SCOTUS Dismisses Alabama Death Sentence Case In Divided Ruling

In the Boy Scouts’ case, certain victims seek the ability to litigate against independent councils managing local scouting programs and third party entities, including churches and civic organizations, that endorsed these programs

Third-party entities contributed billions of dollars to a settlement trust for victims and, pursuant to the agreement, are protected from future civil litigation.

Critics of these arrangements assert that courts typically do not have the authority to impede such lawsuits.

Proponents argue that without safeguards for third party entities, significant bankruptcy agreements, such as those involving Purdue and the Boy Scouts, would not be implemented

The Boy Scouts of America declared bankruptcy in 2020 following expenditures exceeding $150 million to resolve numerous abuse lawsuits from 2017 to 2019, as per court documents.

In 2022, a federal bankruptcy court in Delaware sanctioned the reorganization plan, facilitating the Boy Scouts of America’s resurgence and establishing a fund to compensate victims.