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Allocation Issues for Settling Weinstein Sex Assault Claims
Dominating the headlines prior to COVID-19 hijacking our lives was the highly-covered, high-stakes trial of Harvey Weinstein in New York County Criminal Court. On March 11, 2020, the sentence was handed down of 23 years in prison for Weinstein's rape of actress Jessica Mann and sexual assault of former production assistant Miriam Haley, after six women testified in a three month trial. The moment was a stunning vindication of truth to power. Weinstein continues to face trial in California on additional charges of sexual assault where, if convicted, he would face additional severe penalties including a possible life sentence.
Yet, pressing questions remain. What took so long? What of those legal advisors who investigated Weinstein's alleged wrongdoing under the attorney/client privilege and possibly enabled the very actions of which Weinstein was later convicted? What of those attorneys who are defending Weinstein and The Weinstein Company officers and being paid from settlement proceeds that arguably should go to the very women he victimized? What price of ultimate justice? The time, the cost, the process, the publicity, the uncertainty. The lack of compensation. The absence of closure.
This article examines the recent judicial dialogue concerning allocation of Weinstein settlement proceeds among Weinstein crime victims, Weinstein Company creditors and defense counsel who have defended the Weinstein corporate officers and directors, and the overall negative impact these various episodes of the Weinstein settlement story likely have on victims' willingness to participate or come forward at all.
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