleged victim of clergy sexual abuse can sue the Archdiocese of St. Louis, ruling that an arcane aspect of bankruptcy law does not negate the archdiocese’s potential liability for abuse that the plaintiff allegedly repressed for decades.The case touches on both the complex character of U.S. bankruptcy statutes as well as the often-protracted nature of abuse allegations, which frequently only come to light years or decades after the abuse is alleged to have occurred. In its Oct. 14 ruling, the Missouri Court of Appeals, Eastern District, said the alleged victim, John Doe, claims to have been abused at the St. Joseph’s Home for Boys in the late 1980s. Doe alleges that Father Alexander Anderson, who was assigned as a counselor to the home, sexually abused him; the plaintiff said he “reported the abuse [but] no action was taken,” according to the court. Doe “alleged he repressed his memory of the abuse until 2016,” the court said. He ultimately filed suit against the archdiocese in August 2022. The archdiocese argued in response that Doe’s abuse claim was effectively negated by two bankruptcy claims he had filed in 2008 and 2009. U.S. law dictates that when debtors file for bankruptcy, they create “an estate that includes nearly all of the debtor’s legal or equitable interests in property,” including legal causes of action. The archdiocese claimed that since Doe did not list his abuse claims as “exempted assets” in his bankruptcy proceedings, they became part of that “estate” and can only be administered by the trustee that handled those proceedings. The appeals court rejected the archdiocese’s argument, reversing a lower court decision and holding that Doe’s “cause of action” only arose when he said he remembered the alleged abuse in 2016, “well after” his bankruptcy filings. Doe’s standing to sue “did not accrue [when] the sexual abuse was allegedly committed” but rather when it was “capable of ascertainment,” the court held. The court’s ruling cited Missouri Supreme Court precedent, which holds that, in some cases of abuse, “the victim may be so young, mentally incompetent, or otherwise innocent and lacking in understanding that the person could not reasonably have understood that substantial harm could have resulted from the wrong.”The St. Louis Archdiocese did not immediately respond to a request for comment on the ruling on Oct. 16. This is not the first instance in which the archdiocese has been held accountable for abuse allegations that an alleged victim claimed to have repressed for decades.In 2023 the archdiocese agreed to pay a $1 million settlement to a man who said he was abused by Father Gary Wolken in the mid-1990s but repressed the memories until he was an adult. Wolken was in prison from 2003 to 2015 for sexually abusing another boy in the St. Louis area from 1997 to 2000.](https://unitedyam.com/wp-content/uploads/2025/10/missouri-court-says-man-can-sue-st-louis-archdiocese-over-abuse-he-repressed-for-decades-catholic-the-cathedral-basilica-of-st-louis-credit-legacy1995-shutterstockcna-staff-oct-16-2025.webp)
