Boy Scouts of America Bankruptcy Proceeding

Case Update

What do we already know?

  • On Tuesday, May 13, 2025, the U.S. Court of Appeals for the Third Circuit dismissed the widest ranging appeals of the Bankruptcy Court’s plan confirmation order.
  • 82,000 claimants submitted sexual abuse claims in November 2020.
  • 86% of survivor votes were in support of BSA’s Plan for reorganization in December 2021.
  • Judge Laurie Selber Silverstein approved BSA’s Plan for reorganization in September 2022.

What does BSA’s Plan for Reorganization include?

$2.6 Billion settlement trust for survivors.

Critical safety measures and protections for current + future generations of Scouts.

The formation of a Survivor Advisory Working Group.

A secured commitment from the BSA to appoint a survivor to its National Executive Board.

On Tuesday, May 13, 2025 the Third Circuit Court of Appeals issued its ruling, which represents a significant step forward. The Court affirmed the lower court’s confirmation of the BSA’s bankruptcy plan, setting the stage for the Settlement Trust to proceed as designed, without disruption from the Purdue Pharma bankruptcy proceedings. 

The timeframe has begun for the unsuccessful parties before the Third Circuit—namely, the dissenting Survivors and holdout insurance companies—to seek further review. They may pursue either a rehearing before the full Third Circuit or attempt to appeal directly to the U.S. Supreme Court. Because it remains uncertain whether these groups will pursue either option, it’s also uncertain when the plan confirmation order will become final and all appeals will be resolved. We will keep our clients apprised as the matter unfolds. 

 
To learn more about the Scouting Settlement Trust please visit:
https://www.scoutingsettlementtrust.com