Subjects: NPT, LAW, BCY
The Coalition of Abused Scouts for Justice Comments on Disclosure Statement Hearing in the Boy Scouts of America Chapter 11 Bankruptcy Case
NEW YORK, Sept. 29, 2021 /PRNewswire/ -- The Coalition of Abused Scouts for Justice ("the Coalition") commented today upon the conclusion of the Disclosure Statement Hearing pertaining to the Boy Scouts of America's Chapter 11 bankruptcy case:
"The Coalition of Abused Scouts for Justice was formed with two common goals: ensuring that every single sexual abuse survivor is compensated, with no survivor left behind; and establishing the largest possible compensation fund for all survivors, to be distributed as expeditiously as possible.
"Nineteen months have elapsed since the Boy Scouts of America sought bankruptcy protection. During this time, survivors have waited patiently for justice and for compensation, but they cannot wait much longer. Attorneys for the Boy Scouts have stated that the organization will not be solvent if this case drags on much longer.
"The Coalition was satisfied, but not surprised, that the Court denied the motion filed by the Tort Claimants' Committee (TCC) to delay the disclosure statement hearing by an additional two weeks. It was an unnecessary and predictable stall tactic. Each month this bankruptcy drags on is another month in which legal and related expenses accrue, denying survivors of their rightful compensation.
"Advisors to the Coalition estimate that the case could stretch on for the next five-to-ten years if the Boy Scouts of America goes into a Chapter 7 liquidation, as the TCC would prefer to see happen. Under that outcome, survivors will be denied their compensation for years, which will be further reduced due to additional legal expenses.
"Unlike the Coalition, the TCC has no plan to compensate survivors and has not created a multi-billion-dollar compensation fund for survivors through its efforts to reach settlements with insurers and sponsoring organizations to build the most robust fund possible."
On September 14th, the Coalition ? a group comprised of 26 law firms who collectively represent more than 63,000 childhood sexual assault abuse survivors ? secured settlements with one of Boy Scouts of America's insurers, Hartford Financial Services Group, for $787 million, and one of its chartered organizations, The Church of Jesus Christ of Latter-day Saints, for $250 million. Earlier, in July, the Coalition secured an $850 million settlement, consisting of a value of $250 million from Boy Scouts of America and $600 million from its more than 250 local councils. This brings the total amount of monetary compensation available thus far to survivors to $1.887 billion, with additional settlements expected in the coming weeks. These agreements are supported by Coalition members, as well as Boys Scouts of America, local Boy Scouts councils, and the future claims representative. Negotiations with other insurers and sponsoring and chartered organizations are actively ongoing.
Survivors will soon have the opportunity to vote on the broadly supported restructuring plan, which is expected to include settlements with additional chartered and sponsoring organizations, insurers, and other third parties, further increasing the size of this historic, multi-billion-dollar settlement.
Media Contact: Andrew Merrill / Brian Schaffer / Joan Vollero
[email protected]
SOURCE The Coalition of Abused Scouts for Justice
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