Photo by Mike DuBose, United Methodist News.

Appeals judge upholds BSA plan, including UMC settlement

March 29, 2023 | | GNJ News

Bishop John Schol notified all United Methodist bishops on Tuesday, March 28, of a federal appeals court judge’s ruling that upheld the Boy Scouts of America (BSA) reorganization plan, which includes our $30 million United Methodist Settlement with the survivors’ trust.

The BSA filed for bankruptcy three years ago in the face of hundreds of claims for childhood sexual abuse stretching over decades. After an advertising campaign led by plaintiffs’ attorneys, the number of asserted claims surpassed 82,000.

U.S. Bankruptcy Judge Laurie Selber Silverstein confirmed a plan in September that featured settlement with some large insurers and groups representing thousands of claimants to fund the $2.5 billion settlement. The United Methodist Settlement was a part of that plan.

Bishop Schol asked the bishops to share the appeals judge’s ruling with their conference chancellors and other leaders. His letter included the appeal decision and an initial article (see link below) about the ruling on the reorganization plan. Here is what Schol wrote:

Today we learned that the federal appeals judge upheld the Boy Scouts of America reorganization plan which includes our $30 million United Methodist Settlement with the survivors’ trust. It is anticipated that there may be a further appeal of the ruling. We continue to pray for and work toward the healing of the survivors and remain committed to ending sexual abuse. 

We are grateful for who supported the process and we will continue to work together to fulfill our settlement payments and our commitment to educate our congregations about keeping young people safe and ensuring Safe Sanctuary Policies are developed and followed in our congregations and ministries.

BREAKING: Boy Scouts Ch. 11 Plan Upheld On Appeal By Vince Sullivan

A Delaware federal judge upheld the Chapter 11 plan of the Boy Scouts of America on Tuesday, saying he found no fault with the bankruptcy court’s conclusion approving the plan to channel more than 82,000 claims of childhood sexual abuse to a $2.5 billion settlement trust, and that appealing insurance companies had not shown any clear error in the order confirming the plan.  Read full article »