A federal bankruptcy judge has approved a $230 million settlement to compensate survivors of sexual abuse by clergy and other personnel affiliated with the Roman Catholic Archdiocese of New Orleans. The settlement, which affects approximately 600 survivors, follows more than five years of litigation and is among the largest clergy sex abuse resolutions in U.S. history.

The decision brings a major chapter of the Archdiocese’s bankruptcy case closer to resolution, while also highlighting how recent changes in Louisiana law have reshaped accountability for decades-old clergy sexual abuse.

How the New Orleans Bankruptcy Case Began and What the Settlement Includes

The Archdiocese of New Orleans filed for Chapter 11 bankruptcy protection in May 2020 as hundreds of survivors came forward alleging abuse by priests, deacons, and other church representatives. At the time, Louisiana law largely prevented survivors from pursuing civil lawsuits for childhood sexual abuse that occurred many years earlier.

That changed in 2021, when Louisiana enacted a childhood sexual abuse lookback law, temporarily lifting the statute of limitations and allowing survivors to file civil claims regardless of how long ago the abuse occurred. The Louisiana Supreme Court upheld the law’s constitutionality in 2024, and lawmakers later extended the filing deadline by three additional years.

Survivors now have until June 14, 2027, to file Louisiana childhood sex abuse lawsuits.

The bankruptcy settlement approved by the court provides:

  • $230 million in compensation funded by the Archdiocese and affiliated entities
  • A claims process that assigns compensation based on the severity and impact of abuse
  • Non-monetary provisions aimed at improving disclosure, reporting, and child protection

An additional $75 million contribution from Travelers Insurance has been agreed to in principle, which would bring the total settlement to $305 million, pending separate court approval. Survivor payments are expected to begin in early 2026.

Why Louisiana’s Sex Abuse Lookback Law Changed Everything

The New Orleans bankruptcy illustrates the powerful impact of Louisiana’s lookback law. Before it passed, many survivors were permanently barred from seeking justice due to the statute of limitations. Once the law took effect, hundreds of survivors were finally able to come forward.

Since the law was enacted, the attorneys at Herman, Katz, Gisleson & Cain (HKGC), working alongside other lawyers and advocates, have represented survivors and fought to uphold the law against constitutional challenges. The law’s extension through 2027 ensures that additional survivors still have time to pursue accountability.

A historic verdict in the first clergy sex abuse case to go to trial under the Louisiana lookback law is an example of how justice is possible. The jury found the Congregation of Holy Cross liable for abuse that occurred at a church run summer camp in the 1960s and awarded $2.375 million to the survivor.

That verdict demonstrated that civil sex abuse lawsuits made possible by the lookback law can hold institutions accountable for abuse and cover-ups that caused lifelong harm.

What Survivors and Families Should Know Now

For survivors in Louisiana and across the country, the New Orleans Archdiocese settlement underscores several key points:

  • Institutions can still be held accountable decades after abuse
  • Bankruptcy does not erase the responsibility to survivors
  • Legislative reforms can reopen paths to justice once thought closed

Childhood sexual abuse often goes undisclosed for years or even decades. The extension of Louisiana’s lookback window recognizes that reality and gives survivors more time to come forward when they are ready.

Anyone who experienced sexual abuse by clergy or other authority figures in Louisiana should know that there is still time to file a claim, but these cases take time to investigate and prepare.

Herman, Katz, Gisleson & Cain has spent decades representing survivors of sexual abuse and understands the courage it takes to come forward. Our firm provides a confidential, compassionate space to discuss legal options and help survivors decide what path is right for them and their families.

If you or a loved one was sexually abused by clergy or another trusted authority figure, you can contact HKGC online, call 1-844-943-7626, or use our live chat for more information or a free and confidential case consultation.

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