Record Breaking $395 Million Settlement in Archdiocese of San Francisco Bankruptcy
June 29, 2026Settlement Is Largest Ever Payment by a Diocese in Bankruptcy, Along With Sweeping and Enforceable Transparency Measures and Child Protection Reforms
June 29, 2026, San Francisco, CA — The official committee representing survivors of childhood sexual abuse (the “Committee”) in the bankruptcy case of the Roman Catholic Archbishop of San Francisco, Case No. 23-30564 (Bankr. N.D. Cal.), announces a historic and record-breaking settlement with the Archdiocese that will establish a $395 million trust to compensate approximately 530 survivors of clergy sexual abuse. The settlement also provides the survivor trust with the ability to pursue insurers on behalf of survivors and for survivors to retain the right to pursue litigation to enforce insurer liability. Pachulski Stang Ziehl & Jones LLP, representing the Committee, has successfully resolved more childhood sexual abuse bankruptcy cases than any other law firm.
The $395 million settlement is the largest bankruptcy settlement from a diocese in American history and does not include any insurance proceeds. It ends years of litigation on behalf of hundreds of survivors abused by individuals, including clergy, affiliated with the Archdiocese of San Francisco.
Distributions will be made in accordance with a survivors allocation protocol developed by the Committee to ensure fair and equitable treatment across all claimants.
“No amount of money can erase the pain and shame associated with carrying the burden of my child abuse in silence for over 50 years. While it is unfortunate that it took hundreds of lawsuits, years of litigation, and a bankruptcy to effectuate this settlement, the agreement reflects a positive path forward for the hundreds of survivors whose collective voices were finally heard by the Archdiocese,” said Steve Moreno, co-chair of the Committee. “I am proud of the hard and difficult work of the Committee in negotiating this settlement, and I want to thank all of the survivors who came forward and shared their story. We would not be at this point without your courage to come forward. I also want to acknowledge the many who are not alive to finally see justice.”
Beyond the monetary settlement, the Committee negotiated an extensive package of nonmonetary reforms that will be incorporated into the bankruptcy plan and will be enforceable by the bankruptcy court. Any party who believes the Archdiocese is not complying will have the legal standing to seek enforcement.
“Survivors didn’t just want a settlement. We wanted change, real, lasting, enforceable change,” said Margie O’Driscoll, co-chair of the Committee. “What we achieved here is not a list of good intentions. These obligations will be supervised by a federal judge. We demanded that the Archdiocese be held to the same standards of accountability that every other institution in California is expected to meet. That is what this agreement delivers.”
“Every dollar and provision in this settlement was hard-fought,” said Brittany Michael, counsel for the Committee. “None of it was given. All of it was won. We are deeply proud to have represented the survivors in this case, and we are honored to be able to deliver this historic settlement.”
The most significant non-monetary provision is the Archdiocese’s agreement to publish a partial list of clergy accused of abuse in the bankruptcy case, a commitment the Archdiocese resisted for years. The Archdiocese had promised to release such a list as early as 2018, but has never done so. Since 2021, the Archdiocese of San Francisco has stood alone as the only diocese in California and one of only a few in the country that has not disclosed the names of accused clergy.
The Archdiocese has also agreed to transfer the personnel files of all clergy on its accused list to a publicly accessible archive, to be housed and maintained by an independent institution. This will establish a permanent, independent, publicly accessible historical record—held outside the Archdiocese’s control—of what the Church knew, when it knew it, and what it chose to do.
The archive will make available in digital format documents that serve as a crucial resource for survivors, researchers, journalists, and community members seeking greater transparency and accountability in institutional abuse cases. It will also give survivors the opportunity to make their stories publicly available to preserve the history of what occurred and to hopefully prevent further abuse.
The settlement also imposes a series of new mandatory child protection policies:
- Whistleblower Protections: The Archdiocese must amend its whistleblower policy to explicitly protect anyone who reports suspected childhood sexual abuse (the current policy only protects those who report financial malfeasance). The Archdiocese must also post a nonretaliation statement guaranteeing that no employee will face termination, wage reduction, or adverse action for making a report.
- Survivor Bill of Rights: The Archdiocese must post a Survivor Bill of Rights on its reporting webpage and automatically deliver it to any claimant, ensuring that survivors know their rights before the Archdiocese has any opportunity to shape their experience.
- Electronic Communications Policy: The Archdiocese must adopt and post a policy that explicitly prohibits one-on-one texting and private digital communications between any adult and any child, directly addressing a well-documented vector through which abuse is facilitated.
- Anonymous Online Reporting: The Archdiocese reporting webpage must include an online submission form that allows for fully anonymous reporting, with explicit instructions that claimants need not give their name and that every claim will be investigated.
- Enhanced Background and Reference Checks: Beyond existing background checks, the Archdiocese must adopt enhanced reference check procedures for all Archdiocese personnel, a measure designed to uncover prior concerning conduct that may not appear in a criminal history check.
- Independent Child Protection Consultant: The Archdiocese must retain an independent Child Protection Consultant, who will have full access to all Archdiocese records, policies, and personnel, and will recommend enhancements to the Archdiocese’s practices and procedures to further protect children. The Consultant’s final report must be published on the Archdiocese website.
- Survivor-Selected IRB Seat: The Committee will select the next survivor representative on the Archdiocese’s Independent Review Board, which reviews claims of clergy sex abuse, with vacancy procedures ensuring that this seat is maintained throughout the life of the Settlement Trust.
- Confidentiality Agreements Eliminated: The Archdiocese must release all survivors from existing mandatory confidentiality agreements. No future settlement may include a mandatory confidentiality clause unless the survivor specifically requests it.
- No Lobbying Against Abuse Laws: The Archdiocese may not hire, pay, or direct anyone to lobby for weakening mandatory reporting requirements or imposing statutes of limitations for sexual abuse claims in California or at any local level that give survivors less time to assert a claim.
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