Settlement Is Largest Ever Payment by a Diocese in Bankruptcy, Along With Sweeping and Enforceable Transparency Measures and Child Protection Reforms
SAN FRANCISCO, June 29, 2026 /PRNewswire/ — The official committee representing survivors of childhood sexual abuse (the “Committee”) in the bankruptcy case of the Roman Catholic Archbishop of San Francisco, Case No. 23-30564 (Bankr. N.D. Cal.)., announces a historic and record-breaking settlement with the Archdiocese that will establish a $395 million trust to compensate approximately 530 survivors of clergy sexual abuse. The settlement also provides the survivor trust with the ability to pursue insurers on behalf of survivors and for survivors to retain the right to pursue litigation to enforce insurer liability. Pachulski Stang Ziehl & Jones LLP, representing the Committee, has successfully resolved more childhood sexual abuse bankruptcy cases than any other law firm.
The $395 million settlement is the largest bankruptcy settlement from a diocese in American history and does not include any insurance proceeds. It ends years of litigation on behalf of hundreds of survivors abused by individuals, including clergy, affiliated with the Archdiocese of San Francisco.
Distributions will be made in accordance with a survivors allocation protocol developed by the Committee to ensure fair and equitable treatment across all claimants.
“No amount of money can erase the pain and shame associated with carrying the burden of my child abuse in silence for over 50 years. While it is unfortunate that it took hundreds of lawsuits, years of litigation, and a bankruptcy to effectuate this settlement, the agreement reflects a positive path forward for the hundreds of survivors whose collective voices were finally heard by the Archdiocese,” said Steve Moreno, co-chair of the Committee. “I am proud of the hard and difficult work of the Committee in negotiating this settlement, and I want to thank all of the survivors who came forward and shared their story. We would not be at this point without your courage to come forward. I also want to acknowledge the many who are not alive to finally see justice.”
Beyond the monetary settlement, the Committee negotiated an extensive package of non-monetary reforms that will be incorporated into the bankruptcy plan and will be enforceable by the Bankruptcy Court. Any party who believes the Archdiocese is not complying will have the legal standing to seek enforcement.
“Survivors didn’t just want a settlement. We wanted change, real, lasting, enforceable change,” said Margie O’Driscoll, co-chair of the Committee. “What we achieved here is not a list of good intentions. These obligations will be supervised by a federal judge. We demanded that the Archdiocese be held to the same standards of accountability that every other institution in California is expected to meet. That is what this agreement delivers.”
“Every dollar and provision in this settlement was hard-fought,” said Brittany Michael, counsel for the Committee. “None of it was given. All of it was won. We are deeply proud to have represented the survivors in this case, and we are honored to be able to deliver this historic settlement.”
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SOURCE PACHULSKI STANG ZIEHL & JONES LLP
