New York Archdiocese Seeks Global Settlement of Child Sex Abuse Lawsuits

The state was among the first to roll back statute of limitations laws, allowing survivors of child sexual abuse to bring civil claims over decades-old allegations previously shielded by powerful institutions.

The Roman Catholic Archdiocese of New York will pay more than $300 million to about 1,300 individuals who claim they were sexually assaulted as children by priests and employees, as part of a proposed global settlement that aims to resolve lawsuits filed after New York opened up the statute of limitations on child sex abuse claims.

Cardinal Timothy Dolan announced the settlement in a letter to parishioners on December 8, indicating that raising the money will require the archdiocese to make cuts to staff and operations, in addition to selling several pieces of real estate. The $300 million figure is an estimate of what the archdiocese expects to raise, the letter states.

In February 2019, New York became one of the first states to waive statute of limitations laws to allow survivors of child sex abuse to file civil claims against their abusers, no matter how long ago the incidents occurred. The law initially provided a one-year opening of the New York statute of limitations for child sex abuse claims that would have previously been barred.

Individuals were provided a 365-day “grace period” to file a claim, starting August 14, 2019, regardless of when the sexual abuse occurred, or the current age of the victim. However, that period was extended by another year due to the COVID-19 pandemic. The law also extended the statute of limitations for future sex abuse claims in New York until the victim reaches the age of 55.

By the August 2021 deadline, about 10,000 child sexual abuse lawsuits were filed state-wide. Many targeted the Catholic Church, state-run juvenile detention facilities, Boy Scouts of America and other large institutions that took active measures in prior years to suppress claims and prevent individuals from coming forward.

In the Cardinal’s letter, he indicates that the church has listened to recommendations from the victim-survivors, who seek to resolve the litigation through a global settlement. Both sides agreed to hire retired Superior Court of Los Angeles Judge Daniel J. Buckley as a neutral third-party negotiator, Dolan said. Those negotiations are still under way.

Dolan noted that the New York church sex abuse settlement has been complicated due to the archdiocese’s former insurer, Chubb, refusing to cover the organization’s liability. The letter argues that the general liability insurance coverage the archdiocese had with Chubb specifically included sexual misconduct coverage.

“It is my hope and prayer that we can all work together to achieve a global settlement and provide victim-survivors with the most financial compensation possible to help heal these wounds.”

– Cardinal Timothy Dolan, Archbishop of New York

To cover the costs, Dolan stated the archdiocese will lay off staff and cut its operating budget by 10%. It will also sell some real estate assets, including the former headquarters on First Avenue in Manhattan. The letter claims those efforts will lead to more than $300 million, which will be used in the settlement for plaintiffs.

State Child Sexual Abuse Laws

New York was one of the first states to extend the child sex abuse statute of limitations. However, similar legislation has been passed or been introduced in a number of states nationwide, including California, New Jersey and others.

Some states have gone even further, with Maryland’s Child Victims Act eliminating the statute of limitations on such cases completely. The law was challenged up to the state’s Supreme Court, which declared it constitutional.

In the wake of many of these new laws, several Catholic Archdiocese have declared bankruptcy, indicating that the extent of liability they face for child sexual abuse claims exceeds available assets.

Sign up for more legal news that could affect you or your family.