More than three years of litigation has resulted in a settlement between the Roman Catholic Diocese of Rochester and the Official Creditors Committee assigned by the courts to represent the victims of sexual abuse by the clergy.
The agreement announced Thursday night is the first in New York State where three other diocesan bankruptcy cases are pending, including in Syracuse and Buffalo. The government-appointed trustee in the Rochester case represents about 475 survivors of sexual abuse who brought claims against the diocese.
The settlement will pay out $55 million from the diocese and its parishes. It establishes a trust for the benefit of survivors of sexual abuse and it allows survivors to pursue additional compensation from insurance companies.
The diocese had previously announced a $106 million settlement offer, but the committee found that inadequate. The final agreement allows survivors to pursue more compensation from the insurance companies covering the diocese and its assets.
The diocese gets a discharge of its bankruptcy case and will not face any future liabilities.
The settlement will be subject to a vote by the survivors before it becomes official.