Boy Scouts

The Boy Scouts of America Chapter 11 bankruptcy settlement cleared its final appellate hurdle on May 13, 2025, when the Third Circuit rejected challenges to the $2.46 billion abuse victim fund, ruling the appeals came too late after BSA emerged from bankruptcy in 2023. The settlement, approved in September 2022 in the Delaware bankruptcy (Case No. 20-10343), covers over 82,000 sexual abuse claims but faces severe funding shortfalls: the Scouting Settlement Trust has processed claims valued at $7 billion against a $2.46 billion pool, leaving most survivors with fractional payouts. The Third Circuit acknowledged the plan would likely fail under current law post-Purdue Pharma but refused to unwind the 'substantially consummated' deal.

The U.S. Supreme Court denied certiorari January 12, 2026, exhausting appeals and finalizing the BSA Chapter 11 plan. The Scouting Settlement Trust, administered by retired Judge Barbara J. Houser, may now access $1.65 billion in escrowed insurer funds for second distributions. The Trust has disbursed $295.5 million to 36,896 claimants through initial payments as of November 2025.

82,000+ claims nationally; $2.46 billion settlement trust with payments ranging $3,500-$2.7 million per claimant. Over 12,400 claimants over age 70, 2,200 over age 80 as of 2024. Trust disbursed $8 million to 3,000+ claimants by early 2024; $125 million paid by May 2025. Settlement substantially consummated — 3rd Circuit ruled May 13, 2025 that unwinding is impracticable despite Purdue Pharma non-debtor release ruling.

• New York

  Over 2,000 claims filed under 2019 Child Victims Act lookback window — highest single-state concentration in BSA bankruptcy (Case No. 20-10343, Bankr. D. Del.)

• California

  Expansive lookback period enacted 2019 drove surge in claims; state-specific legal climate influenced tiered payout structure in $2.46 billion settlement

• Connecticut

  Deer Lake camp (252 acres) sold to fund Victims Compensation Trust — local council asset divestiture under $515 million minimum contribution requirement

• Maine

  Camp Gustin (95 acres) liquidated as part of local council property sales to satisfy settlement obligations

• Texas

  BSA national headquarters in Irving; organization emerged from bankruptcy 2023 as Scouting America

• Delaware

  United States Bankruptcy Court for the District of Delaware — venue for Case No. 20-10343; settlement approved Sept. 8, 2022

• Pennsylvania

  3rd U.S. Circuit Court of Appeals (Philadelphia) rejected post-Purdue challenges May 13, 2025 — 144 survivor appeals defeated, $125 million already disbursed

• Alabama

  Stricter statute of limitations reduced survivor participation — comparative underrepresentation in 82,000-claim docket due to restrictive filing windows

BSA bankruptcy settlement required claimants to file by state SOLs as of May 31, 2024. Multiple states enacted BSA-specific revival windows 2023-2024. Alabama, Arkansas, and Iowa windows close in 2026 — prioritize intake screening. Missouri and Utah remain hostile to institutional claims. Always verify whether claimant filed proof of claim in BSA bankruptcy (Case No. 20-10343, Bankr. D. Del.) as condition precedent to revived state-court action.