Contact: Countywide Communications, pio@ceo.lacounty.gov
FOR IMMEDIATE RELEASE
October 17, 2025
LA County Announces Tentative Settlement of Additional AB 218 Cases and Heightened Anti-Fraud Provisions
If approved, up to $828 million will be distributed to victims of alleged childhood sexual abuse in County facilities
A second major settlement agreement has been reached in more than 400 cases filed against LA County under AB 218, which lifted the statute of limitations on claims of childhood sexual abuse.
If the settlement is approved by the County Claims Board and the Board of Supervisors, an independent allocator will distribute up to $828 million to claimants and their attorneys, with individual awards set by the allocator based on factors including the severity of abuse alleged. The credibility of every individual claim will be reviewed, and plaintiffs determined to have submitted fraudulent claims will receive no money from the settlement.
“The system created by AB 218 (Gonzalez) is inherently vulnerable to fraud, but the County established fraud protections from the beginning of the settlement discussions and has now strengthened the review process to further ensure that money goes only to the true victims of abuse,” said Los Angeles County Board of Supervisors Chair Kathryn Barger. “Our settlements balance our obligation to compensate victims and treat their experiences with compassion with the need to put strong protections in place to protect taxpayers from fraud.”
The tentative settlement comes after a $4 billion settlement was reached in April 2025 with attorneys representing more than 11,000 claimants. The County is also facing an estimated 2,500 additional cases beyond those covered by the two settlements, for a total of more than 14,000—a figure that is expected to rise and continue to pose extreme challenges for the County’s budget unless legislative reforms are enacted.
Each claim in both the April and October settlements has undergone or will undergo an extensive fraud analysis by both County attorneys and the allocators. The County is disclosing details of the vetting process—in light of recent media reports alleging that some plaintiffs were induced to provide false claims in exchange for cash.
Among the protections in place:
- Every plaintiff must complete a detailed, multi-page written factual summary, under penalty of perjury, of the circumstances of the alleged misconduct and resulting harms. No one will be exempt from this process.
- Plaintiffs suspected of fraudulent claims will be required to make a substantiated showing before an independent allocator, who may require additional proof of claims.
- Claims brought by DTLA Law Group in the April settlement will undergo an additional level of review. The firm, which has denied any wrongdoing, has been identified by the Los Angeles Times as representing some plaintiffs who say they were offered cash to submit claims. The higher level review may require plaintiff interviews and additional proof of allegations, depending on the nature of the claim and the suspected fraud.
- Independent allocators will evaluate claims from both settlement groups. All of the allocators are retired judges with decades of experience in conducting similar reviews.
- If any allocator finds claims to be fraudulent, the plaintiff submitting that claim will not receive any payment and can be removed from the settlement process.
County Counsel Dawyn R. Harrison underscored the County’s determination to root out fraudulent claims.
“The conduct alleged to have occurred by the DTLA firm is absolutely outrageous and must be investigated by the appropriate authorities. Not only does it undermine our justice system, it also deprives legitimate claimants of just compensation,” Harrison said. “While both settlements have protections to ensure that this is not a windfall for fraudulent plaintiffs, legislative protections must be put in place to ensure unscrupulous lawyers don’t get windfalls at the expense of survivors of abuse.”
As directed by the Board of Supervisors, County Counsel may also refer attorneys alleged to have directly or indirectly made payments to solicit clients to the State Bar for possible disciplinary action.
AB 218 opened the door to unfounded claims because extending the time survivors have to file suits against public entities inevitably allows for cases to be filed without meaningful evidence and encourages a rush to the courts.
The claims in the two settlements date back decades—from 1959 to 2023—and the County’s ability to assess the validity of allegations was hampered by a lack of records, the sheer number of cases and court ordered limits on legal discovery.
An exhaustive discovery process for more than 11,000 cases, particularly where evidence is scarce, would have been prohibitively time-consuming and costly. Instead, the allocation review process was put in place to provide essential oversight.
Acting Chief Executive Officer Joe Nicchitta emphasized the severe financial stresses that AB 218 costs have placed on LA County, requiring cutbacks in critical programs and services to residents.
“LA County and other local governments must balance their obligations to past victims with the need to avoid ruinous financial impacts that would undermine the very social safety net services that our young people, families and communities depend on today,” Nicchitta said. “Our safeguards reduce and manage the risk inherent in AB 218—but they cannot erase it. We look forward to continuing to work with our legislative partners in Sacramento—alongside victim rights advocates—to come up with common sense fixes that strike the right balance for victims and LA County and other public entities struggling to pay judgments.”
Beyond the anti-fraud measures in place, the County is also continuing to implement a wide-ranging set of reforms and systemic changes that are needed to keep young people safe—including:
- A new hotline and website for reporting child sexual abuse allegations against County employees that is expected to be up and running by the end of the year;
- An enhanced countywide Zero Tolerance policy to ensure the County takes immediate action to the fullest extent of the law when allegations of child sexual abuse are substantiated;
- Mandatory countywide training to identify and prevent childhood sexual abuse; and
- Planned reform of Civil Service Rules related to egregious conduct.
- More information about reforms made by individual departments can be found here: AB 218 LA County Summary of Reforms
For more information about the original settlement: LA County Reaches $4 Billion Tentative Settlement