On July 1, 2021, the Boy Scouts announced a new proposal that would allow the Boy Scouts and their local councils to pay around $850 million to approximately 82,500 abuse survivors. While $850 million may sound like a lot of money, such a settlement would result in abuse survivors receiving an average of around $10,000 from the Boy Scouts and their local councils. Such compensation would be on the low end of how much has been paid in prior sexual abuse bankruptcies, if not the lowest by a wide margin. Moreover, the Boy Scouts recently disclosed that the local councils have more than $1.8 billion in unrestricted net assets that could be available to pay abuse survivors, but the councils are collectively paying just $600 million.
If you filed a claim in the Boy Scout bankruptcy, and if you are represented by an attorney, please ask the attorney if they support this proposal, and if so, why they support it. We and other law firms are going to demand that the Boy Scouts be transparent and tell abuse survivors how much each council is contributing, and if they are not contributing all of their unrestricted net assets, why not. Abuse survivors deserve to know this very basic information before they decide whether to vote “yes” or “no” regarding this latest proposal. If your attorney has questions, please ask them to contact us.