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“At the appropriate time, the parishes and Archdiocesan ministerial agencies will be asked to contribute in order to seek a channeling injunction. While this means a financial contribution will be required of the group legally referred to in the Chapter 11 as Apostolates, it is, in fact, a legal means to protect and preserve the assets of the parishes, their elementary schools, and the agencies into the future, by “channeling” claims of abuse that occurred prior to May 1, 2020, into a trust. This means that each abuse survivor would be compensated through the trust rather than through costly and lengthy litigation brought against the Apostolate that could hinder ministry and reduce available recoveries. We want to assure parents that by contributing to the channeling injunction, the parishes are seeking the best legal avenue to protect students’ educational opportunities and minimize impact on operations. Prior to the archdiocese filing for bankruptcy, lawsuits claiming sexual abuse were brought not only against the archdiocese, but against the site where the accused cleric was assigned or the accused layperson volunteered or was employed. In the past, the Archdiocese of New Orleans stepped in and with its insurance providers limited any financial impact of the claim on the Apostolate. Once the Archdiocese emerges from bankruptcy, this will no longer be the case. After the Archdiocese filed for Chapter 11, the Louisiana legislature changed the law on the statute of limitations for abuse claims. With this change in the law, parishes, their schools and other agencies are now subject to lawsuits for decades-old claims previously barred by operation of law. With this change in the law, it has become clear that a channeling injunction is necessary to preserve the ongoing financial vitality of the individual parishes and agencies and their ability to provide a quality education for our children and continue to serve the faithful.”

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