CV NEWS FEED // The Catholic Diocese of Sacramento has announced the date that it will file for its planned bankruptcy to protect itself amid a large volume of sexual abuse lawsuits.
According to local reports, the diocese announced on March 16 that it will file for bankruptcy on April 1. It first declared its intent to file in December 2023, following the example of other California dioceses in San Francisco, Oakland, Stockton, and Santa Rosa.
Like other dioceses, Sacramento received an influx of sex abuse lawsuits following the 2019 California law that extended the statute of limitations for childhood sexual abuse civil claims.
“As I shared in the December announcement, the bankruptcy process is the only respectful, and equitable way to address the substantial number of claims by those who have been abused by clergy and other Church Workers,” Bishop Jaime Soto stated in a March 16 news release on the diocese’s website. “Bankruptcy is a lengthy process, but it provides supervision and transparency for all the parties involved so that an equitable resolution is offered to the victim-survivors of abuse. The court-supervised reorganization will also allow me to sustain the sanctifying, teaching, and charitable work of the Catholic community in Northern California.”
According to the release, the Diocese is creating an Chapter 11 Bankruptcy page on its website that will show all communication from the diocese regarding bankruptcy and court documentation. There will also be an FAQ.
Soto said in the December announcement that filing for bankruptcy would be the only way for the diocese to resolve “as fairly as possible” the more than 250 lawsuits that alleged sexual abuse by church staff.
The December announcement said that the diocese intended to file for bankruptcy by March.
