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Judge rules church property subject to bankruptcy settlement
OregonLive.com ^ | 12/30/2005 | WILLIAM McCALL

Posted on 12/31/2005 12:13:04 PM PST by Clint Williams

PORTLAND, Ore. (AP) — A bankruptcy judge ruled Friday that the Archdiocese of Portland, not its parishes, owns church assets, dealing a major blow to its efforts to protect church property from lawsuits filed by alleged victims of priest sex abuse.

The Portland archdiocese became the first in the nation to declare bankruptcy when it filed for protection from creditors in July 2004, just before the scheduled start of jury trials for victims seeking more than $155 million in damages.

Since then, the archdiocese has been trying to protect church buildings throughout Western Oregon from being included in settlements with alleged victims, arguing that the properties are owned by individual parishes, and not the archdiocese.

Dozens of abuse claims are still pending against the archdiocese, seeking at least $400 million in damages.

The ruling by U.S. Bankruptcy Judge Elizabeth Perris settles one of the main questions on the bankruptcy — whether accepting the jurisdiction of a federal court might violate the First Amendment rights of the church to the "free exercise" of religion by forcing it to ignore church law on ownership.

"There is no First Amendment impediment to this court's jurisdiction," Perris wrote.

The ruling means that in principle, church real estate can be used for settlements with sex abuse victims.

However, Perris left open the question of whether the sale of individual church properties could pose an unfair burden on the practice of religion under the Religious Freedom and Restoration Act of 1993.

Her ruling supports an earlier decision in the bankruptcy of the Diocese of Spokane in Washington state, which sought protection from creditors shortly after the Archdiocese of Portland.

In the Washington case, U.S. Bankruptcy Judge Patricia Williams said Spokane Bishop William Skylstad agreed to abide by federal law when he voluntarily entered the diocese into bankruptcy, and cannot claim that ownership must decided by church law.

Perris also rejected archdiocese arguments that church law — canon law — should trump federal law when determining ownership of assets.

The archdiocese had claimed that applying federal law could violate the First Aendment by disrupting the internal governance of the church.

Perris wrote that the archdiocese "argues that, if this court does not apply the church's canon law view of property ownership in the civil bankruptcy arena, the result will be a realignment of the church's polity in violation of the First Amendment."

"I disagree," she wrote.


TOPICS: Crime/Corruption; Culture/Society; News/Current Events; US: Oregon
KEYWORDS: abusivepriests; bankruptcy; portlandor; ruling
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1 posted on 12/31/2005 12:13:05 PM PST by Clint Williams
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To: Clint Williams

This is what happens when a demonination does not police themselves, the Government has too.


2 posted on 12/31/2005 12:15:24 PM PST by zzen01
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To: Clint Williams

Shame on the bishops who were accessories to these terrible crimes..


3 posted on 12/31/2005 12:15:50 PM PST by brainstem223
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To: Clint Williams

Isn't this completely opposite of a recent ruling following the Anglican Church where breakaway churchs were declared the owners of the property-NOT the national.


4 posted on 12/31/2005 12:17:35 PM PST by packrat35 (The America hating bastards at the NYT must spend their entire life with their heads in the toiletat)
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To: brainstem223

Yeah, because it's the parishioners who are now being made to suffer for those crimes.


5 posted on 12/31/2005 12:18:22 PM PST by SoDak
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To: zzen01
"This is what happens when a demonination does not police themselves"
Good and creative language use. Thanks for a smile.
6 posted on 12/31/2005 12:23:00 PM PST by GSlob
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To: Clint Williams
So now we have a judge deciding on the internal organizational structure of a church. First Amendment, anyone?
7 posted on 12/31/2005 12:24:22 PM PST by JoeFromSidney (My book is out. Read excerpts at www.thejusticecooperative.com)
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To: Clint Williams
When I first heard this, my first thought was "Good!"

The best way to focus an administrator's attention is to hit him in the pocketbook. If this means the Bishop has to wind up living in a trailer park, then so be it. Let it be a lesson for future leaders of the church that you don't ignore something as heinous as this, or try to sweep it under the rug.

8 posted on 12/31/2005 12:30:20 PM PST by COBOL2Java (The Katrina Media never gets anything right, so why should I believe them?)
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To: GSlob

Blew right past that one, thanks.


9 posted on 12/31/2005 12:35:01 PM PST by Joe Boucher (an enemy of islam)
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To: Clint Williams
Couldn't have happenned to a nicer bunch of degenerates.

Feel bad for the Parishioners though.

10 posted on 12/31/2005 12:36:23 PM PST by Clemenza (Smartest words ever written by a Communist: "Show me the way to the next Whiskey Bar")
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To: GSlob

Spell Check is MY friend!


11 posted on 12/31/2005 12:36:24 PM PST by zzen01
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To: JoeFromSidney

"First Amendment, anyone?"

How does ruling on the ownership of a building deny the free exercise of religion?


12 posted on 12/31/2005 12:38:33 PM PST by Poison Pill
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To: NYer; Salvation

ping


13 posted on 12/31/2005 12:38:43 PM PST by TXBSAFH ("I would rather be a free man in my grave then living as a puppet or a slave." - Jimmy Cliff)
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To: TXBSAFH

Thanks for the ping. I was not aware this had come down.


14 posted on 12/31/2005 1:07:22 PM PST by Salvation (†With God all things are possible.†)
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To: TXBSAFH; oregon; abcraghead; aimhigh; Archie Bunker on steroids; bicycle thug; blackie; ...

Oregon Ping

Please notify me via FReepmail if you would like to be added to or taken off the Oregon Ping List.

15 posted on 12/31/2005 1:08:36 PM PST by Salvation (†With God all things are possible.†)
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To: Clint Williams; narses; annalex; Smartass

**However, Perris left open the question of whether the sale of individual church properties could pose an unfair burden on the practice of religion under the Religious Freedom and Restoration Act of 1993.**

Does anyone know anything about this?


16 posted on 12/31/2005 1:09:52 PM PST by Salvation (†With God all things are possible.†)
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To: zzen01

Why, sometimes unintentional misspellings uncover for us the most deep and profound truths. BTW, it should have been "demoniation", without the second "n" for increased clarity.


17 posted on 12/31/2005 1:16:08 PM PST by GSlob
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To: Salvation

You are welcome.


18 posted on 12/31/2005 1:19:09 PM PST by TXBSAFH ("I would rather be a free man in my grave then living as a puppet or a slave." - Jimmy Cliff)
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To: GSlob

Na, I am just a lousy speller and typist, nothing more.


19 posted on 12/31/2005 1:20:04 PM PST by zzen01
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To: zzen01

So am I and almost everyone else. But when there is a smile coming out of it, it is to be enjoyed and cherished.


20 posted on 12/31/2005 1:22:33 PM PST by GSlob
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