The Boy Scouts of America (BSA) has reached a $2.46 billion settlement with more than 82,000 men who say they were sexually abused as children while participating in the organization’s programs. The settlement, which was approved by a bankruptcy judge in February 2023, will fund a trust that will pay out claims to victims.
The payments are expected to continue for several years, as the BSA has over 82,000 victims who have filed claims.
The BSA emerged from Chapter 11 bankruptcy on April 19, 2023.
The funds will be distributed to about 82,500 victims as part of a reorganization plan ordered by a court in August 2021. An insurer representing the organization said it would contribute $800 million to the fund in December 2021.
The first payments to victims were expected to begin in early 2023. The amount of money each victim will receive will vary depending on the severity of the abuse, the impact of the abuse on the victim’s life, and other factors.
The average payment is expected to be around $350,000, but some victims could receive much more or less. The largest payment could be up to $2.7 million, while the smallest payment could be as low as $3,500.
The settlement is a significant victory for victims of sexual abuse, but it is important to note that it is not a complete solution to the problem. The BSA still needs to do more to prevent abuse from happening in the first place. They need to implement stronger policies and procedures to protect children, and they need to provide more support to victims of abuse.
Additionally, new measures will support survivors and prevent abuse in the future, such as background checks for all staff and volunteers, mandatory youth training and a ban on one-on-one interactions with children, including in-person, online, or via texts or calls, the Boy Scouts said.
“This is a significant milestone for the BSA as we emerge from a three-year financial restructuring process with a global resolution approved with overwhelming support of more than 85% of the survivors involved in the case,” CEO Roger Mosby said.
A survivor will also have a seat on the organization’s board and any allegation of abuse must be reported to law enforcement, the Boy Scouts said.
“On April 19, 2023, the Boy Scouts of America bankruptcy plan ‘went effective. The Plan went effective when the Third Circuit denied various objectors’ efforts to stay (or pause) the bankruptcy settlement,” said Britton Whitlock, a legal assistant at Hurley McKenna & Mertz, a Chicago law firm that is representing many of the victims. “This means that our Trustee can finally begin to implement the terms of the settlement, begin analyzing claims, and start the administration of the Trust.”
“Unfortunately, none of this happens overnight but it is certainly a step in the right direction. With 82,000 claims to analyze, the Trustee will need to take time creating the infrastructure and hiring the individuals necessary to review claims,” said Whitlock. “Our firm is directly involved in this process, as Chris Hurley is the Chairman of the Settlement Trust Advisory Committee. We can assure you the Trustee is moving as fast as legally and humanly possible.”
“There will not be distributions until late this year at the earliest,” said Whitlock. “The timing of the distributions will largely hinge on how quickly the Trustee can analyze each claim and how quickly the Appeal is decided.”
The co-founder of the Coalition of Abused Scouts for Justice, a group including more than two dozen law firms representing more than 70,000 of the claimants, said it was the largest sexual abuse settlement fund in history.
Coalition co-founder and attorney Adam Slater also commended the court for “bringing survivors one step closer to justice.”
“After years of protracted bankruptcy proceedings and decades of suffering in silence, tens of thousands of survivors of childhood sexual assault will now receive some tangible measure of justice. With this decision, the Plan will now become effective, and the Trust will be able to begin distribution of the historic $2.45B settlement fund,” Slater said.
The Boy Scouts also have a 24/7 hotline (1-844-SCOUTS1) and email address for reporting suspected abuse or inappropriate behavior.
The Boy Scouts of America, based in Irving, Texas, sought bankruptcy protection in February 2020 in an effort to halt hundreds of individual lawsuits and create a compensation fund for thousands of men who were molested as youngsters by scoutmasters or other leaders.
The BSA’s reorganization plan also created a new governing structure for the organization. The BSA will be led by a new board of directors, and it will be overseen by an independent commission. The commission will be responsible for ensuring that the BSA complies with its new policies and procedures to protect children.
The BSA’s emergence from bankruptcy is a significant milestone for the organization. It allows the BSA to move forward and focus on its mission of providing youth development programs to young people. The BSA is committed to providing a safe and positive environment for all of its members.
Here are some additional details about the BSA’s emergence from bankruptcy:
- The BSA’s reorganization plan was supported by 85% of the victims who filed claims against the organization.
- The BSA’s new governing structure will include representatives from the BSA’s national council, local councils, and victims of sexual abuse.
- The BSA’s new policies and procedures to protect children include background checks for all volunteers, training for volunteers on how to prevent and report abuse, and a confidential reporting hotline for victims.
The BSA’s emergence from bankruptcy allows the organization to move forward and focus on its mission of providing youth development programs to young people in a safe and positive environment.
It is estimated that hundreds of BSA camps closed as a result of the bankruptcy, but as of February 2023, there are over 2,400 Boy Scout summer camps open in the United States.
These camps offer a variety of activities for Scouts of all ages, including camping, hiking, swimming, canoeing, fishing, and more.
The BSA’s summer camps are a popular way for Scouts to spend their summer vacation. In 2022, over 1 million Scouts attended BSA summer camps. The camps offer a chance for Scouts to learn new skills, make new friends, and have fun in a safe and supportive environment.