Oakland Diocese Latest to File Bankruptcy to Settle Abuse Suits

The Catholic diocese in Oakland filed bankruptcy to try and settle hundreds of lawsuits made possible by a California law that let survivors of childhood sexual abuse, for the first time, seek compensation in court for harm that occurred decades ago.

The Roman Catholic Bishop of Oakland listed more than $100 million in assets and liabilities in a Chapter 11 petition filed Monday in bankruptcy court. It joins numerous Catholic dioceses and religious organizations across the nation that have filed Chapter 11 in recent years to resolve sex abuse liabilities.

Religious organizations have been grappling with a wave of lawsuits filed because of a state law that permitted survivors to file new complaints over abuse that occurred decades ago which would have otherwise been blocked by statutes of limitations. The Roman Catholic Bishop of Santa Rosa in Northern California filed bankruptcy in March and San Diego and Sacramento dioceses have said they’re considering Chapter 11 because of hundreds of abuse lawsuits. Other states have also passed similar so-called lookback laws.

Although the period for bringing these complaints expired at the end of 2022, Bishop Michael Barber said in a letter to Oakland parishioners that the diocese is still receiving notification of abuse claims. The Oakland diocese is facing more than 330 sex abuse claims, most of which allege abuse that occurred between 1960 and 1989.

“We made the filing because we believe this process is the best way to support a compassionate and equitable outcome for survivors of abuse, while ensuring we continue to provide the essential services and support so crucial to our parishioners and communities,” Barber said. “Our mission will continue as it always has.”

The bankruptcy is The Roman Catholic Bishop of Oakland, 23-40523, California Northern Bankruptcy Court (Oakland).

--With assistance from James Nani.

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Jonathan Randles in New York at jrandles5@bloomberg.net

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Jeremy Hill

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