Michigan State to pay Nassar victims $500 million in settlements

DETROIT (TNS) – Michigan State University has settled hundreds of lawsuits filed against it by the survivors of MSU doctor Larry Nassar's sexual assaults.

The settlement, which covers all 332 current claimants, will cost Michigan State $500 million. The school will pay $425 million now and hold $75 million in reserve in case other Nassar victims come forward. The details on how much money each survivor will get are still being worked out.

MSU will now work on how it will pay the settlement, MSU spokeswoman Emily Guerrant said.

Survivor attorney James White said this is a chance for the survivors to begin to move forward.

“I don't think they can ever be made whole, but this is a step in the right direction,” he said.

The deal was announced Wednesday following two days of closed-door mediation sessions between lawyers for the university and the survivors.

Terms of the settlement are as follows:

$425 million dollars will be paid to all current claimants

$75 million dollars will be set aside in a trust fund to protect any future claimants alleging sexual abuse by Nassar

The settlement was approved by the MSU board in a conference call Tuesday night.

“There will be no confidentiality agreements or non-disclosure agreements attached to the settlement,” according to a joint press release from the survivors and the university. “Additionally, the parties must act to address items necessary to finalize the agreement. The settlement applies to only Michigan State University and MSU individuals sued in the litigation. It does not address claims against USA Gymnastics, the United States Olympic Committee ... or any other parties.”

Nassar stands accused of molesting dozens of female student athletes while he was a doctor at MSU. He was sentenced Dec. 7, 2017, to 60 years in federal prison on child pornography charges and is currently in a maximum-security federal prison in Tucson, Ariz.