Edmund Rice Education Australia to Fight Abuse Survivor Claims

The entity that benefited from vast land and property transfers from the Christian Brothers will fight a move by abuse survivors to make it liable for compensation claims, triggering a potentially costly battle that has “high court written all over it”.

The Christian Brothers has a shocking record of clergy abuse – one of the worst of any Catholic church entity – and is facing hundreds of current and future abuse cases estimated to be worth $774m.

But the religious order last month told a court it was going broke and could no longer afford to meet the compensation claims, instead proposing a scheme where it would sell off its remaining 36 properties, worth about $217m, and divide the proceeds between a range of creditors, including survivors.

The move prompted scrutiny of the transfer of vast and wealthy tracts of land, school buildings and homes to another entity, the Trustees of Edmund Rice Education Australia, for nominal amounts of $1, over the past decade.

Edmund Rice Education Australia was created in 2007 and now runs former Christian Brothers schools. It is named after the founder of the Christian Brothers, but maintains it is an independent entity. It continues to hold vast wealth, reporting net assets of $2.3bn and $345m in cash as of December 2024.

Survivors, fearing they will be left without proper compensation when the Christian Brothers order fails, are seeking to transfer their claims to Edmund Rice Education Australia.

The first case to attempt to do this, brought by two abuse survivors in Victoria, appeared in the Victorian supreme court on Friday. Their case will have widespread ramifications and is being closely watched by other survivors in Victoria and interstate.

The court heard the Trustees of Edmund Rice Education Australia did not consent to being made the proper defendant to the survivors’ claims.

It is also opposing a push to have the court appoint it as a defendant. That will require a hearing in August, which will consider the historical relationship between the Christian Brothers and Edmund Rice Education Australia.

The court heard the case was highly complex and had “high court written all over it”, indicating a protracted and costly court battle.

The matter will return to court next week and a hearing is likely to take place in early August.

It will have significant consequences for other cases before the Victorian courts. It will also have ramifications for the property sell-off scheme proposed by the Christian Brothers, because if survivors are able to sue Edmund Rice Education Australia, it will reduce the liability on the Christian Brothers.

In Australia, children, young adults, parents and teachers can contact the Kids Helpline on 1800 55 1800; adult survivors can seek help at Blue Knot Foundation on 1300 657 380. In the UK, the NSPCC offers support to children on 0800 1111, and adults concerned about a child on 0808 800 5000. The National Association for People Abused in Childhood (Napac) offers support for adult survivors on 0808 801 0331. In the US, call or text the Childhelp abuse hotline on 800-422-4453. Other sources of help can be found at Child Helpline International