Nearly a year after a settlement that ended the first bankruptcy in the nation declared by a Roman Catholic diocese, a dispute over the disclosure of church documents is headed back to federal court. Attorneys for priest sex abuse victims in Oregon contend the documents show church leaders knew more about the abuse than they have ever admitted.
But the church says the disclosure remains a legal matter best left to the courts to decide.
The release of the documents was part of the agreement reached last April to settle about 175 sex abuse claims against the Archdiocese of Portland for more than $50 million.
But negotiations for the release of those documents have broken down, sending the case back to U.S. Bankruptcy Judge Elizabeth Perris for a ruling that could finally settle the matter.
If her March 13th hearing doesn't settle things, the case could be sent back to the two judges who acted as mediators. One would mediate, and if it's still in dispute, the other would settle it once and for all with binding arbitration.
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