MINNESOTA
Minnesota Public Radio
Madeleine Baran
Aug 5, 2015
Now that Monday’s deadline for filing claims has passed, the bankruptcy case of the Twin Cities archdiocese moves to its next stage.
By the deadline, more than 600 claims had been filed, including 407 by alleged victims of clergy sex abuse.
What happens to these claims now?
First, they’ll be evaluated in the mediation that is already taking place with the archdiocese, its insurers and two creditors’ committees — one for parishes and one made up of abuse survivors.
They’ll be looking at each claim and deciding whether they think it’s valid. Arguments could arise over certain claims, as has happened in other bankruptcies.
This includes all claims — not just the abuse ones. There are 407 claims related to sexual abuse, but there are 262 from other people, parishes, schools, nonprofits and other groups. All of these need to be reviewed.
Once the claims are reviewed, parties to the mediation will need to reach a deal on a plan to pay creditors. If they are able to agree on a plan, a judge would likely need to approve it.
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