The New York State Supreme Court heard oral arguments today as former St. Clare’s Hospital workers seek to recover their pensions. A resolution has not been reached.
Judge Vincent Versaci heard from lawyers representing the AARP, New York State Attorney General Tish James, and the Albany Roman Catholic Diocese.
The pensioners were hopeful that the hearing would clear the way for a trial, allowing them to be part of the diocese’s bankruptcy proceedings. The St. Clare's pension fund dried up in 2018.
The Albany Diocese declared bankruptcy in 2023 as it faces hundreds of lawsuits under the state’s Child Victims Act.
AARP, which is co-representing the pensioners alongside the attorney general, calls the hearing “a pivotal moment” in a legal battle that has spanned six years.
Attending the hearing was Mary Hartshorne, who has led the charge for pensioners who have received only a portion of what they were due...
"Unfortunately, the way they could've taken care of all this, but they they've managed to like, dot all their I's and cross their T's that show they have no money, but that Mother Cabrini Fund, which could take care of us and all abused victims, probably with one year, because 150 million is for needy New Yorkers. But apparently there's something there that this doesn't qualify for," said Hartshorne.
The outcome of the case could have implications for church-affiliated hospitals and their employees nationwide.
Louis Lopez, vice president of litigation at AARP foundation, spoke after the daylong hearing concluded. The parties couldn’t agree even after court during a meeting in the judge’s chambers.
"The judge said was that he was about 90% done drafting the decisions in this case, so this oral argument today helped crystallize some of the issues for him, answered the questions that he had that were remaining, and he expected to issue the decision, he said, shortly. So not sure exactly what that means, but we're hopeful that within the next week or two, we'll have a decision and then be able to request a status conference to schedule a trial for before a jury later this year," Lopez said.
135 of the 1100 pensioners have died waiting to receive their shares.
