The Roman Catholic Diocese of Albany, New York Bankruptcy Case
The Roman Catholic Diocese of Albany, New York
Stage
●Current stage: Filed
→○Future stage: DIP financing
→○Future stage: Plan filed
→○Future stage: Plan confirmed
→○Future stage: Plan effective
→○Future stage: Closed
Case timeline
Current updates are not available. Earlier updates remain below for historical context and may no longer reflect the case’s current position.
Earlier updates
These updates were replaced by later case developments and may no longer reflect the current case.
The Official Committee of Unsecured Creditors moved to compel the Diocese to produce discovery supporting its proposed $8 million settlement with Michael Harmon, arguing the amount is more than 10 times the Diocese’s next-highest prior sexual-abuse settlement of $750,000. The underlying Harmon settlement motion asks the court to approve a stipulated judgment intended to function like a jury verdict, with Harmon able to seek stay relief to enter judgment only to pursue proceeds from London Market Insurers and Interstate Fire & Casualty.
The Committee says it served discovery on January 27 and received only a redacted list of prior settlements, without the factual basis, damages analysis, legal theories, or settlement rationale needed to test reasonableness. Its motion to compel also challenges the Diocese’s common-interest privilege assertions over communications with insurers, noting those insurers have objected to the settlement and are adverse in related coverage litigation. The fight matters because the Harmon deal could become a valuation and insurance-recovery anchor for broader abuse-claim negotiations, and the settlement motion is set for a May 14, 2026 hearing.
