Penn State Settles with 26 Victims in Jerry Sandusky Sexual Abuse Scandal for $59.7 Million

According to Penn State News, the University of Penn State has settled with 26 victims for $49.7 million as  a result of the Jerry Sandusky sexual abuse scandal. Officials state that the settlement amounts will not be funded by student tuition, taxpayer funds or donations, but rather by various liability insurance policies. The terms of the settlement include a confidentiality agreement. Sandusky is currently in prison after being found guilty on 45 counts of child sex charges including 25 felonies.

Penn State officials announced today (Oct. 28) that over the past few months the University has reached agreement with 26 of the victims of former assistant football coach Gerald Sandusky. The terms of the settlements, which include a release of all claims against Penn State and other parties, are subject to confidentiality agreements. Of the 26 settlements, 23 are fully signed and three are agreed in principle, with final documentation expected within the next few weeks.

The aggregate dollar amount paid by the University for the 26 settled claims is $59.7 million and will be reflected in the University’s audited financial statements for the year ended June 30, 2013.

“The Board of Trustees has had as one of its primary objectives to reach settlements in a way that is fair and respects the privacy of the individuals involved,” said Keith Masser, chair of the Board of Trustees. “This is another important milestone in accomplishing that goal. I would like to thank the board’s Legal and Compliance Committee, as well as its Legal Subcommittee for its leadership throughout this process.”

As reported at USA Today, PSU President Rodney Erickson called the agreements “another step forward in the healing process for those hurt by Mr. Sandusky, and another step forward for Penn State.”

Harrisburg lawyer Ben Andreozzi, who represents nine of the victims, said he was pleased with the settlements.

“Obviously no amount of money can compensate for what these young men have gone through,” he said. “But Penn State has given them the resources — financially and counseling — they need to help them recover.”