HomeNewsLocalL.A. County Approves $828M Sex Abuse Settlement Amid Fraud Concerns

L.A. County Approves $828M Sex Abuse Settlement Amid Fraud Concerns

Los Angeles County officials finalized an $828-million settlement on Tuesday (October 28) for survivors of childhood sexual abuse by county workers. This settlement follows a previous $4-billion agreement, bringing the county’s total spending on sex abuse litigation to nearly $5 billion this year. The settlements stem from claims allowed under AB 218, which temporarily lifted the statute of limitations on childhood sexual abuse allegations.

The latest settlement involves 414 plaintiffs represented by three law firms: Arias Sanguinetti Wang & Team, Manly, Stewart & Finaldi, and Panish Shea Ravipudi. Concerns have arisen over the legitimacy of some claims in the previous $4-billion settlement, with allegations that some plaintiffs were paid to sue the county. The Downtown LA Law Group (DTLA), representing over 2,700 clients in the initial settlement, has denied any wrongdoing and stated that it seeks “justice for real victims” of sexual abuse.

The county has implemented stricter review processes to ensure the legitimacy of claims. According to the Los Angeles Times, DTLA cases will undergo a “completely new level of review,” including vetting by a retired Superior Court judge. DTLA is required to disclose any recruiters used and provide detailed information about funds exchanged.

The settlements have financial implications for the county, leading to budget cuts in various departments. County officials continue to express concerns over the potential for fraudulent claims and the impact of AB 218, which they argue has left them vulnerable to decades-old claims without sufficient records.

In response to fraud allegations, NBC Los Angeles reports that the county will require plaintiffs to provide detailed factual summaries under penalty of perjury. Any fraudulent claims will be removed from the settlement process.

The settlements aim to compensate victims while protecting taxpayers from fraud. However, the process may face delays as claims are thoroughly vetted to ensure only legitimate victims receive compensation.

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