Who Gets the $380 Million Larry Nassar Settlement?
The Larry Nassar case involves 500 women and girls who are survivors of sexual abuse. So, who gets the $380 million settlement that the courts revealed on Dec. 13?
Dec. 14 2021, Published 11:23 a.m. ET
Larry Nassar's 500 sexual abuse survivors are on many peoples' minds as a $380 million settlement comes to fruition. The former USA Gymnastics team doctor is already serving life in prison in a central Florida-based high-security prison. Now, fiscal justice is being served.
With so many women and girls who survived Nassar's abuse, there are still a lot of unanswered questions. Where does the $380 million come from, how does it get divvied up, and who's poised to receive a piece of the settlement?
The court approved the settlement and a USA Gymnastics reorganization.
Nassar's survivors approved the $380 million settlement in tandem with the USA Gymnastics and the USOPC (United States Olympic & Paralympic Committee).
At the same time, the U.S. Bankruptcy Court for the Southern District of Indiana approved a structural reorganization for the USA Gymnastics team. The organization has been operating in bankruptcy since 2018 and can now prepare to emerge from bankruptcy by the end of 2021.
Why the money matters in the Larry Nassar case.
Nassar is already in prison, but the impact of his abuse is deeply imprinted. He left hundreds of women and girls with anxiety, post-traumatic stress disorder (PTSD), suicidality, and other mental health conditions rooted in trauma.
Nassar survivor Rachael Denhollander said about the $380 million settlement, "No amount of money will ever repair the damage that has been done and what these women have been through. [...] But at some point, the negotiations have to end because these women need help—and they need it right now."
Who's paying the Nassar settlement?
The $380 million settlement for Nassar's victims comes from USA Gymnastics, USOPC, and the organizations' insurers. However, TIG Insurance will pay the majority of the funds to allow the organizations to escape bankruptcy.
Survivors will also get board seats in both organizations as part of the deal. USOPC is allocating an additional $5 million to develop policies that protect future athletes.
Who's receiving money from the Nassar settlement?
The $380 million will be split between the 500 known Nassar survivors in the form of a trust. This amounts to about $760,000 per person. That includes Simone Biles, Aly Raisman, and McKayla Maroney, all of whom have won Olympic gold medals for the U.S. gymnastics team.
According to USA Gymnastics, "Compensation will be distributed to survivors in accordance with the allocation schedule developed and approved by the Survivors' Committee." The settlement is one of the largest for a sexual assault case in history and potentially marks a new era for holding organizations accountable in their role of abuse and corruption.
Li Li Leung, the president and CEO of USA Gymnastics, wrote in a statement, “U.S.A. Gymnastics is deeply sorry for the trauma and pain that survivors have endured as a result of this organization’s actions and inactions." Leung added that the organization will prioritize the safety, health, and wellness of its athletes moving forward. For Nassar's hundreds of survivors, future gymnasts, and the families of young children who go into the sport, actions will speak much louder than words.
