This page includes information for our churches on the Boy Scouts of America (BSA) bankruptcy reorganization and how churches may be affected.
There is also information for churches that have in the past or are serving as chartering organizations.
We will update the page as new information becomes available.
In February 2020, the Boy Scouts of America (BSA) filed for bankruptcy reorganization to protect itself against a growing number of sexual abuse claims made against it. This bankruptcy process is intended to allow the BSA to deal with these claims through a victims’ compensation trust fund and still continue its operations.
Many of our local churches act or have acted as a “sponsoring organization” or “chartering organization” for a Scout troop or other Scout unit (Cub Scout Pack, Venturing Crew, Sea Scouts ship, STEM Scouts lab, Exploring post).
Chartering organizations are potentially affected by the bankruptcy filing, even if the church has not yet been threatened with a lawsuit related to its current or former Boy Scout unit.
In May, a bankruptcy court judge set Nov. 16, 2020 as the deadline for all creditors, including sexual abuse survivors and chartering organizations, to file claims.
If a church is now or has ever chartered or otherwise sponsored a Scout unit, our Conference Chancellor is recommending that the church file a “Proof of Claim” (POC) with the court by the Nov. 16 deadline to ensure its rights are preserved whether there are known liabilities or not.
If your church does not file a POC, and a claim is later filed against your church relating to sexual abuse that occurred before Feb. 18, 2020, the BSA and its insurance companies are likely to refuse to participate in the resolution of the sexual abuse claim. This would leave the local church as the primary, and likely sole, defendant in the sexual abuse lawsuit.