Home / Crime and Justice / New Orleans Archdiocese Bankruptcy: $230M Deal Faces Final Test
New Orleans Archdiocese Bankruptcy: $230M Deal Faces Final Test
18 Nov, 2025
Summary
- Archdiocese seeks judge's approval for $230M clergy abuse survivor settlement.
- 150 parishes, schools, and ministries contribute $60M to the settlement.
- Survivors, with 489 of 491 voting yes, await final judicial approval.
The Archdiocese of New Orleans is in its final confirmation trial for a $230 million settlement aimed at compensating 650 clergy abuse survivors. US bankruptcy judge Meredith Grabill will determine if the five-and-a-half-year-old plan is fair to survivors and creditors amid a protracted legal battle.
As part of the resolution, 150 affiliated parishes, schools, and ministries will contribute $60 million through a 'mini-bankruptcy' process. Initially resistant to this financial involvement, the archdiocese has now acknowledged the necessity of these entities contributing to resolve the claims and protect their assets.
