BishopAccountability.org
 
  Bankruptcy Judge Blasts Attorneys for Del. Diocese

By Randall Chase
The Capital
March 27, 2010

http://www.hometownannapolis.com/news/reg/2010/03/27-13/Bankruptcy-judge-blasts-attorneys-for-Del-diocese.html

WILMINGTON, Del. (AP) — An irate Delaware judge on Friday blasted attorneys in the Catholic Diocese of Wilmington's bankruptcy for agreeing to a mediation process involving the diocese and alleged victims of priest sex abuse behind his back.

U.S. Bankruptcy Judge Christopher Sontchi ordered a telephone status conference with attorneys Friday afternoon after reading in a local newspaper that lawyers for the diocese and its unsecured creditors committee had agreed that a Philadelphia mediator would oversee talks aimed at resolving claims by alleged abuse victims.

"You may not remember me, but I am the judge in the case," Sontchi icily told lawyers representing the diocese and the alleged abuse victims.

"I would appreciate an update as to exactly what is going on in this case, in particular imposing on the court without its participation, or even its approval, a mediation process," added Sontchi, saying he was "blindsided" by the development.

Attorneys filed a stipulation seeking court approval of the mediation agreement on Friday, after details appeared in the newspaper.

James Stang, an attorney for the creditors committee, told the judge the agreement had been finalized only Friday morning.

"I don't want you to think that we rushed this order to you because of the status conference," he told the judge.

Diocese attorney Tony Flynn told Sontchi that discussions on trying to reach an agreement on mediation began about a month ago.

"I apologize if it appears to the court that we have not been keeping you informed about what's happening in the case," he said.

But Stang exacerbated the judge's frustration by telling him the initial meeting with mediator Thomas Rutter would be held next week.

"You've scheduled a meeting with a mediator that the court hasn't appointed?" Sontchi asked incredulously.

"I understand," Stang said in attempt to soothe Sontchi's nerves.

"I don't think you do, Mr. Stang," the judge retorted.

The diocese, which serves Delaware and the Eastern Shore of Maryland, filed for bankruptcy in October after settlement talks with about a dozen alleged abuse victims failed.

Last month, attorneys for the creditors committee, composed of alleged abuse victims, sought court approval to hire Rutter as a mediator in the case. Rutter charges $700 for the first hour of a two-party mediation proceeding and $500 for each subsequent hour, as well as $500 an hour for study and deliberation of the issues involved, according to court documents.

The diocese opposed the appointment of Rutter, who has served as a mediator in past sexual abuse cases in which it has been involved. It instead suggested that Judge Kevin Gross, one of Sontchi's colleagues on the bankruptcy court in Delaware, act as mediator.

After subsequent talks, the two sides recently agreed that Rutter would serve as mediator, but that he would be allowed to consult with Gross.

Sontchi told attorneys Friday that the public suggestion that Gross, a fellow judge, should serve as a mediator was "completely and utterly inappropriate and unacceptable."

Sontchi was further upset to learn that attorneys for the diocese had contacted Gross' chambers without his knowledge.

Sontchi concluded by noting that while encouraging mediation to resolve court disputes is good public policy, he was troubled "and frankly annoyed," with how attorneys for the diocese and committee have acted.

 
 

Any original material on these pages is copyright © BishopAccountability.org 2004. Reproduce freely with attribution.