PORTLAND (OR)
Catholic Sentinel
12/09/2005 Ed Langlois
A federal bankruptcy court in Portland Tuesday heard arguments over who owns Catholic parishes in western Oregon.
Bankruptcy Judge Elizabeth Perris is expected to rule in the coming weeks on the question, which is crucial to the Archdiocese of Portland’s bankruptcy case — and could impact the debate over religious freedom in the nation.
If the court decides that the region’s 124 parishes and more than 40 Catholic schools are owned by the archdiocese, the funds available to be meted out in abuse settlements could increase from tens of millions to hundreds of millions.
In an adversary proceeding within the 17-month-old bankruptcy process, parishes and the archdiocese say Oregon and U.S. law require that churches be able to abide by their internal codes. That would mean the archdiocese cannot be forced to break Catholic canon law, which holds that parish and school assets are owned by the parishes and schools.