Child Abuse Settlements Archives

A federal court in Utah has ruled that The Church of Jesus Christ of Latter-day Saints must bear full financial responsibility for a sexual abuse settlement tied to one of its former members, after insurance companies refused to cover the claim, Salt Lake City's ABC affiliate News 4 reported Saturday. The decision, issued April 6 by the U.S. District Court in Salt Lake City, stems from a lawsuit the Church filed against National Union Insurance and ACE Property & Casualty Co. in 2021. The LDS Church argued that the insurers had breached their contracts by refusing to pay out claims related to a sexual abuse settlement involving Michael Jensen, a man accused of abusing multiple children in West Virginia while affiliated with the Church. According to court documents, the underlying lawsuit accused the LDS Church of failing to report suspected child sexual abuse as required under West Virginia law, and of failing to protect children from Jensen. Although the Church ultimately settled the case, its insurance providers declined to cover the costs, prompting the Church to sue for breach of contract. However, the Utah court rejected the Church’s claims, ruling that the insurance companies “did not owe the church a duty to defend or indemnify under any implicated policy.” The court further found that the insurers had not violated any terms of their agreements with the Church or the implied covenant of good faith and fair dealing. While the exact financial terms of the West Virginia settlement remain sealed, the ruling affirms that the LDS Church alone is responsible for those payments — a significant setback in its legal and financial efforts to offset liability in child abuse-related cases. The decision does not change the legal rights of other survivors currently pursuing litigation, but it could influence the Church’s future strategy. Without the backing of insurers to cover costs, the LDS Church may become more selective in settlement discussions, or more aggressive in defending cases — potentially creating new challenges for survivors seeking compensation. This ruling arrives as the Church continues to face mounting scrutiny for how it handles reports of sexual abuse. In 2022, an investigation by the Associated Press revealed how an Arizona bishop, following LDS Church policy, contacted the Church’s internal “Help Line” after learning that a member of his congregation was allegedly abusing his 5-year-old daughter. Church attorneys staffing the line reportedly advised the bishop not to report the abuse to law enforcement, citing clergy-penitent privilege. As a result, the abuse continued for another seven years. That case, involving Paul Douglas Adams — a U.S. Border Patrol employee living in Bisbee, Arizona — led to renewed criticism of the Church’s internal reporting procedures. Adams was eventually arrested in 2017 after abusing both of his daughters. The Associated Press later obtained thousands of sealed court records that exposed how the Church’s Help Line has, in many instances, been used to shield abuse complaints from external authorities. The West Virginia ruling only further highlights the Church’s broader accountability concerns in sexual abuse litigation nationwide.If you or someone you love is a survivor of sexual abuse connected to the LDS Church, you are not alone—and you have legal rights. To learn more about your options and how to seek justice, visit SurvivorsRights.com’s Mormon Church Sexual Abuse Lawsuit page.

Child Abuse Settlements

LDS Church Must Pay Its Own Sexual Abuse Settlement in West Virginia Case, Court Rules

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Child Abuse Settlements

LDS Church Must Pay Its Own Sexual Abuse Settlement in West Virginia Case, Court Rules

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