The Bar Date, or final deadline, for filing proofs of claim in the BSA bankruptcy case is November 16, 2020. These important issues will likely be addressed through negotiations in the bankruptcy case among various constituents, including BSA, BSA Local Councils, insurance carriers, personal injury attorneys for sexually abused Scouts, a court-appointed future claimants’ representative, and Chartered Organizations. It is too early in the bankruptcy case to tell how the claims of Chartered Organizations will be addressed and what types of protections Chartered Organizations will be provided with respect to any abuse claims that may be asserted by Scouts in the future. However, the bankruptcy case may negatively affect the rights of a Chartered Organization to that sort of protection from BSA. Historically, BSA has indemnified, reimbursed, insured against, or otherwise covered any sexual abuse claims asserted by Scouts against Chartered Organizations. Many of the Churches in The Western North Carolina Conference currently serve or have served as a BSA Chartered Organization. It has only recently been made clear to our denomination that Chartering Organizations have potential standing in the BSA bankruptcy proceedings and should file a proof of claim to protect their interests before the proof of claim Bar Date (deadline). As such, a local church that serves as a Chartering Organization could be liable for claims related to sexual abuse. The “Annual Charter Agreement” each church signs suggests that the church is effectively responsible for conducting the Scouting program in its entirety, including the selection and screening of adult volunteers. Many churches in The United Methodist Church serve as Chartering Organizations.Ĭhurches often do not realize that they are responsible for much more than just giving a Troop some space to meet when they serve as a Chartering Organization. BSA filed their bankruptcy case to address the significant liability it faces from sexual abuse claims asserted (or to be asserted in the future) by Scouts and former Scouts.īSA, which has numerous affiliated Local Councils, ultimately operates through the organizations authorized to operate scouting units as “Chartered Organizations,” pursuant to Charter Agreements between the organization and a Local Council.
20-10343, pending in the United States Bankruptcy Court for the District of Delaware. On February 18, 2020, the Boy Scouts of America (“BSA”) and its affiliate, Delaware BSA, LLC, filed for Chapter 11 bankruptcy protection in a case titled In re Boy Scouts of America and Delaware BSA, LLC, case no.