Mr. Koven's analysis is plausible. But....Which court determines whether a
fraud was perpetrated? Is it the bankruptcy court? And the standard of good
moral character is supplied by cannon law? State law? Common law fiduciary
responsibilities?
Marc Stern

-----Original Message-----
From: [EMAIL PROTECTED]
[mailto:[EMAIL PROTECTED] On Behalf Of Vance R. Koven
Sent: Thursday, July 08, 2004 12:27 PM
To: [EMAIL PROTECTED]
Subject: Re: FW: Interesting question: Portland Archdiocese Filing Chapter
11

At 11:47 AM 7/8/2004, [EMAIL PROTECTED] wrote:
>So, help me understand the application of fraud law to the diocesan ... 
>paedophile priest scandal.

1. Diocese knowingly conceals (and thereby misrepresents) priest's 
predilection to pedophilia from parishes and parishioners (which we've 
agreed by hypothesis, though of course the scienter part has to be proven 
case by case).

2. Parishes and parishioners rely on the priest's good moral character as 
the basis on which he is allowed to interact unsupervised with minors (a 
reasonable assumption, though  this may need proof as well).

3. Priest is not as represented, owing to the concealed character defect.

4. As a result of the inherent and undisclosed defect in the priest, the 
priest sexually assaults minor parishioners.

5. Parishioners, at the least, suffer medical and emotional damage whose 
extent can be quantified for purposes of computing an award (they may also 
suffer other forms of economic injury, such as church school tuition and 
contributions paid). Parishes, if not included within the diocese's 
bankruptcy petition, may suffer damages for the vicarious liability they 
have for the priest.

Where I think Jim is not getting the connection is in thinking that the 
damages for fraud must be a decrease in the market value of an asset, or 
the failure in performance of a contract, rather than the full panoply of 
direct losses a plaintiff can suffer as a result of [the absence of] the 
concealed fact. While it is more direct to state a claim based solely on 
the tortious acts of the priest and hold the diocese responsible based on 
respondeat superior and a variety of other direct and vicarious liability 
theories, the fraud theory could hold up, too. If it does, then the diocese 
might find an undischargeable debt on its hands.


Vance R. Koven
Boston, Massachusetts USA
[EMAIL PROTECTED]  

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