A bankruptcy filing by the Catholic Diocese of Wilmington, Delaware, may give plaintiffs in a sex abuse trial fair compensation, according to Bishop W. Francis Malooly.
The Chapter 11 filing came late Sunday, after settlement negotiations broke down and just hours before a civil trial was set to begin, according to The Associated Press.
More than 140 individuals have filed suit against the dioceses, its parishes and priests.
The diocese has spent $6.2 million to settle sex abuse cases since 2002, according to the AP. In the bankruptcy petition, the Diocese of Wilmington listed liabilities of $100 million to $500 million related to the lawsuits.
Delaware passed a "look-back" law in 2007, allowing victims previously excluded by the statute of limitations to file suits.
The Wilmington Diocese is the seventh Catholic Diocese to file bankruptcy in recent years, following dioceses in Davenport, Iowa; Portland, Ore.; Fairbanks, Alaska; San Diego, Calif.; Spokane, Wash.; and Tucson, Ariz.
Tags: catholic bankruptcy, Chapter 11 bankruptcy, delaware, wilmington
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