Group of boy scouts following their squad leader.

Why Did the Boy Scouts File For Bankruptcy?

On February 18, the Boy Scouts of America (BSA) filed for bankruptcy because of the shameful manner in which it dealt with the problem of its scouts being sexually abused by its Scout masters and other adult volunteers.

As the attorney responsible for winning the largest verdict ever against the BSA, and spearheading the subsequent release of documents that disclosed just how much the BSA knew about the sexual molesters in the organization, Paul Mones is gratified to see that the organization is finally taking responsibility for the harm it has caused. Attorney Mones is representing many victim-survivors who will seek compensation from the BSA’s bankruptcy trust. 

What Does Bankruptcy Mean for the BSA? 

It is common for businesses facing staggering legal liability to file for bankruptcy. It is a tactic that prevents the organization from being slowly bled to death in thousands of different courtrooms across the country. Instead, the bankruptcy court forces all potential creditors — aka victims — to file their claims within a set period of time or forever lose the opportunity to do so. 

It is not yet clear what will happen to BSA now that it has filed for bankruptcy, but in similar cases, bankruptcy courts have approved a massive settlement agreement that is supposed to compensate all past victims. Claims that arise after the settlement is reached can still be brought, but any claims arising from abuse that occurred before the agreement is reached would be covered by it. 

Experience You Can Trust

Attorney Paul Mones and his team are prepared to help as many Boy Scout abuse victims as possible seek justice whether the BSA remains solvent or not. Paul has years of experience handling these cases, and a passion for seeing past wrongs righted. Victims may be eligible for compensation, but may also get the satisfaction of knowing not only they are part of a movement that will help hold the Boy Scouts responsible for their misdeeds but as well raise consciousness on the issue of sexual abuse in order to help prevent future generations of boys suffer a similar fate. When you are ready to come forward and learn about your options, Paul and his team are ready to help.