The Boy Scouts of America filed for bankruptcy Tuesday as the century-old institution faces spiraling costs from hundreds of sexual abuse lawsuits. The group’s bankruptcy filing in Delaware listed whopping liabilities that ranged between $100 million and $500 million and assets of $1 billion to $10 billion.* In response to the deluge of suits, the youth organization that says it currently serves more than 2 million youths began positioning itself for Chapter 11 bankruptcy as far back as December 2018, but the actual filing didn’t take place until this week.
By seeking bankruptcy protection, the outdoor and youth leadership group, which claims more than 110 million participants since its inception, puts a halt to the litigation and will give the Boy Scouts a window to negotiate settlements with those who have sued, potentially rolling all claims into a single final resolution.
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