Archdiocese of New York Finalizes $800 Million Abuse Settlement, Bringing Church Payouts Past $5 Billion

The Roman Catholic Archdiocese of New York has finalized a settlement of more than $800 million for survivors of childhood sexual abuse by priests and clergy in the archdiocese, according to reports published October 29. More than 1,300 survivors are covered by the agreement.

Under the terms described in the reports, survivors have the option of accepting a payment of about $250,000, or going through a longer process in which they share greater detail about what happened to them in hopes of receiving a larger share. Archbishop Ronald Hicks said in a letter that if all parties accept the global settlement, each survivor would receive around $215,000.

The New York agreement follows a similar settlement reached two and a half years ago by the Archdiocese of Los Angeles, which paid $880 million to survivors. Across the United States, the Catholic Church has now paid out more than $5 billion in abuse settlements, and at least 19 dioceses have been driven into bankruptcy, according to the reports.

Attorney Paul Mones, who represents several of the New York survivors, said the settlement offers a measure of closure for people now in their 60s, 70s, and even 80s. "It gives closure to people, many of whom are in their 60s, 70s and even into their 80s," he said. "That is a significant matter in terms of closing the emotional door — or trying to — because it's never going to be closed, but [it] at least gives some measure of justice to people who were terribly wronged."

The archdiocese has been preparing for the payout for some time. It has sold off most of its real estate holdings, including its New York headquarters for $100 million, and made deep cuts to staff and operating expenses. Archbishop Hicks noted that his predecessor, Cardinal Timothy Dolan, established the Independent Reconciliation and Compensation Program in 2016, which had already paid millions to survivors.

The archdiocese is also suing its insurer, Chubb, arguing that it paid more than $2 billion in premiums and that the company is now trying to avoid its obligation to settle covered claims. Chubb maintains it is not obligated to settle several of the claims, some of which go back more than 80 years, because the church knew about the abuse and did nothing to stop it.

The settlement framework was negotiated over several months between the archdiocese and the Plaintiffs' Liaison Committee, which represents a majority of survivors, with Judge Daniel J. Buckley serving as mediator. Archbishop Hicks wrote that compensation cannot begin until full participation is achieved, and he expressed hope that a truly global settlement would deliver payment "in the fastest, most comprehensive manner possible, without the need for lengthy painful litigation."

"It cannot be denied that this has been a painful process — most significantly so for the victim-survivors and their families and loved ones who have suffered, in most cases, for decades," Archbishop Hicks wrote. "I pray that all of us, as the Family of God, will come together to support and affirm these individuals and take these next steps to bring about some healing and peace."