A federal bankruptcy judge ordered on Friday that 42 sex-abuse cases pending against the Roman Catholic Diocese of San Diego be released for civil trials to allow people, who were sexually abused as children to get their day in the court soon.
U.S. Bankruptcy Judge Louise DeCarl Adler’s ruling has come four years after the first in a rush of lawsuits against the diocese. The diocese sought bankruptcy protection in February, avoiding progress of 127 lawsuits but Adler dismissed diocese's arguments saying that the victims have a constitutional right to jury trials.
“The victims are very encouraged,” said Andrea Leavitt, lawyer for a group of claimants. “And they are very grateful that the court has the wisdom to grasp the gamesmanship the victims have been subjected to for years by the diocese.”
Adler has been never been convinced of the diocese's assertions that it could go bankrupt if it had to pay compensation to 150-plus claimants. She criticized the diocese for masking its true financial worth and said that its attorneys were looking for courts that would be more considerate towards them.
Susan Boswell, the diocese's lead bankruptcy attorney, denied the allegations.
Adler repeated that the diocese's $95 million settlement proposal was far below the state average for such abuse claims. Attorneys of the plaintiffs are looking for a settlement of about $200 million.
“This case is about plaintiffs who want lots of money,” said John Harris, a diocese attorney. “But $94 million is not zero, and the way to resolve this is through estimation.”
In a hearing on Thursday, the diocese maintained that jury trials would linger on and the outcomes will be fragmented. Its attorneys appealed to have the federal court set a dollar value on the claims and ask the victims to reject or accept that offer. The ones, who refuse, could pursue trials in federal court.
They claimed it was the best way for all of the victims to receive quick compensations.
Although the victims and their attorneys were delighted at Adler’s decision, Jim Stang, an attorney for the victims committee, was concerned that Adler must take the step of formally removing the stays placed on the 42 cases after the diocese filed for bankruptcy.
Her decision is expected on December 6. Until the stays are lifted, Stang said, “The green light has not been given.”
In a letters to parishioners, San Diego Bishop Robert Brom said that he has dual goals: to justly compensate the victims and keep the church's finances healthy enough that it can continue its mission and ministry.
If stays on the lawsuits are lifted on September 6, a hearing will then be held before Superior Court Judge John Einhorn to resolve the status of four cases that were to begin trial shortly after the bankruptcy petition was filed.