Abuse claims against N.L. archdiocese swells to $121M following successful appeal by victims

The total value of claims the Roman Catholic Episcopal Corporation of St. John's has been found liable for has swelled to $121 million after a successful appeal by dozens of victims of sexual abuse.

A report filed this week by the court-appointed firm overseeing the insolvency case against the corporation — the land-holding arm of the St. John's archdiocese — recommends that the total damage award for 59 victims who were initially rejected during the claims process should total $15.3 million. That's an average of just under $260,000 per victim.

That's in addition to the historic $104-million settlement for nearly 300 victims that was approved in July 2024 by the Newfoundland and Labrador Supreme Court.

The court will be asked to endorse this latest settlement at a hearing to be held after the May 1 deadline for claimants to appeal their awards. 

It's yet another victory for the victims who suffered abuse by Christian Brothers at the notorious Mount Cashel orphanage in St. John's and two Vancouver area Catholic schools, and at the hands of clergy or lay religious orders linked to the archdiocese.

But the court document also reveals that the corporation is well short of the money needed to pay the victims what they're owed, despite the sale of more than 100 properties on the Avalon and Burin peninsulas.

A pool of funds totalling just under $40 million has been raised through the sale of assets, including churches, parish halls, buildings and vacant land.

An initial payment of roughly $22 million was distributed to victims last fall.

The episcopal corporation also suffered a setback in December when it lost a legal battle to have its insurance company, Guardian, cover some of the cost of the damage awards.

Lawyers for the victims, such as Geoff Budden, have also signalled in the past that the provincial government also has a role to play in compensating the victims.

Budden was not available for comment on Tuesday, but in July 2024 he said, "I think the scenario is that the government, which is already facing a number of lawsuits, will at some point — and some point fairly soon — we will have constructive dialogue with the government with the view to the government meeting its legal obligations."

Meanwhile, the compensation payments involving the 59 abuse victims stems from a decision in December by Justice Garrett A. Handrigan.

The victims had their claims disallowed under the court-approved claims process, but successfully appealed, with Handrigan ruling they were entitled to compensation from the episcopal corporation.

Forty-one of the 59 victims had previously received settlements involving the provincial government and the Christian Brothers of Ireland in Canada in 1996 and 2004, respectively. The claims officer ruled that the episcopal corporation was not liable for compensating these victims because they signed a document which released the corporation from further liability.