As of October 2025, hundreds of clergy abuse survivors are awaiting payment from the New Orleans Archdiocese settlement. If you’re among them, you face months of waiting before receiving compensation while bills and expenses continue.
Lawsuit Loans provides cash advances to help survivors cover essential costs during the waiting period. If you have an approved claim and need financial support now, Direct Legal Funding can help.
Lawsuit Update: The $230 Million Settlement: A Five-Year Journey to Justice
In May 2020, the New Orleans Archdiocese filed for bankruptcy rather than handle each abuse claim separately. More than 500 survivors became part of what would become one of the longest-running and most contentious Catholic Church bankruptcy cases in the United States related to sex abuse.
For over five years, survivors waited while their attorneys negotiated with the archdiocese. In May 2025, the archdiocese finally announced an offer: at least $179.2 million to resolve the more than 500 abuse claims.
The attorneys representing survivors rejected it. They considered it inadequate, lowballing the hundreds of survivors who had already waited years for justice.
For four months, negotiations continued. Survivors faced a choice: accept the $179.2 million and finally receive some compensation, or continue waiting with no guarantee of a better outcome.
In September 2025, that patience paid off. The New Orleans Archdiocese agreed to an increased settlement of $230 million.
The attorneys representing survivors explained what happened: “We knew this was a bad deal, and we knew we could do better; and we have. The ‘power of no’ forced the Archdiocese to come up with significantly more money.”
That’s $50 million more because survivors had the strength to wait four months.
Vatican Appoints New Archbishop Following $230 Million Settlement
Two weeks after the settlement agreement, the Vatican announced leadership changes for the New Orleans archdiocese. Pope Leo XIV named Bishop James Checchio of Metuchen, New Jersey, as coadjutor bishop of New Orleans.
This appointment positions Checchio to automatically assume leadership when Archbishop Gregory Aymond retires, signaling a transition in church governance as the abuse settlement moves toward completion.
Checchio brings relevant experience to the position. He previously managed the aftermath of sexual misconduct revelations involving one of his predecessors in the Metuchen diocese, then-Cardinal Theodore McCarrick, following explosive allegations that emerged in 2018.
Before his appointment to Metuchen in 2016, Checchio served for a decade as rector of the U.S. seminary in Rome.
The Waiting Isn’t Over For New Orleans Archdiocese Survivors
Even with the new leadership and $230 million agreement in place, survivors still face a wait of several months before receiving payment.
Late October 2025: Survivors must vote on whether to approve the settlement. Two-thirds must agree for it to proceed. Judge Meredith Grabill, overseeing the bankruptcy proceedings in federal court, has warned that if the settlement is not approved, she will dismiss the case entirely.
2026 and Beyond: If approved in late October 2025, payments could begin disbursement by 2026. The exact timing depends on court processes, administrative procedures, and potential appeals or complications that may arise.
Attorney Brad Knapp, representing a committee of abuse survivors, stated in September 2025: “At this point, I’m not aware of a single attorney for an abuse survivor that opposes the plan. With all the abuse survivors’ attorneys supporting it, I think there’s much less chance that it gets voted down.”
But support from attorneys doesn’t eliminate the financial pressure survivors face while waiting for payment.
The Financial Reality Survivors Are Facing Right Now
Attorney Kristi Schubert, representing dozens of survivors, acknowledged the tension in September 2025: “A lot of survivors are ready for this to be resolved. A lot of them would prefer to receive certain money now.”
Kevin Bourgeois, a New Orleans native who suffered clergy sexual abuse and settled privately before 2020, explained the deeper impact: “There is no dollar amount that really is equitable considering that abuse survivors live for the rest of their lives putting their lives back together.”
The Official Committee of Unsecured Creditors, which represents the interests of abuse survivors in the bankruptcy case, warned about what survivors would face if the settlement failed.
Bringing individual abuse claims in court would likely lead to difficult confrontations with an “aggressive and hostile” archdiocese, forcing survivors and their friends and family to engage in tough depositions and years of appeals, exacerbating survivors’ “emotional and psychological pain.”
If the settlement is not approved by survivors, they would be required to seek compensation through new lawsuits, which could take years to play out in courts. The Official Committee warned that there’s also the prospect that the archdiocese would declare bankruptcy again to delay payments.
This is why the waiting period between now and when payments actually arrive creates such hardship. Survivors need money now for therapy, medical care, housing, and basic expenses. But the legal system requires them to wait, from late October 2025 through sometime in 2026 or possibly later, before receiving compensation.
How the “Power of No” Required Financial Strength
The $50 million increase from $179.2 million to $230 million didn’t happen by accident. It happened because survivors and their attorneys had the ability to reject an inadequate offer and continue waiting.
But that waiting required financial strength. Between May 2025, when the $179.2 million was offered, and September 2025, when the $230 million was agreed to, survivors faced four months of uncertainty.
During those months:
- Bills continued arriving.
- Therapy costs accumulated.
- Medical expenses mounted.
- Housing payments came due.
- Utilities needed to be paid.
- Groceries had to be purchased.
Daily life didn’t pause while negotiations continued.
Some survivors had personal resources or family support to sustain them through that waiting period. Others struggled significantly. The pressure to accept the lower amount and finally receive some money was intense.
Now, with the $230 million agreement in place but payments still months away, survivors face another extended waiting period. From late October 2025, when voting concludes, through whenever payments actually arrive in 2026, that could be another 3 to 12 months or more.
Can you afford to wait that long without financial support?
What Happens If You’re Facing Financial Crisis While Waiting
You’ve already waited over five years since the May 2020 bankruptcy filing. You’ve endured the pain of seeing your case become one of the “longest running and most contentious” Catholic Church bankruptcy cases in U.S. history.
You’ve watched as negotiations dragged on while the archdiocese, despite a sweeping FBI probe and an investigation revealing how New Orleans Saints executives assisted with damage control, delayed and minimized its accountability.
And now, even with a settlement agreement that attorneys support, you’re being asked to wait several more months before seeing any compensation.
Meanwhile:
Therapy costs continue. The trauma of clergy sexual abuse requires ongoing mental health treatment. Many survivors need regular therapy sessions, specialized trauma counseling, or psychiatric care. These expenses don’t wait for settlement disbursement.
Medical bills accumulate. Beyond mental health care, many survivors face physical health consequences from their abuse or from the stress of prolonged litigation.
Housing is at risk. If you’ve been unable to work full-time due to the psychological impact of your abuse, or if legal proceedings have consumed your time and energy, you may have fallen behind on rent or mortgage payments.
Basic expenses don’t stop. Utilities, groceries, transportation, insurance, and other necessities require money now, not in 2026.
Credit card debt grows. If you’ve been using credit cards to survive while waiting for settlement, interest charges are compounding and creating a debt burden that will eat into your eventual compensation.
Family relationships are strained. Loved ones who’ve supported you financially may be reaching their limits. The question “When will you get your settlement money?” becomes increasingly difficult to answer.
This financial pressure can lead to devastating decisions. Some survivors might consider voting against the settlement just to force some kind of resolution faster, even though that could result in years more of litigation and potentially less money.
Others might seek out high-interest loans or make financial choices that will haunt them long after settlement payments arrive.
Lawsuit Loans: A Bridge to Your Settlement Payment
Lawsuit Loans (also known as pre-settlement funding) provides cash advances to individuals with approved claims who are awaiting payment. For survivors with claims in the New Orleans Archdiocese settlement, this means accessing funds now while waiting for the settlement process to be completed and fees to be disbursed.
This is structured as a non-recourse advance. That means repayment is contingent on receiving your settlement payment. If something goes wrong and the settlement falls through, or if payments don’t materialize for any reason, you typically owe nothing.
Here’s how it works in your situation:
- You apply with basic information about your claim in the Archdiocese settlement. The funding company verifies that you have an approved claim, either through your attorney or through settlement documentation.
- If approved, you receive a cash advance based on your expected settlement amount. This money arrives in your bank account, typically within several business days of approval.
- You use this money however you need: therapy costs, medical bills, rent or mortgage, utilities, groceries, paying down credit card debt, or any other expenses. There are no restrictions on how you spend the funds.
While you wait for the Archdiocese to actually disburse payments, whether that’s early 2026, mid-2026, or later, you make no monthly payments to the funding company. There are no collection calls, no credit reporting, and no pressure.
When the Archdiocese finally disburses settlement payments to survivors, repayment to the funding company happens automatically. The amount is deducted from your settlement proceeds. You never have to write a check or make a payment yourself.
If the settlement somehow fails, if it doesn’t get two-thirds approval in late October 2025, if Judge Grabill dismisses the case, if the Archdiocese files bankruptcy again, or if any other circumstance prevents you from receiving payment, you owe nothing under a non-recourse funding agreement.
Why Waiting Without Support Puts You at Risk
The timeline is clear: you can expect to wait from late October 2025 through sometime in 2026 before receiving payment, possibly longer, depending on administrative processes and any complications.
That’s a minimum of several months, possibly over a year, from now.
During that time, financial pressure can force decisions that permanently harm your situation:
Voting against your own interests. If you’re desperate for any money now, you might consider voting against the settlement to force the case back into individual litigation, even though the Official Committee warned that could mean confrontations with an “aggressive and hostile” archdiocese and years more of waiting.
Accumulating high-interest debt. Credit cards charging 20-30% interest, payday loans, or other expensive borrowing options can create debt that consumes much of your eventual settlement.
Losing housing. Eviction or foreclosure creates long-lasting damage to your ability to rent or buy in the future, even after you receive settlement money.
Skipping necessary treatment. Missing therapy sessions or medical appointments because you can’t afford them not only harms your healing but also creates gaps in care that are hard to restart later.
Damaging family relationships. Ongoing financial dependence on family members or friends can strain even the strongest relationships, creating emotional costs that persist after you’re financially stable.
Making permanent sacrifices. Selling possessions for far less than they’re worth, withdrawing retirement savings and paying penalties, or taking other desperate measures that cannot be undone even when settlement money arrives.
Pre-settlement funding prevents these outcomes by providing stability during the waiting period. Yes, funding involves costs that reduce your final settlement amount. But those costs are typically far less than the damage caused by a financial crisis during the waiting period.
Understanding the Costs and Making an Informed Decision
Pre-settlement funding is not free money. The funding company assumes the risk that the settlement might not go through or that payments might be delayed indefinitely. In exchange for that risk, they charge fees calculated based on the advance amount and the time until repayment is made.
Before accepting any funding offer, you should receive clear written information showing:
The exact amount you will receive. This is the cash that will be deposited in your bank account.
How fees are calculated. Some companies use simple interest (calculated only on the amount you receive). Others use compound interest (calculated on the principal plus previously accrued interest). This distinction significantly affects total costs.
What you will owe at different time frames. The funding company should provide you with specific numbers: if the Archdiocese pays within 6 months, you’ll owe $X. If it takes 12 months, you’ll owe $Y. If 18 months, $Z. This transparency helps you understand true costs.
Whether the funding is truly non-recourse. The agreement should clearly state that if you don’t receive a settlement payment for any reason, you owe nothing. No personal liability, no collections, no credit reporting.
All terms and conditions are in plain language. You should be able to understand exactly what you’re agreeing to without needing a law degree.
Questions Survivors Are Asking About Pre-Settlement Funding
What happens if the settlement doesn’t get two-thirds approval in late October 2025?
With non-recourse funding, you owe nothing if you don’t receive a settlement payment. If survivors vote down the settlement and Judge Grabill dismisses the case as she’s warned, you have no obligation to repay the advance.
What if the Archdiocese declares bankruptcy again or finds some other way to delay payments?
Again, with non-recourse funding, you owe nothing if payments don’t materialize. The funding company assumes that risk, not you.
What if payments are delayed longer than expected in 2026?
You make no monthly payments regardless of how long it takes. The only difference is that longer timeframes result in higher total fees when repayment eventually occurs. The funding company should present these calculations to you upfront.
Do I need my attorney’s permission to get pre-settlement funding?
No. The decision is yours to make. However, the funding company will likely contact your attorney to verify your claim in the settlement. Most attorneys understand the financial pressure their clients face and support funding decisions.
How much can I receive?
This depends on your expected settlement amount from the Archdiocese distribution. The funding company typically advances a percentage of what you’re expected to receive, providing enough to cover essential expenses during the waiting period.
Will getting funding affect my credit score?
No. Pre-settlement funding typically does not require credit checks and does not appear on credit reports. It has no impact on your credit score.
Will the Archdiocese be aware that I received pre-settlement funding?
No. Funding arrangements are confidential. The Archdiocese, its attorneys, and others involved in the settlement won’t be informed about your private financial arrangements.
Can I get funding if I’ve already voted to approve the settlement?
Yes, assuming survivors approve the settlement in late October 2025. You’ll still be waiting months for actual payment disbursement in 2026, and funding can help alleviate the financial burden during that waiting period.
What if I’ve already borrowed money from family or used credit cards while waiting?
You can use pre-settlement funding to pay back family members or pay down credit card debt, stopping interest from accumulating further while you wait for the Archdiocese to pay.
How quickly can I receive funding?
The application and approval process typically takes several business days. Once approved and you sign the agreement, funds are usually transferred to your bank account within a few days.
Your Decision: Waiting Without Support or Securing Stability Now
You’ve already demonstrated extraordinary patience and strength. From the May 2020 bankruptcy filing through the May 2025 inadequate offer through the September 2025 improved agreement, you’ve waited over five years while the legal system slowly moved toward justice.
The attorneys who negotiated the $50 million increase between May and September 2025 understood a crucial principle: having the ability to say “no” to inadequate offers creates leverage. Financial strength during waiting periods translates directly to better outcomes.
Now you face the final waiting period: from late October 2025, when survivors vote through whenever in 2026 the Archdiocese actually disburses payments. That’s several more months, possibly over a year, before you receive compensation.
You can face that waiting period struggling with bills, stress, and financial desperation. Or you can face it with the stability that pre-settlement funding provides.
The choice is yours. But after everything you’ve endured: the abuse itself, the years of waiting, the lengthy bankruptcy, the negotiations, you deserve financial stability during these final months of waiting.
Contact Direct Legal Funding for a New Orleans Archdiocese Settlement Loan
If you’re a survivor with an approved claim in the New Orleans Archdiocese settlement, you don’t have to face these financial pressures alone. Direct Legal Funding understands what you’re going through and can provide the cash advance you need to maintain stability during this final waiting period.
Don’t spend the next several months struggling financially while you wait for the archdiocese to finally disburse payments. You stood strong through five years of bankruptcy proceedings. You waited while attorneys negotiated a better settlement. You’ve demonstrated extraordinary patience and resilience.
Now, let us provide the financial support that honors that strength and carries you through to the finish line.
At Direct Legal Funding, we offer the lowest interest rate of just 2% and can get you funding within 24 hours of approval, nationwide
Call our compassionate and professional team now: 866-941-5588
Apply online through our secure form by clicking the orange button at the top of this webpage
Applications are confidential. Approval decisions are typically made within several business days. Funding is non-recourse, meaning you owe nothing if settlement payments don’t materialize.
Direct Legal Funding Disclaimer
Direct Legal Funding is not a law firm and does not provide legal advice regarding the New Orleans Archdiocese settlement. Pre-settlement funding is subject to approval based on claim verification. Terms and availability vary. Funding is structured as a non-recourse advance, meaning you typically owe nothing if you do not receive a settlement payment. This information does not constitute legal or financial advice. Consult with your attorney before making financial decisions related to your settlement claim.