SPOKANE (WA)
The Seattle Times
By The Associated Press
SPOKANE — A federal bankruptcy judge says the nearly $46 million settlement between the Roman Catholic Diocese of Spokane and sex-abuse victims is legally unacceptable.
In a hearing Friday, Judge Patricia Williams said the deal can't be approved because it favors one group of victims over another.
"This settlement violates a rule that requires fair treatment," Williams said, adding that bankruptcy "can't treat people differently."
The diocese filed for Chapter 11 bankruptcy protection in 2004 because of sex-abuse claims and has offered to settle the claims of 75 victims for $45.7 million. More than 100 other claims have been filed since.