Dallas Lawyer: Boy Scouts Victims Can Expect "Pennies On The Dollar"

Alan Scaia
February 18, 2020 - 11:21 am
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DALLAS (1080 KRLD) - A lawyer in Dallas says the Boy Scouts of America may simply be trying to "cut their losses" with the bankruptcy filing in Delaware.

The Boy Scouts organization, based in Irving, announced the filing just after midnight Tuesday morning.

Related: Irving-Based Boy Scouts Of America Files For Bankruptcy

In the filing, the organization said it would create a trust fund to "provide equitable compensation to victims" of abuse.​

Quentin Brogdon, a fellow with the International Academy of Trial Lawyers and partner at Crain Brogdon Rogers in Dallas, says the Boy Scouts have listed assets between $1 billion and $10 billion. The Scouts' filing listed liabilities between $500 million and $1 billion.

"In theory, they have enough assets to take care of the liabilities, but the unknown is how many more victims will come forward? What will a jury award?" Brogdon says.

He questioned the Boy Scouts' claim that a trust would "provide equitable compensation to all victims while maintaining the BSA’s important mission.”​ Brogdon says most victims' claims are likely to be placed in the trust.

He says victims are likely to be required to fill out a form to answer questions about when the type of abuse, when the abuse occurred and whether they received counseling. He says bankruptcy law is written into the country's system of legal accountability but bankruptcy could sometimes "thwart" an organization's legal accountability.

"Ultimately, these victims can expect to be paid pennies on the dollar, now," he says. "You're, in essence, losing your right to have a jury weigh in on this."

Brogdon says he expects this bankruptcy case to continue for years.