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San Francisco Archdiocese files for Chapter 11 bankruptcy, archbishop announces

San Francisco Archbishop Salvatore J. Cordileone, seen here in a 2021 file photo, announced Aug. 21, 2023, the archdiocese was filing for Chapter 11 bankruptcy in order to resolve approximately 500 clergy sex abuse cases resulting from California's temporary lifting of the statutes of limitations for such cases from 2019-2022. (OSV News photo/Bob Roller)

SAN FRANCISCO (OSV News) — Archbishop Salvatore J. Cordileone of San Francisco announced Aug. 21 the archdiocese has filed for Chapter 11 bankruptcy reorganization “to facilitate settlements” with survivors of clergy abuse. The decision came after much reflection and prayer, and consultation with the archdiocese’s financial and legal advisers, he said in a letter to the faithful.

In an earlier Aug. 4 statement, the archbishop had warned a bankruptcy filing was imminent, and in his new Aug. 20 letter he said the move was necessary due to “the impact of more than 500 civil lawsuits that have been filed against the Archdiocese under state law AB-218, which allowed individuals to bring claims for childhood sexual abuse that otherwise would have been barred due to the expiration of the statute of limitations.”

Some of the claims stretch back decades, he noted, adding the bankruptcy was “the best way to provide a compassionate and equitable solution for survivors of abuse.”

Watch your local Catholic news source for the full OSV News story.

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