In a historic settlement on Friday, the Boy Scouts of America agreed to give $850 million to tens of thousands of former scouts to settle sexual abuse claims.

This agreement is the largest ever child sexual abuse settlement in the history of the US.

The lawsuit was filed by more than 84,000 boys who alleged they were sexually abused over the past sixty or so years. Due to the excessive costs of this massive lawsuit, the Boy Scouts of America filed for bankruptcy in 2020.

Allegations of sexual abuse have haunted the Boy Scouts since the early 1960s. Former boy scouts, many already in their sixties, allege both volunteers and leaders sexually abused them repeatedly during their childhood stint in the 110-year old non-profit.

Armed with their powerful testimony, these tens of thousands of victims, whose motto in the Boy Scouts was "Be Prepared," aptly lived up to their slogan and agreed to the gigantic settlement.

The settlement is the first one agreed upon with the Boy Scouts sexual abuse victims, but one of many lawsuits pending against them.

Attorney Ken Rothweiler, who represents over 16,800 of the plaintiffs, said in a statement that his clients are happy with the settlement. He plans to put the insurance rights from over four decades in a special trust that the survivors will control, saying it might grow to over billions for the group.

Rothweiler, one of three lead attorneys representing the victims, is a former Boy Scout and a sexual abuse survivor.

"I am pleased that both the BSA and their local councils have stepped up to be the first to compensate the survivors," Rothweiler said. "We will now negotiate with the insurers and sponsoring and chartering organizations who have billions of dollars in legal exposure, of which a substantial portion is necessary to fairly compensate the survivors."

One of the older victims said that he is pleased the organization publicly acknowledges the decades of sexual abuse.

"As a former Boy Scout who is a sexual abuse survivor, I am gratified that the Boy Scouts are taking responsibility for the sexual abuse that occurred to me and others that we have had to live with for decades," the 65-year-old sexual abuse survivor said. "This acknowledgment by the Boy Scouts will start the process of healing for many of us who have suffered."

The Boy Scouts are grappling with the Chapter 11 bankruptcy, their soiled reputation, and the mechanics of paying the tens of thousands of victims.

In a new agreement, the US local Boy Scout councils are required to contribute to the massive settlement fund. Court documents state that in total, they must pay at least a minimum of $300 million.

The Boy Scouts released a statement on Friday saying the settlement will help clear the way for their emergence from bankruptcy while local chapters fund the Trust for survivors.

"This agreement will help local councils make their contributions to the Trust without additional drain on their assets, and will allow them to move forward with the national organization toward emergence from bankruptcy," The Boy Scouts statement notes. It continues, "There is still much to be done to obtain approval from the Court to solicit survivors to vote for the BSA's amended Plan of Reorganization. However, with this encouraging and significant step forward, the BSA is wholeheartedly committed to working toward a global resolution. Our intention is to seek confirmation of the Plan this summer and emerge from bankruptcy late this year."

The Boy Scouts released a statement saying the national organization will pay $250 million to the new Trust, about $500 million from 250 local councils, plus another $100 million funded by contributions made initially to "overfunded" employees and executives' pension plans.

Public reports state the non-profit Boy Scouts of America owns about $1 billion of assets, including large swaths of land across the US. The organization also has large financial investments, owns art valued at about $50 million, and other holdings.

As part of the settlement, the Boy Scouts must make non-monetary commitments to the sexual abuse victims, provide new youth protection measures, create a reporting system, form a Child Protection Committee, and provide information about abuse claims to the public.