Diocese lawsuits go to Superior Court

Lawsuits filed by 60 people claiming they were sexually abused by Catholic clergy have been remanded to Spokane County Superior Court from federal bankruptcy court.

Though some of the cases seemed primed for trial, the likelihood of that happening soon is remote because of bankruptcy rules that have suspended legal actions against the Roman Catholic Diocese of Spokane.

The lawsuits are at the heart of the diocese’s Chapter 11 bankruptcy case.

Faced with trials and unsuccessful settlement negotiations, the diocese sought Chapter 11 bankruptcy protection six months ago.

It has since been embroiled in a battle of court motions and objections that has led to legal fees in excess of $325,000 a month.

Bishop William Skylstad has said he wants to reach a “global settlement” that determines how much money should be paid to each victim rather than a first-filed, first-paid “race to the courthouse.”

Progress on the cases has come to a standstill as sides wrangle under bankruptcy rules, which are designed to preserve the operations of the diocese, cull illegitimate abuse claims, and resolve most if not all of the financial and legal issues that span decades in Eastern Washington.

Plaintiffs prefer having their cases in state court and many alleged victims say they want to confront abusers as well as Skylstad.

The diocese wanted the cases consolidated in federal court as part of a larger strategy to have all bankruptcy-related matters handled in one jurisdiction, said Shaun Cross, an attorney representing the diocese.