CALIFORNIA
The Tidings
When a federal bankruptcy judge ruled recently that assets such as churches and parochial schools belong to a diocese and not its parishes, and for that reason could be sold off, the decision was viewed as a major victory for those suing over allegations of sexual abuse. Now, according to the media, all assets in a diocese, even down to the parish level, must be available to compensate victims of clergy misconduct.
That message undoubtedly caused concern for parishioners in the Archdiocese of Los Angeles, given the more than 500 lawsuits the Archdiocese faces and which are now the subject of mediation and settlement proceedings.
The fact is, however, that parishioners in the Archdiocese need have no fear that their parish churches, schools and athletic facilities will be taken from them and sold to compensate victims.
In the first place, according to Cardinal Roger Mahony, the Archdiocese of Los Angeles will not declare bankruptcy. The Archdiocese is adequately insured to deal with all of the cases against it.
In the second place, it is likely that the judge's decision which touched off the furor will be overturned on appeal, according to the attorneys for the Los Angeles Archdiocese.