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Boy Scouts reach historic $850 million settlement with sex abuse victims

Posted at 5:28 AM, Jul 02, 2021
and last updated 2021-07-02 05:29:06-04

(WXYZ) — The Boy Scouts of America reached a historic settlement with tens of thousands of sexual abuse victims overnight. For some, it's decades in the making.

The agreement is for $850 million and the deal was reached with more than 60,000 men.

It comes on the heels of a joint investigation just announced last month by the Michigan Attorney General and Michigan State Police, looking into abuse claims tied to the organization.

It's said to be the largest settlement of its kind in U.S. history and it's the first of a long list of lawsuits the Boy Scouts are facing.

"Those who abuse their power to inflict harm on others must be held accountable," Michigan Attorney General Dana Nessel said last month.

This settlement comes in a separate case with accusations dating back 60 years.

Here's where the money is expected to come from. The Boy Scouts of America would pay $250 million, and then 250 local councils would pay the other $600 million. That's an extra $300 million over what was offered earlier this year.

According to an attorney in Philadelphia, a majority of his clients are now in their 60s or 70s. He represents 17,000 of them who were mostly abused as teenagers.

The Boy Scouts filed Chapter 11 bankruptcy last year as legal costs grew from the lawsuits.

"It's our belief that there are Michigan victims out there who deserve an opportunity to pursue justice criminally," Nessel said.