Estimated Recovery Under BSA’s Proposed Plan
The bankruptcy court instructed the BSA to work with the TCC and others to provide survivor creditors with more information regarding how they might be compensated under the BSA’s proposed bankruptcy plan. This page allows you to calculate how much the Tort Claimants’ Committee (“TCC”) estimates you may actually receive under the BSA’s proposed bankruptcy plan and the current global settlement fund of approximately $1.6 billion. As you may know, the TCC is the court-appointed committee of abuse survivors who are responsible for acting in the best interests of all abuse survivors.
The TCC’s estimates are the average amount it believes survivors who filed a viable claim in the bankruptcy might obtain under the BSA’s proposed bankruptcy plan and the current global settlement fund of approximately $1.6 billion. The average estimates vary on where someone was abused and the type of abuse they endured. The $1.6 billion does not include the proposed $250 million offered by the Mormon Church because some or all of that money may only go to the 2,300+ people who have a claim against the Mormon Church. The $1.6 billion may increase with additional settlements, but we believe it is unlikely to increase to more than twice the current fund. Moreover, a significant portion of the settlement fund will likely be reduced in order to pay holders of “Future Abuse Claims,” which are people who come forward in the future and are eligible for compensation under the BSA’s proposed plan. You can read more about the TCC’s estimates by clicking here (save the document and then start reading on page 35), including other reasons why the TCC’s estimates may go up or down and why a person’s individual award may go up or down.
To be very clear, we will recommend to our clients that they vote “NO” on the BSA’s proposed plan because we believe the BSA, the local councils, the charter organizations, and the insurers can pay many times more than what is currently being offered. We believe the only reason the settlement fund is so low, and will never grow to a meaningful number, is because a number of mass tort lawyers are willing to enter into cheap settlements due to the large legal fees they will earn from representing many thousands of survivors. We will tell our clients that the only way to bring the BSA, its business partners, and their insurers to the table in a meaningful way is to vote “no.”
Please answer the two questions below and press the button to see the TCC’s estimate of the average recovery for this type of claim.