-Caveat Lector-
http://www.bostonherald.com/news/local_regional/prie02272002.htm
Wealthy donors to cover Law's settlements
by Tom Mashberg and Maggie Mulvihill
Wednesday, February 27, 2002
A top financial adviser to Bernard Cardinal Law said yesterday that Law will ``bend
over backwards'' to compensate the victims of pedophile priests, even though the
cost of doing so will exceed the insurance available to the Roman Catholic
Archdiocese of Boston.
The adviser, John J. ``Jack'' Shaughnessy Sr. of Milton, a construction magnate and
member of the board of Catholic Charities, also said church benefactors have
assured Law they will ``step to the plate'' and make funds available to help the
archdiocese cover settlement costs - which by some estimates could reach $100
million.
``It's safe to say the price of all this will far exceed the insurance available,''
said
Shaughnessy, president of Shaughnessy & Ahern Co. of South Boston. ``But His
Eminence, and I would say most of his advisers, are 1000 percent behind the
proposition that the legitimate victims of these few aberrant priests must be made
whole.''
The issue of how to cope with numerous suits against the church, some longstanding
and others recent, has been a topic of spirited debate within the cardinal's inner
circle, Shaughnessy said. Legal advisers, he said, have urged Law to contest all
lawsuits vigorously, fearing a generous payment strategy might prompt dubious
claims.
But the faction that supports ``prompt and fair'' payouts - including prominent lay
Catholics and members of Law's hierarchy - has prevailed, said Shaughnessy, who
cleared his remarks by phone this week with aides to Law.
Law's hope is threefold, Shaughnessy said: to ensure victims and their families fair
compensation; to reverse the tide of dismal publicity afflicting the archdiocese over
the abuse scandal; and to destigmatize the ``good priests'' demoralized by the
drumbeat of ugly revelations.
Lawyers for the bulk of the 125-plus plaintiffs against the church reacted with caution
yesterday.
``Right now I am guarded in my response, based on my recent experiences with the
church and my clients,'' said Jeffrey A. Newman, who represents 14 victims of serial
child molester and former archdiocese youth worker Christopher J. Reardon. ``I have
clients who are literally coming apart at the seams, who need institutionalization, yet
they are still laboring through mediations with church attorneys.''
And Mitchell Garabedian, lawyer for 86 alleged victims of convicted and defrocked
pedophile priest John J. Geoghan, said Law's lawyers just yesterday put off a
deposition with him set for today.
``Obviously the church should do the right thing and settle,'' he said. ``But I've been
hearing those kinds of comments for years.''
Putting an exact figure on the lawsuits either settled or pending against the
archdiocese for molestation claims has proven difficult.
The Herald first reported on Jan. 26 that at least 50 Archdiocese of Boston priests
have settled molestation lawsuits involving one or more victims in the last 40 years.
Since then, the archdiocese has given Massachusetts law enforcement officials
more than 80 names of suspect priests. Because there is duplication due to
overlapping jurisdictions, the actual number lies somewhere between 60 and 80,
attorneys familiar with the suits say.
The cost of previous settlements is unknown, but payouts run from $10,000 to
$500,000, depending on extent of abuse, according to settlements reviewed by the
Herald.
In recent weeks, as the magnitude of priestly abuse has become known, numerous
new plaintiffs have stepped forward to sue the archdiocese, and Law personally, for
letting known pedophiles migrate from parish to parish despite clear signs they might
reoffend.
In addition to the Geoghan and Reardon plaintiffs, who all told number about 120,
multiple allegations have arisen in recent weeks against the Revs. Paul R. Shanley,
with 6 accusers, and Paul M. Desilets, with 21 accusers; and former Revs. Paul J.
Mahan, with 15 accusers, and Bernard J. Lane, with 3 accusers. Single new
allegations have also been made against dozens of current and former priests.
Experts say future settlements, which often include funding for long-term
psychotherapy as well as large damage awards, could average $500,000, putting
potential liability in the $100 million range.
In January, as the molestation scandal gained steam, Law stated emphatically that
insurance would cover the price of all settlements.
But the Herald soon reported that the church's insurance till was running dry. Some
legal advisers then urged Law to embrace the ``charitable immunity cap'' - a state
law limiting liability of nonprofits to $20,000 per settlement.
Law sought the advice of prominent Bay State Catholics, meeting three times in the
past six weeks with an ad hoc group of friends and backers. Given the ``boiling pot''
of bad publicity, Shaughnessy said, the consensus now is to err on the side of
generosity for victims, even at the risk of ``enticing ambulance chasers looking for a
windfall.''
``This is certainly sufficient insurance if the cardinal wanted to hide behind the
charitable immunity shield,'' Shaughnessy said. ``But he is so grievously upset by
what has happened that he wants the victims compensated properly.''
Carmen Durso, a Boston lawyer handling cases involving Mahan, expressed
skepticism that the archdiocese would quickly and fairly settle so many claims.
``It's an enormous amount of money given the number of victims who've come
forward, and we aren't at the end yet,'' Durso said. ``It will be a real test of their
will to
see if they will follow through.''
Speaking of the charitable immunity cap, Durso said: ``I'm encouraged the cardinal
says he isn't going to stick to the cap. It is a good gesture, and we need good
gestures after some of the things the church has admitted doing.''
Attorney Nance Lyons said one of her clients has waited nearly two years for church
lawyers to come up with a reasonable offer.
In Lowell Superior Court today, Lyons, archdiocese attorney Wilson D. Rogers III,
and a volunteer conciliator, attorney Richard A. Lalime, will meet to try a settle a
molestation lawsuit against Lane, who now lives in New Hampshire.
Of Law's pledge, Lyons said: ``It is a major step forward for these victims and a
welcome relief to the attorneys who have been pursuing these cases with little
cooperation from the archdiocese for years.
``We will test the sincerity of their statements today,'' she said. ``But we are
concerned the archdiocese and its advisers might be announcing this as part of their
new approach to damage-control.''
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