How will Archdiocese bankruptcy impact parishes?

MINNESOTA
KARE

[with video]

Jay Olstad, KARE January 16, 2015

MINNEAPOLIS – For months people have been predicting the Archdiocese of St. Paul and Minneapolis would file for bankruptcy. Friday, that prediction became official.

“I’m not surprised. I think it was inevitable,” said Charles Reid, a University of St. Thomas Law professor.

Reid, who is also an expert in Cannon law, was one those who predicted this day.

“They have huge outstanding obligations, they don’t know the amounts,” he said of the Archdiocese. “They don’t know the dollar amounts, but they know the implications are very large.”

Those obligations come from dozens of lawsuits and pending lawsuits over clergy sex abuse.

Church officials reassured parishes and schools they would not be impacted, saying parishes and the Archdiocese have been separate under a religious corporation statute since the 1800’s.

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