Carriers argue lifting the pause could unfairly prioritize select cases
A group of insurers is urging a California federal court to keep a stay in place on five lawsuits connected to sexual abuse claims and the bankruptcy of the Roman Catholic Archdiocese of San Francisco.
The archdiocese filed for Chapter 11 bankruptcy in August 2023, citing the need to address more than 500 lawsuits alleging child sexual abuse. According to a statement from the religious organization, the bankruptcy filing automatically paused all legal actions related to the abuse claims while a reorganization plan is developed.
This plan would be based on the archdiocese’s assets and insurance coverage and is intended to resolve the abuse claims.
The insurers, including affiliates of Chubb Ltd., argue in an objection filed with the United States Bankruptcy Court for the Northern District of California, San Francisco Division, that the five cases selected from hundreds of pending…
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