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Vermont Catholic Diocese struggles to pay legal costs after bankruptcy, sexual abuse settlements
The diocese spent nearly 5% of its remaining $35 million on legal fees, with over $1.5 million owed amid ongoing settlements involving more than 100 abuse claims.
- A year after seeking reorganization in U.S. Bankruptcy Court, the Vermont Roman Catholic Diocese is struggling to cover about $1.5 million in legal bills under Chapter 11 rules.
- Settlement payouts and hundreds of pending claims reduced the church's resources, as the Vermont Roman Catholic Diocese paid $34,500,000 to settle 67 lawsuits and still faces 118 claims.
- Invoices list large fees paid to Fredrikson & Byron $491,999, Pachulski Stang Ziehl & Jones $564,670, and other firms; billing details reveal steep hourly rates, with Fredrikson charging up to $975 per hour.
- Because legal bills consumed almost 5% of remaining funds, the diocese has reduced staff hours to 30 at South Burlington headquarters while relying on a $35 million annual bishop's appeal and a tax on 63 parishes.
- As part of a broader national wave of diocesan bankruptcies, Vermont's case mirrors costly, precedent-setting settlements among 40 other U.S. Catholic entities, with mediation planned by Dec. 31.
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Vermont Catholic Diocese struggles to pay legal costs after bankruptcy, sexual abuse settlements
A year after seeking to reorganize its depleting finances in U.S. Bankruptcy Court, the Vermont Roman Catholic Diocese is struggling to cover about $1.5 million and counting in related legal bills.
·United States
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Vermont Catholic Diocese Struggles to Pay Legal Costs After Bankruptcy, Sexual Abuse Settlements
A year after seeking to reorganize its depleting finances in U.S. Bankruptcy Court, the Vermont Roman Catholic Diocese is struggling to cover about $1.5 million and counting in related legal bills.
·New York, United States
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Leaning Left2Leaning Right0Center2Last UpdatedBias Distribution50% Left, 50% Center
Bias Distribution
- 50% of the sources lean Left, 50% of the sources are Center
50% Center
L 50%
C 50%
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