BUFFALO, N.Y. (WKBW) — The Diocese of Buffalo claimed it will offer $100 million to settle child sex abuse lawsuits and is considering the sale of the Catholic Center, the former Christ the King Seminary campus and other real estate, according to documents filed in its federal bankruptcy case Monday.
However, lawyers representing child sexual abuse survivors say the preliminary injunction filed by the diocese is an attempt to prevent survivors from pursuing their cases against non-bankrupt entities and effectively silence survivors.
Declaring bankruptcy put a hold on all litigation against the diocese in state court. But that did not apply to its parishes and related nonprofits.
The unsecured creditors committee, made up of six abuse survivors, agreed to place a hold on litigation against non-debtor entities while participating in good faith negotiations.
The agreement expired on September 30 and the committee opted not to renew the agreement in an attempt to get their day in court. Its expiration means Child Victims Act cases against related entities could resume in court.
"The diocese wants its affiliated entities to have the protection of bankruptcy without the legal responsibilities of bankruptcy,” said attorney Steve Boyd. “It’s time to let juries decide these cases.”
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In a statement on its website, a diocese spokesperson wrote, "it is absolutely necessary that we do everything in our power to set things right, to move beyond this dark chapter in our history, and move forward as together we work to rebuild and renew our church."
The survivors, "have grown to believe that they have nearly limitless leverage to make demands against the Catholic family in this case," the diocese argued in court papers.
The diocese requested the stay be extended to April 2024. A hearing will take place on November 28 in bankruptcy court.
