Ret. Bankruptcy Judge Sues Boy Scout Insurers in $2.4B Settlement Fight

Dozens of insurance companies that are opposing the Boy Scouts of America’s $2.4 billion bankruptcy settlement meant to bring an end to the sexual abuse claims of thousands of former scouts are being accused of acting in bad faith in a new lawsuit.

The trustee of the settlement trust, Barbara Houser, who is the retired former chief bankruptcy judge for the Northern District of Texas, filed the lawsuit in federal court in Dallas Tuesday, asking the court for a declaration that by standing in opposition to the plan, the insurers have breached their contracts.