Archdiocese of San Francisco Files for Chapter 11 Bankruptcy Amid Child Sexual Abuse Claims
The Archdiocese of San Francisco has made the decision to file for Chapter 11 bankruptcy due to the increasing number of child sexual abuse claims against priests. The Catholic archbishop of San Francisco, Rev. Salvatore J. Cordileone, announced the bankruptcy filing in a letter posted on the archdiocese's website. This decision comes after careful consideration and consultation with financial and legal advisors. The bankruptcy reorganization is a result of over 500 civil lawsuits filed against the Archdiocese under state law AB-218, which extended the statute of limitations for childhood sexual abuse claims.
In a video posted on YouTube, Cordileone explained that the Chapter 11 bankruptcy filing would only apply to the legal entity known as "The Roman Catholic Archbishop of San Francisco, a Corporation Sole." The diocese's parishes, schools, and other entities are not included in the filing and should continue to operate as usual. The passing of AB-218 in 2019 paved the way for individuals to bring claims for childhood sexual abuse that would have otherwise been barred by the statute of limitations.
Previously, the archdiocese had settled claims under a 2002 state law by selling excess property and utilizing insurance funds to pay approximately $68 million to around 100 plaintiffs. Cordileone emphasized his commitment to supporting survivors of sexual abuse and urged the community to pray for the healing of all those affected. The Archdiocese of San Francisco is now among several dioceses in the Bay Area, as well as across the United States and California, that have sought protection under bankruptcy laws, following the examples of the dioceses of Oakland and Santa Rosa.
Jeff Anderson, a lawyer representing alleged victims of childhood sexual abuse within the church, criticized Cordileone's decision to file for Chapter 11 bankruptcy, stating that it prioritizes secrecy and self-protection. Despite the challenges ahead, the Archdiocese of San Francisco remains dedicated to addressing the needs of survivors and ensuring the continued operation of its parishes, schools, and other entities.