Judge Confirms $230M Payout to Abuse Survivors in New Orleans Catholic Archdiocese Case
Settlement approved after years-long bankruptcy case; additional $75 million from insurer expected.
NEW ORLEANS — After more than five years of litigation, a federal bankruptcy judge has approved the Roman Catholic Archdiocese of New Orleans’ proposal to pay $230 million to roughly 600 survivors of sexual abuse by clergy and church personnel. Judge Meredith Grabill confirmed the settlement on Monday, marking a major step toward resolving the chapter 11 case the archdiocese filed in May 2020.
As reported by The Guardian, Grabill said she had “heard and ached” for survivors, many of whom delivered emotional testimony during the recent three-week fairness trial. “I would like you to know how valuable and powerful your voices are,” she told them.
The settlement — one of the largest in U.S. Catholic bankruptcy cases — includes sweeping reforms in how the church handles abuse allegations. It does not include money from Travelers Insurance, which covered the archdiocese from 1973 to 1989, but the insurer has agreed in principle to contribute an additional $75 million pending separate court approval. If finalized, the total settlement would reach $305 million.
Survivors recounted years of abuse and institutional cover-up. “This legal thing may end, but the trauma done to us will not ever end,” said Neil Duhon, who described being kidnapped and raped by serial abuser Lawrence Hecker, later exposed by reporting from the Guardian and WWL Louisiana. “It’s ridiculous how much it destroyed us. It won’t go away.”
The case unfolded amid sweeping changes to Louisiana law that allowed previously time-barred abuse claims to proceed. Survivors overwhelmingly voted in favor of the settlement in late October.
Some victims criticized the archdiocese’s more than $50 million in legal fees and expressed skepticism about non-monetary reforms, noting past failures in the church’s Safe Environment screening. Archbishop Gregory Aymond acknowledged those failures, saying what happened with notorious abuser George Brignac “was wrong,” but insisted new measures would be “more tight … and more specific.”
Compensation amounts will be determined by a points system assessing severity and impact — an approach some survivors called “degrading.” “Survivors are being reduced to numbers,” Duhon said. “Where’s the humanity in that?”
The case also saw contentious moments, including sanctions against survivors’ attorney Richard Trahant, which some victims said deepened their sense of betrayal.
Approval of the settlement comes as the archdiocese prepares for leadership transition: Archbishop James Checchio, appointed by Pope Leo XIV, will soon succeed Aymond.
Archdiocesan attorney Mark Mintz said funds from the church and its 150 affiliates will be deposited into a settlement trust by December 26, paving the way for payments to begin in early 2026.
Previously, UOJ reported that an abuse case regarding St. Basil Academy is moving toward trial.
