Chapter 11 announced - Part 14 - Plan Effective

[Eagle1993 2161]

Seems like some bankruptcy professors and reporters were surprised.  In addition "Unlike prior such orders, Alito *didn’t* set a deadline."

[MYCVAStory 687]

2 hours ago, RememberSchiff said:

If "all operations of Scout Settlement Trust are suspended" will Trust staff take an unpaid leave?

There really isn't a "staff" outside of the trustee and her two colleagues overseeing regular claims and the IRO.  All others are contracted professionals.  So, while I suspect the three won't get paid in the interim there's absolutely no reason for the contracted professionals to be getting paid unless they're representing the Trust legally.  Shame on the Trustee for not calling a Town Hall to explain all of this.  I have to believe that any court would see that action as reasonable.  My thoughts are now with the pre-se claimants who don't have an attorney to help with unpacking all of this. 

[RememberSchiff 3682]

1 hour ago, Eagle1993 said:

Seems like some bankruptcy professors and reporters were surprised.  In addition "Unlike prior such orders, Alito *didn’t* set a deadline."

Scrambled eggs on their faces? I wonder the reaction of the DOJ/US Trustee Office, in particular trial attorney David Buchbinder, who I believe is now retired.

[MYCVAStory 687]

21 minutes ago, RememberSchiff said:

Scrambled eggs on their faces? I wonder the reaction of the DOJ/US Trustee Office, in particular trial attorney David Buchbinder, who I believe is now retired.

DOJ/UST is probably happy.  It was objecting to the plan until that vanished.  Buchbinder.....I remember well the hearing when he fell asleep with his head back and pen in his mouth, while we all looked on in horror fearing he was about to swallow it.

 

[RememberSchiff 3682]

02/17/2024:

Short summary to date with embedded reference links:

https://www.jurist.org/news/2024/02/us-supreme-court-pauses-bankruptcy-settlement-in-boy-scouts-of-america-sexual-abuse-cases/

Monday Feb 19, 2024 will mark the 4th Anniversary of BSA Bankruptcy.

[Eagle94-A1 2687]

Crazy Questions, so here it goes. if SCOTUS rules against Perdue, and hence against BSA current plan, and all councils and COs are responsible, A. does that mean those organizations that contributed to the fund get their money back and B. for those post 1976 claims, will BSA honor their obligations with COs, or will COs have to sue for BSA to honor their obligations to the COs?

[Eagle1993 2161]

1 minute ago, Eagle94-A1 said:

Crazy Questions, so here it goes. if SCOTUS rules against Perdue, and hence against BSA current plan, and all councils and COs are responsible, A. does that mean those organizations that contributed to the fund get their money back and B. for those post 1976 claims, will BSA honor their obligations with COs, or will COs have to sue for BSA to honor their obligations to the COs?

If the worst case happens and the supreme Court rules non debtor/non consensual releases cannot be included in the plan AND BSA plan is not too far along, then my guess is BSA gives up including COs and Councils and could provide a much lower fund.  The insurance would be a bit of a mess, but their contribution would be much less.  If the plan continues to be rejected, you may see National liquidate.

The individual lawsuits and bankruptcy of COs and Councils would follow over the next decade.  Donors would flee as their funds could just be waiting for bankruptcy filings.  

I do expect any contributions made to the trust would be refunded and perhaps clawbacks of payments made to individuals.

In short... financial disaster for the BSA.  Some claimants may see more money but I expect the vast majority would see less and it would drag out.  Hopefully it doesn't come to this.

 

 

[Eagle1970 210]

9 minutes ago, Eagle1993 said:

In short... financial disaster for the BSA.  Some claimants may see more money but I expect the vast majority would see less and it would drag out.  Hopefully it doesn't come to this.

 

 

My file was shared with the local council, the "Catholic Insurance" organization, and who knows exactly where else.  So, if the bankruptcy goes south, I have shared my most private details with multiple organizations (which also potentially places me at risk for retaliation) and the SoL still applies.  I am so P##### off about this turn of events.  Not that I was ever going to see much money (due to matrix sol), but I WAS going to have a feeling of some justice being served.  Since the early promises, this has done nothing but further damage my life.  I had built a big wall around my abuse and I allowed it to be shattered for the sake of the justice I was absolutely assured would occur.  I wish I had never put myself through this.  Not much of a surprise that in the end, the only ones having a good day are the attorneys on salary and, of course, the insurance companies.  

[InquisitiveScouter 1656]

29 minutes ago, Eagle1970 said:

My file was shared with the local council, the "Catholic Insurance" organization, and who knows exactly where else.  So, if the bankruptcy goes south, I have shared my most private details with multiple organizations (which also potentially places me at risk for retaliation) and the SoL still applies.  I am so P##### off about this turn of events.  Not that I was ever going to see much money (due to matrix sol), but I WAS going to have a feeling of some justice being served.  Since the early promises, this has done nothing but further damage my life.  I had built a big wall around my abuse and I allowed it to be shattered for the sake of the justice I was absolutely assured would occur.  I wish I had never put myself through this.  Not much of a surprise that in the end, the only ones having a good day are the attorneys on salary and, of course, the insurance companies.  

I sympathize with your plight.

And despite all the promises and pronouncements made, I have always harbored a suspicion that this was never about justice for victims like you.

It was only a legal/business play made by BSA National to reduce exposure and protect assets.  The real outcome (currently) is that it has added insult to injury.

I am still hoping for some sort of positive outcome for all of you.  Specifically, if the current Chapter 11 falls through, I hope the window opens for many of you to bring perpetrators and/or responsible parties to court for judgements or settlements. 

God be with you, and grant you some peace...

 

Edited February 18 by InquisitiveScouter

[Ojoman 157]

4 hours ago, Eagle1993 said:

In short... financial disaster for the BSA.  Some claimants may see more money but I expect the vast majority would see less and it would drag out.  Hopefully it doesn't come to this.

I'm no legal eagle but I suspect that the BSA National would retain the funds collected by councils to pay those that accepted the present deal. Local councils would have to fight their own battles in court or settle which would probably mean selling off more camps and other properties and drawing down endowment funds. Donors would, as you said, flee as they would not want charitable dollars to go to lawyers and claimants. The additional bad press, loss of future funding and loss of assets would probably result in at best, more council mergers, fewer council staff to provide support services and a further drop in units and membership. Ultimately it could mean the demise of the BSA. 

[Ojoman 157]

4 hours ago, Eagle1970 said:

the only ones having a good day are the attorneys on salary and, of course, the insurance companies.  

Not too sure about the insurance companies... if the chartered partners are put at risk they were covered by the blanket liability from the mid 70's. That would mean more exposure to the insurance companies and for those incidents prior to that the CO's would probably have to depend on whatever coverages they had then and also drain down their own resources... a sorry mess all around. 

[Ojoman 157]

4 hours ago, InquisitiveScouter said:

And despite all the promises and pronouncements made, I have always harbored a suspicion that this was never about justice for victims like you.

Actually, ever since the courts forced the BSA to open their files there have been lawyers and firms that specialized in suing the BSA. They got the statute of limitations thrown out and the flood gates opened. The ineligible volunteer files that helped the BSA for decades keep predators out (prior to the electronic age and national background checks) became a weapon to be used against the BSA. This was and is about a huge 1 Billion $+ payday for lawyers and law firms. 

[Eagle94-A1 2687]

21 minutes ago, Ojoman said:

Not too sure about the insurance companies... if the chartered partners are put at risk they were covered by the blanket liability from the mid 70's.

This is what I wonder about. Will BSA, and the insurance companies, actually honor those policies, or see it as "3rd party releases" and not valid.

 

 

[MYCVAStory 687]

1 hour ago, Eagle94-A1 said:

This is what I wonder about. Will BSA, and the insurance companies, actually honor those policies, or see it as "3rd party releases" and not valid.

The third-party releases don't specifically relate to the insurers as I think you mean.  Their liability still exists and Survivors would be able to sue the BSA/Insurers as before the bankruptcy.   BUT, insurers are skilled at delaying things a VERY long time and there ARE limits to their insurance.  There are a great number of "what ifs" at play here but a real possibility if the plan does not move forward are two things: 1.) local councils in States where the SOLs are favorable to Survivors will head toward bankruptcy to receive direct benefit of bankruptcy and 2, failing that there will be a run on courthouses by Survivors to ramp up their pending suits so that they can get a piece of an insurer's coverage before it's exhausted.

I'm also struck by something that the TCC said long ago.  It's important that all Survivors understand their retainer agreement with their attorney.  A lot of the "mass tort" retainers explicitly state that the representation is in the FEDERAL bankruptcy ONLY.  This means that you don't automatically have a pending suit against a Council or CO.  As well, I don't know if section 108(c) of the bankruptcy code will apply if your SOL ended during the bankruptcy so you have 30 days afterward to file your lawsuit(s).    Regardless, there's a VERY real possibility that some number of Survivors may find their calls unanswered because their retainer doesn't provide additional help or their "bad" State makes it worth nothing to an attorney.

I'm a big believer in worrying about the things I have some control over.  Its kept me somewhat sane for 47 years.  So, while there are a LOT of "what ifs" present, including the possibility that SCOTUS will end this temporary stay or Purdue WILL be favorable to the BSA, Survivors deserve an answer from their attorneys NOW to the question "What will YOU do for me if the BSA bankruptcy is thrown out?"

 

[clbkbx 74]

13 hours ago, Ojoman said:

This was and is about a huge 1 Billion $+ payday for lawyers and law firms. 

That’s not really fair, especially after a post from a survivor saying he thought it would bring a measure of peace. It’s a big mess and about protecting assets and making money for lawyers, etc. but it’s not only the bad parts.