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Boston Archdiocese preparing for bankruptcy


The Catholic Archdiocese of Boston is considering whether to filing for bankruptcy rather than face a costly legal battle over sexually abusive priests.

The Boston Sunday Globe says senior advisers to Cardinal Bernard Law favour filing for bankruptcy.

Spokeswoman Donna Morrissey says every option is being considered and that the archdiocese wants to settle lawsuits "in a fair and expeditious manner."

If the archdiocese does file for Chapter 11 bankruptcy, action in all civil lawsuits would be suspended and it would be protected from new suits.

The newspaper says filing for bankruptcy would mean admitting liability. But Cardinal Law would no longer have to answer questions in pretrial depositions and the archdiocese would not have to release any more priest's personnel files to plaintiffs' lawyers.


SOURCE
AP

LINKS
Parishioners use power of the purse to protest scandal (Boston Globe)
Sued church 'ponders bankruptcy' (The Australian)
Bankruptcy Said Likely for Boston's Archdiocese (New York Times)
Archdiocese of Boston


3 Dec 2002