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Presentment Date: July 23, 2012 at 10:00 a.m. Objection Deadline: July 16, 2012 at 4:00 p.m.

UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF NEW YORK In re: Chapter 11 Case THE CHRISTIAN BROTHERS INSTITUTE, et al., Case No. 11-22820 (RDD) Debtors. (Jointly Administered)

APPLICATION OF THE OFFICIAL COMMITTEE OF UNSECURED CREDITORS FOR ENTRY OF AN ORDER AUTHORIZING AND APPROVING THE EMPLOYMENT OF THE HONORABLE WILLIAM L. BETTINELLI (RET.) AS AN EXPERT ON THE VALUATION OF SEXUAL ABUSE CLAIMS The Official Committee of Unsecured Creditors (the Committee) appointed in the above-captioned cases (the Cases) of The Christian Brothers Institute (CBI) and The Christian Brothers of Ireland, Inc. (CBOI and, together with CBI, the Debtors), hereby submits this Application of the Official Committee of Unsecured Creditors for Entry of an Order Authorizing and Approving the Employment of the Honorable William L. Bettinelli (Ret.) as an Expert on the Valuation of Sexual Abuse Claims (the Application). In support of its Application, the Committee relies on the Declaration of the Honorable William L. Bettinelli (Ret.) (Judge Bettinelli and the Bettinelli Declaration) attached hereto as Exhibit A and respectfully represents as follows: INTRODUCTION 1. By this Application, the Committee seeks authorization and approval from

the Court to employ Judge Bettinelli as an expert on the amount of damages typically awarded in connection with sexual abuse claims, such as those asserted by the abuse survivors in these Cases. The Committee intends to present expert testimony from Judge Bettinelli at the August 6,
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2012 evidentiary hearing on the Committees motion for standing to prosecute CBIs fraudulent transfer claims against All Hallows Institute (AHI). CBI has objected to the Committees motion for standing on the grounds that avoidance and recovery of the fraudulent transfer to AHI may not be necessary because, according to CBI, sufficient other funds may be available to satisfy the claims of the sexual abuse survivors and other creditors in the Cases. The sufficiency of any such other funds, however, depends on (among other things) the amount of damages CBI owes to the sexual abuse claimants. 2. As a court-appointed claims reviewer and evaluator, Judge Bettinelli has

reviewed and evaluated the claims of over 900 victims of clergy abuse, and has allocated settlement proceeds among those claimants.1 Thus, the Committee seeks to employ Judge Bettinelli to (a) provide expert testimony regarding the amount of damages characteristically awarded to the victims of clergy abuse, and (b) extrapolate, based on his extensive prior experience with similar claims, the magnitude of damages the Debtors likely will owe to the sexual abuse claimants in these Cases.2 Judge Bettinellis testimony will directly counter CBIs attempt to downplay its potential liability to the sexual abuse claimants, and will thereby allow the Committee to effectively respond to CBIs objection to the Committees motion for standing. Therefore, for the reasons set forth herein, the Committee respectfully requests that the Court grant this Application. JURISDICTION 3. The Court has jurisdiction over this Application pursuant to 28 U.S.C.

157 and 1334. This matter is a core proceeding within the meaning of 28 U.S.C. 157(b)(2).

As used herein, the phrase clergy abuse refers to abuse suffered at the hands of clerics or others in the religious life. 2 Judge Bettinelli may review a representative sample of the sexual abuse claims filed in the Cases.

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Venue of this proceeding and this Application is proper in this District pursuant to 28 U.S.C. 1408 and 1409. The statutory bases for the relief requested herein are sections 328, 504, 1102 and 1103 of Title 11 of the United States Code (the Bankruptcy Code) and Rules 2014 and 2016 of the Federal Rule of Bankruptcy Procedure (the Bankruptcy Rules). BACKGROUND 4. On April 28, 2011, the Debtors filed voluntary petitions for relief under

chapter 11 of the Bankruptcy Code. The Debtors have continued in the possession of their property and have continued to operate and manage their business as debtors in possession pursuant to sections 1107(a) and 1108 of the Bankruptcy Code. No trustee or examiner has been appointed in these Cases. The purpose of these Cases is to address the Debtors liabilities for abuse perpetrated by Christian Brothers or others for whom the Debtors are responsible. 5. On May 11, 2011, the Office of the U.S. Trustee appointed the Committee

pursuant to 11 U.S.C. 1102. The Committee retained Pachulski Stang Ziehl & Jones LLP (PSZJ) as counsel to represent the Committee in all matters during the pendency of the Cases. On July 14, 2011, the Court approved the Committees retention of PSZJ. On June 13, 2012, the Court authorized the Committee to employ and retain Berkeley Research Group, LLC (BRG) as its accountant and financial advisor. 6. On May 1, 2012, the Committee filed its Motion for Authority to Assert,

Litigate and Settle Claims on Behalf of Bankruptcy Estate Relating to Fraudulent Conveyance to All Hallows Institute [D.I. 302] (the Motion for Standing). By the Motion for Standing, the Committee seeks derivative standing to prosecute an action to avoid and recover, for the benefit of CBIs bankruptcy estate and its creditors, CBIs 1990 transfer of certain real property and improvements associated with All Hallows High School (the All Hallows Transfer) to AHI, a -3DOCS_LA:255536.2 14012-002

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corporation formed by and affiliated with CBI. As described in the Motion for Standing, CBI made the All Hallows Transfer to AHI for (if anything) only nominal consideration, as part of a fraudulent asset protection scheme designed to make CBI a less financially attractive defendant in sexual abuse litigation. 7. CBI filed its objection to the Motion for Standing [D.I. 335] (Objection)

on May 25, 2012. In the Objection, CBI argued that the Court should not decide the Motion for Standing until after the August 1, 2012 bar date for sexual abuse claims in these Cases has passed because (a) only 32 abuse claims had been filed as of the date of the Objection, and (b) according to CBI, it is quite possible that the monies collected or to be collected from real property sales, coupled with available insurance proceeds, and monies collected via other pursuits (i.e., consideration given for third-party releases), may be sufficient to satisfy legitimate claims in these cases. See, e.g., Objection at 21, 23. By arguing that the monies collected or to be collected may be sufficient to satisfy the claims of the sexual abuse survivors and other creditors in these Cases, CBI has attempted to downplay the extent of its potential liability to the sexual abuse claimants, and thus has placed in issue the nature and magnitude of the damages suffered by the sexual abuse claimants. 8. On May 30, 2012, the Committee filed its reply [D.I. 339] (the Reply) in

support of the Motion for Standing and in response to the Objection. In the Reply, the Committee agreed that a ruling on the Motion for Standing should be deferred until after the August 1, 2012 bar date. The Committee also requested that the Court schedule an evidentiary hearing on the Motion for Standing. The evidentiary hearing on the Motion for Standing currently is scheduled for August 6, 2012 (the Hearing).

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9.

At the Hearing, the Committee intends to present evidence regarding,

among other things, (a) the amount and validity of the sexual abuse claims filed against CBI and (b) the additional value that avoidance and recovery of the All Hallows Transfer is likely to bring into CBIs estate. The Committee also has determined to retain Judge Bettinelli who, as discussed further below, has settled over 200 clergy abuse actions over the last twelve years and has scrutinized and valuated over 900 clergy abuse claims and to present Judge Bettinellis expert testimony at the Hearing. In particular, the Committee intends to present expert testimony from Judge Bettinelli regarding the amount of damages characteristically awarded to abuse claimants, such as the sexual abuse survivors in these Cases. Based on his extensive experience valuating similar abuse claims, Judge Bettinelli also will provide expert testimony regarding the magnitude of damages the Debtors likely will owe to the sexual abuse claimants in these Cases. The Committee anticipates that Judge Bettinellis testimony will directly counter CBIs attempt to downplay its potential liability to the sexual abuse claimants in these Cases. Thus, the Committee believes that it is necessary to employ Judge Bettinelli to ensure that the interests of the Committee, and general unsecured creditors, are adequately represented in connection with the Motion for Standing and the Hearing. RELIEF REQUESTED AND BASIS FOR RELIEF REQUESTED 10. By this Application, the Committee seeks to employ and retain Judge

Bettinelli as an expert on the valuation of sexual abuse claims on the terms set forth in this Application. The Committee understands that Judge Bettinelli will seek compensation from the Debtors estates and reimbursement of expenses incurred on the Committees behalf, subject to the applicable orders, guidelines and procedures in these Cases.

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11.

The Committee is familiar with the professional standing and reputation of

Judge Bettinelli, and understands and recognizes that Judge Bettinelli: is qualified as an expert on the valuation of clergy abuse claims and the allocation of settlement proceeds among clergy abuse claimants; has, as a court-appointed claims reviewer and evaluator, reviewed and evaluated the claims of over 900 victims of clergy abuse and allocated settlement proceeds among those claimants; has conducted more than 2000 mediations during his twenty-one year career as a full-time mediator with JAMS, the largest private alternative dispute resolution provider in the world, and has settled more than 200 clergy abuse actions over the past twelve years; and prior to joining JAMS, had a fourteen year judicial career during which time he was, among other things, the Presiding Judge (1984), the Principal Civil Law and Motion Judge (1986-1991) and the Presiding Judge of the Appellate Department (1985) of the Superior Court of Sonoma County, California. 12. In particular, the Committee is aware that Judge Bettinelli has extensive

experience as a claims reviewer and mediator in other cases involving clergy abuse, as follows: In 2005, Judge Bettinelli was appointed and served as a mediator in The Clergy Cases III, J.C.C.P. No. 4359 (Cal. Super.) (the Clergy III Cases). The Clergy III Cases comprised approximately 150 consolidated clergy abuse claims filed by Northern California abuse victims, and covered the

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dioceses of San Francisco, Sacramento, Stockton, Fresno, Santa Rosa, Monterey, San Jose and Oakland. In 2007, Judge Bettinelli mediated a settlement among approximately 115 claimants against the Society of Jesus, Oregon Province. Judge Bettinelli subsequently was appointed by the Settlement Trust Administrator as the claims reviewer to allocate the settlement proceeds among those 115 claimants. From 2007 through 2009, Judge Bettinelli mediated the claims of approximately 200 victims against the Catholic Bishop of Northern Alaska. When those claims were settled in bankruptcy, In re Catholic Bishop of Northern Alaska, Case No. 08-00110-dmd (Bankr. D. Alaska) (the CBNA Bankruptcy), Judge Bettinelli was appointed by the United States Bankruptcy Court for the District of Alaska as a tort claims reviewer under the confirmed plan. In that capacity, Judge Bettinelli reviewed and evaluated the claims of the abuse victims and allocated the settlement proceeds among them. Judge Bettinelli remains the reviewer of Future Claims in the CBNA Bankruptcy and, to date, has evaluated approximately ninety additional Future Claims. In February 2011, Judge Bettinelli was appointed by the United States Bankruptcy Court for the District of Oregon as an Abuse Claims Reviewer in In re Society of Jesus, Oregon Province, Case No. 09-303938-elp11 (Bankr. D. Or.) (the SoJ Bankruptcy). In that capacity, Judge Bettinelli reviewed and evaluated the claims of almost 300 abuse victims, and -7DOCS_LA:255536.2 14012-002

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allocated settlement proceeds among them. In the SoJ Bankruptcy, Judge Bettinelli remains the Future Claims Reviewer and, in that capacity, has reviewed and evaluated almost 250 additional abuse claims. Based on these facts, the Committee believes that Judge Bettinelli is exceedingly well qualified to render the services described below.3 13. The services that Judge Bettinelli will render to the Committee in his

capacity as an expert include, but shall not be limited to, the following: a. providing an expert report regarding the valuation of abuse claims,

such as those asserted by the abuse claimants in these Cases; b. testifying about the amount of damages typically awarded in

connection with abuse claims, such as those asserted by the abuse claimants in these Cases; c. providing an extrapolation, based on his extensive prior experience

with similar claims, of the magnitude of damages the Debtors likely will owe to the sexual abuse claimants in these Cases; and d. providing the Court with any additional information that may be

helpful in evaluating the Motion for Standing and the Objection. 14. The Committee intends to work closely with Judge Bettinelli to ensure

that there is no unnecessary duplication of services performed or charged to the Debtors estates. 15. The Committee submits that it is necessary to employ Judge Bettinelli to

ensure that the interests of the Committee, and general unsecured creditors, are adequately represented in connection with the Motion for Standing and the Hearing. In particular, the Committee submits that it is necessary to employ Judge Bettinelli, and to present expert
3

A copy of Judge Bettinellis Curriculum Vitae is attached as Exhibit 1 to the Bettinelli Declaration.

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testimony from Judge Bettinelli at the Hearing, in order to effectively respond to CBIs attempt to downplay its potential liability to the sexual abuse claimants in these Cases. Furthermore, the Committee believes that Judge Bettinelli is well suited to provide expert services to the Committee in connection with the Motion for Standing and the Hearing because of Judge Bettinellis particularized and extensive expertise regarding the valuation of abuse claims similar to those asserted by the abuse survivors in these Cases. JUDGE BETTINELLIS CONNECTIONS WITH PARTIES IN INTEREST 16. Judge Bettinelli has been appointed as the claims reviewer in at least two

other diocesan or religious order bankruptcy cases in which PSZJ has been retained, including the SoJ Bankruptcy and the CBNA Bankruptcy. Judge Bettinelli has consulted with PSZJ on multiple occasions since 2009 in connection with PSZJs role as creditors committee counsel and Judge Bettinellis role as the court-assigned tort claims reviewer, Abuse Claims Reviewer or Future Claims Reviewer in those bankruptcy cases. Judge Bettinelli also has been appointed as the claims reviewer in at least one other religious order bankruptcy case in which BRG has been retained, namely the SoJ Bankruptcy. 17. Moreover, counsel to abuse claimants in these Cases have or may have

represented (or currently represent) sexual abuse claimants in other cases which Judge Bettinelli mediated or in which Judge Bettinelli was appointed as the claims reviewer. In particular, as set forth in the Bettinelli Declaration, the following law firms represent sexual abuse claimants in these Cases and have or may have also represented sexual abuse claimants in other cases which Judge Bettinelli mediated or in which Judge Bettinelli was appointed as the claims reviewer: (a) Pfau Cochran Vertetis Amala PLLC; (b) Jeff Anderson & Associates; (c) Schroeter Goldmark & Bender; and (d) Leemon & Royer, PLLC.

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18.

Judge Bettinelli may have mediated other abuse claims involving entities

or organizations affiliated with the Debtors or their ecclesiastical counterparts. For instance, in or around 2008, Judge Bettinelli may have mediated an abuse claim against a Christian Brothers entity or organization, although Judge Bettinelli cannot specifically identify that entity or organization at this time.4 19. Finally, Judge Bettinelli practices in association with and is an owner of

JAMS. As set forth in the Bettinelli Declaration, one or more of the other neutrals who practice with JAMS may have participated in a proceeding with the parties in interest in these Cases, their attorneys, their accountants or other participants in these Cases. 20. To the best of the Committees knowledge, however, Judge Bettinelli has

no prior connection with the Debtors, their creditors, any other party in interest or their respective attorneys and accountants in the matters upon which he is to be engaged that would in any way disqualify him from assisting the Committee. Furthermore, to the best of the Committees knowledge, Judge Bettinelli has no prior connection with the U.S. Trustee, or any person employed in the Office of the U.S. Trustee, in the matters upon which he is to be engaged that would disqualify him from assisting the Committee. 21. Judge Bettinelli has indicated a willingness to act as an expert on the

Committees behalf in accordance with the terms of this Application. COMPENSATION 22. Subject to the Courts approval in accordance with section 330(a) of the

Bankruptcy Code, compensation will be payable to Judge Bettinelli on an hourly basis, plus

In 2008, Judge Bettinelli also mediated an abuse claim against De La Salle Institute. The Committee understands and recognizes, however, that the De La Salle Christian Brothers are not affiliated with the Debtors or their ecclesiastical counterparts.

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reimbursement of Judge Bettinellis actual, necessary expenses and other charges he incurs. Judge Bettinellis current rates are as follows: a. b. c. 23. Preparation of Report Providing Testimony Travel5 $800 per hour $800 per hour $400 per hour

Judge Bettinelli charges for all expenses incurred in connection with the

provision of his expert services. These expenses include, among other things, conference call charges, mail and express mail charges, special or hand delivery charges, document retrieval charges, photocopying charges, travel expenses, expenses for working meals, computerized research, transcription costs, and non-ordinary overhead expenses such as staffing overtime. Judge Bettinelli will bill for these expenses in a manner and at rates consistent with those charged to other clients, and in accordance with any rules, orders and guidelines applicable in these Cases. NOTICE 24. Notice of this Application has been given to (a) the U.S. Trustee; (b)

counsel to the Debtors; and (c) those parties requesting notice pursuant to Bankruptcy Rule 2002. The Committee submits that, in light of the nature of the relief requested, no other or further notice need be given. PRIOR REQUEST 25. The Committee has not made a similar Application in this Court or in any

other court to employ Judge Bettinelli in these Cases.

Not to exceed four hours per day.

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WHEREFORE, the Committee requests entry of an Order, substantially in the form attached hereto, authorizing the Committee to employ and retain Judge Bettinelli as an expert on the valuation of sexual abuse claims for the Committee, and granting such other and further relief as is just and proper.

Dated: Seattle, Washington July 5, 2012

/s/ Joseph Shanks Joseph Shanks, in his capacity as Co-Chairman of the Official Committee of Unsecured Creditors of The Christian Brothers Institute and The Christian Brothers of Ireland, Inc. /s/ Edwin Fowler Edwin Fowler, in his capacity as Co-Chairman of the Official Committee of Unsecured Creditors of The Christian Brothers Institute and The Christian Brothers of Ireland, Inc.

Dated: Newfoundland, Canada July 5, 2012

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EXHIBIT A

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Presentment Date: July 23, 2012 at 10:00 a.m. Objection Deadline: July 16, 2012 at 4:00 p.m. UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF NEW YORK In re: Chapter 11 Case THE CHRISTIAN BROTHERS INSTITUTE, et al., Case No. 11-22820 (RDD) Debtors. (Jointly Administered)

DECLARATION OF THE HONORABLE WILLIAM L. BETTINELLI (RET.) IN SUPPORT OF APPLICATION OF OFFICIAL COMMITTEE OF UNSECURED CREDITORS FOR ENTRY OF AN ORDER AUTHORIZING AND APPROVING EMPLOYMENT OF THE HONORABLE WILLIAM L. BETTINELLI (RET.) AS AN EXPERT ON THE VALUATION OF SEXUAL ABUSE CLAIMS I, Hon. William L. Bettinelli (Ret.), declare under penalty of perjury as follows: 1. I am a mediator, settlement judge and special master practicing in

association with JAMS, the largest private alternative dispute resolution provider in the world. I also am an owner of JAMS, which is headquartered in Irvine, California. Unless otherwise stated, I have personal knowledge of the facts stated in this Declaration and, if called as a witness, I could and would testify competently as to the facts set forth herein. I submit this Declaration in support of the Application of the Official Committee of Unsecured Creditors for Entry of an Order Authorizing and Approving the Employment of the Honorable William L. Bettinelli (Ret.) as an Expert on the Valuation of Sexual Abuse Claims (the Application).1 2. I believe that I am qualified to serve as an expert for the Committee as

detailed in the Application. Prior to joining JAMS in 1991, I had a fourteen year judicial career during which time I was, among other things, the Presiding Judge (1984), the Principal Civil Law and Motion Judge (1986-1991) and the Presiding Judge of the Appellate Department (1985)
1

Any terms not otherwise defined in this Declaration shall have the meanings ascribed to such terms in the Application.
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of the Superior Court of Sonoma County, California. During my twenty-one year career as a full-time mediator with JAMS, I have conducted more than 2000 mediations, and have settled more than 200 clergy abuse actions over the past twelve years. Moreover, as a court-appointed claims reviewer and evaluator, I have reviewed and evaluated the claims of over 900 victims of clergy abuse, and allocated settlement proceeds among those claimants. Attached hereto as Exhibit 1 is a copy of my Curriculum Vitae. 3. In 2005, I was appointed and served as a mediator in The Clergy Cases III,

J.C.C.P. No. 4359 (Cal. Super.) (the Clergy III Cases). The Clergy III Cases comprised approximately 150 consolidated clergy abuse claims filed by Northern California abuse victims, and covered the dioceses of San Francisco, Sacramento, Stockton, Fresno, Santa Rosa, Monterey, San Jose and Oakland. 4. In late 2007, I mediated a settlement among approximately 115 claimants

against the Society of Jesus, Oregon Province. I subsequently was appointed by the Settlement Trust Administrator as the claims reviewer to allocate the settlement proceeds among those 115 claimants. In February 2011, I was appointed by the United States Bankruptcy Court for the District of Oregon as an Abuse Claims Reviewer in In re Society of Jesus, Oregon Province, Case No. 09-303938-elp11 (Bankr. D. Or.) (the SoJ Bankruptcy). In that capacity, I reviewed and evaluated the claims of almost 300 abuse victims, and allocated settlement proceeds among them. In the SoJ Bankruptcy, I remain the Future Claims Reviewer and, in that capacity, I have reviewed and evaluated almost 250 additional abuse claims. 5. From 2007 through 2009, I mediated the claims of approximately 200

victims against the Catholic Bishop of Northern Alaska (Fairbanks Diocese). When those claims were settled in bankruptcy, In re Catholic Bishop of Northern Alaska, Case No. 08-00110-dmd

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(Bankr. D. Alaska) (the CBNA Bankruptcy), I was appointed by the United States Bankruptcy Court for the District of Alaska as a tort claims reviewer under the confirmed plan in that case. In that capacity, I reviewed and evaluated the claims of the abuse victims and allocated the settlement proceeds among them. I remain the reviewer of Future Claims in the CBNA Bankruptcy and, to date, have evaluated approximately ninety additional Future Claims. 6. As set forth in the Application, the Committee in these Cases has asked

me to serve as its expert on the valuation of sexual abuse claims, including, but not limited to, the following: a. providing an expert report regarding the valuation of abuse claims,

such as those asserted by the abuse claimants in these Cases; b. testifying about the amount of damages typically awarded in

connection with abuse claims, such as those asserted by the abuse claimants in these Cases; c. providing an extrapolation, based on my prior experience with

similar claims, of the magnitude of damages the Debtors likely will owe to the sexual abuse claimants in these Cases; and d. providing the Court with any additional information that may be

helpful in evaluating the Motion for Standing and the Objection.. 7. The terms of my employment agreed to with the Committee, subject to the

Courts approval, are as follows: (a) no retainer has been or will be paid to me; (b) neither the Committee nor any of its members (or any of their representatives) are or will be liable for any fees or costs that I incur as an expert for the Committee; (c) I will seek reimbursement of my expenses (as discussed below) at my cost or as otherwise allowed by the Court; and (d) I will charge my regular, hourly rates as follows: (i) Preparation of Report $800 per hour; (ii)

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Providing Testimony $800 per hour; and (iii) Travel $400 per hour, not to exceed four hours per day. 8. I charge for all expenses incurred in connection with my provision of

expert services. These expenses include, among other things, conference call charges, mail and express mail charges, special or hand delivery charges, document retrieval charges, photocopying charges, travel expenses, expenses for working meals, computerized research, transcription costs, and non-ordinary overhead expenses such as staffing overtime. I will bill for these expenses in a manner and at rates consistent with those charged to other clients, and in accordance with any rules, orders and guidelines applicable in these Cases. I understand that all my fees and expenses are subject to Court approval. 9. I have not received any retainer from any person, or any payment, or any

promise of payment in relation to these Cases, during the one-year period prior to the filing of the Debtors petitions. No post-petition compensation has been paid or promised to be paid from a source other than the Debtors estates in these Cases. 10. Based on my own knowledge and a good faith search of records available

to me, and further based on the information supplied to me by PSZJ concerning the names of the parties in interest in these Cases, their attorneys and their accountants, the following indicates any prior or pending proceedings I have been involved in, or relationships I have had, with the parties in interest in these Cases, their attorneys and their accountants:2 a. I have been appointed as the claims reviewer in at least two other

diocesan or religious order bankruptcy cases in which PSZJ has been retained, including the SoJ Bankruptcy and the CBNA Bankruptcy. I have consulted with PSZJ, primarily with James I.
2

Neither the Committee nor PSZJ has provided me with the names of any sexual abuse claimants in these Cases.

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Stang, on multiple occasions since about 2009 in connection with PSZJs role as creditors committee counsel and my role as the bankruptcy court-assigned tort claims reviewer, Abuse Claims Reviewer or Future Claims Reviewer in those bankruptcy cases. b. I have been appointed as the claims reviewer in at least one other

religious order bankruptcy case in which BRG has been retained, namely the SoJ Bankruptcy. c. Counsel to sexual abuse claimants in these Cases have or may have

represented (or currently represent) sexual abuse claimants in other cases which I mediated or in which I was appointed as the claims reviewer, as follows: (1) Pfau Cochran Vertetis Amala PLLC (PCVA) represents

certain claimants in the SoJ Bankruptcy. In my capacity as Abuse Claims Reviewer in that case, I have reviewed and evaluated claims submitted by PCVA on behalf of its clients. (2) Jeff Anderson & Associates, primarily Jeff Anderson,

represented claimants in the Clergy III Cases, which I mediated in 2005, and also has been counsel or co-counsel in at least two other clergy abuse actions I have mediated. (3) Schroeter Goldmark & Bender may represent some

claimants in the SoJ Bankruptcy, but I have no recollection of any contact with that firm. (4) Leemon & Royer, PLLC may represent some claimants in

the SoJ Bankruptcy, but I have no recollection of any contact with that firm.

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d.

Although I have no known prior contacts with either of the

Debtors, I am not aware of the organizational structure of the Debtors or their ecclesiastical counterparts, and therefore may have had contact with the Debtors or their ecclesiastical counterparts through other entities or organizations. For instance, I believe that I mediated an abuse claim in or around 2008 against a Christian Brothers entity or organization, although I cannot specifically identify that entity or organization at this time.3 e. Finally, I practice in association with and am an owner of JAMS.

Each JAMS neutral, including me, has an economic interest in the overall financial success of JAMS. In addition, because of the nature and size of JAMS, it may be assumed that one or more of the other neutrals who practice with JAMS has participated in a proceeding with the parties, counsel, accountants or other participants in these Cases. 11. To the best of my knowledge, information and belief, however, I have no

prior connection with the Debtors, their estates, their creditors, any other party in interest or their respective attorneys and accountants in the matters upon which I am to be engaged that would disqualify me from assisting the Committee as set forth in the Application. I am not a creditor, equity security holder or an insider of the Debtors. I am not, and have never been, an investment banker for a security of the Debtors, or an accountant or consultant to any such investment banker in connection with the offer, sale or issuance of any security of the Debtors. I am not, and have never been, a director, officer or employee of the Debtors or of an investment banker of the Debtors. Furthermore, except with respect to other bankruptcy cases in which I have been appointed as a claims reviewer, I have no past or present connection with the U.S. Trustee or with persons employed by the Office of the U.S. Trustee.
3

In 2008, I also mediated an abuse claim against De La Salle Institute. PSZJ has informed me, however, that the De La Salle Christian Brothers are not affiliated with the Debtors or their ecclesiastical counterparts.

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Pursuant to 28 U.S.C. 1746, I declare under penalty of perjury that the foregoing is true and correct. Executed on this 5th day of July 2012 in Sonoma County, California.

/s/ William L. Bettinelli_ Hon. William L. Bettinelli (Ret.)

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Exhibit 1

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Hon. William L. Bettinelli (Ret.)

Hon. William L. Bettinelli (Ret.) is a skilled mediator, settlement judge, and special master. Judge Bettinelli has extensive experience in complex multi-party construction, insurance, environmental, real estate, catastrophic personal injury, wrongful death, and employment cases. ADR Experience and Qualifications Since joining JAMS in 1991, he has served exclusively as a mediator and arbitrator Fourteen-year judicial career focused on civil litigation and case resolution Successful resolution of the following types of cases: Environmental: Multi-party actions involving private, public entity, Super Fund clean-ups, toxic torts, underground storage tanks, land use, industrial clean-ups, and allocation issues Construction: Matters involving all types of structures (residential, commercial, industrial, schools, and hospitals), developers, general contractors, subcontractors, design professionals, insurers, bonding companies, public and private owners. Issues involving defective work, design, and claims for delay damages and extras, allocation, and insurance coverage disputes Insurance: First and third party insurance coverage, reinsurance, excess, and bad faith matters Torts: Personal injury and product cases involving catastrophic injuries and wrongful death Employment: Sexual harassment, discrimination (gender, age, race), and wrongful termination Business/Commercial: Shareholder actions, partnership and other business dissolutions, and mergers and acquisition litigation Class Actions: Product defect, construction defect, and noise discharge actions

T: 415-982-5267 F: 415-982-5287 Recognized as a Best Lawyer, Alternative Dispute Resolution Category, Best Lawyers in America, 2006-2010

Case Manager Melissa Ornstil JAMS Two Embarcadero Center Suite 1500 Representative Matters San Francisco, CA Construction action by school district against contractors and design professionals concerning 94111 construction and design of a school, and cross-claims for delay damages and extras 415-774-2600 Phone Class action by multiple homeowners against developer, contractors, and design professionals relating 415-982-5287 Fax to structural defects Email: melissaornstil@jamsadr.com Environmental action by major international corporation, landowner, against an aerospace corporation, former owner, to recover past and future clean-up expenses for solvent contamination that had reached the aquifer Sexual harassment and gender discrimination claim by multiple female employees against a multinational corporation Wrongful death action against automobile manufacturer for fire caused by design defects Crush and amputation injury claim of industrial worker against 50-year chain of owners, manufacturers, and modifiers of the machinery National class action against a multi-national company relating to building product defects Trial judge in notable appellate cases including: Silberg v. Anderson, (litigation privilege), Gregori v. Bank of America (lender liability), Caplungo v. Bondi (defined an element of negligence per se) Honors, Memberships, and Professional Activities Recognized as a Best Lawyer, Alternative Dispute Resolution Category, Best Lawyers in America, 20062010 Co-author, California Discovery Handbook (West Publishing Company) Law Professor (Real Property), Empire College of Law Instructor: Civil Procedure, Discovery, Torts, Lender Liability, and ADR ADR Forms Committee and editorial contributor, California Practice Guide: Alternative Dispute Resolution (the Rutter Group) Background and Education Chairman of The Board of Directors of JAMS, 2004-2006 Superior Court of Sonoma County, 1982-1991, Presiding Judge, 1984, Principal Civil Law and Motion Judge, supervised judicial arbitration program, 1986-1991; Presiding Judge of the Appellate Department, 1985 Sonoma County Municipal Court, 1977-1982, Presiding Judge twice J.D., University of California, Berkeley, Boalt Hall School of Law, 1969

Two Embarcadero Center Suite 1500 San Francisco, CA 94111 Tel 415-982-5267 Fax 415-982-5287 www.jamsadr.com

Hon. William L. Bettinelli (Ret.) (General Biography)

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B.S., Fresno State College, 1966

Two Embarcadero Center Suite 1500 San Francisco, CA 94111 Tel 415-982-5267 Fax 415-982-5287 www.jamsadr.com

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Presentment Date: July 23, 2012 at 10:00 a.m. Objection Deadline: July 16, 2012 at 4:00 p.m.

UNITED STATES BANKRUPTCY COURT SOUTHERN DISTRICT OF NEW YORK In re: THE CHRISTIAN BROTHERS INSTITUTE, et al., Debtors. Chapter 11 Case No. 11-22820 (RDD)

ORDER GRANTING APPLICATION OF OFFICIAL COMMITTEE OF UNSECURED CREDITORS FOR ENTRY OF AN ORDER AUTHORIZING AND APPROVING THE EMPLOYMENT OF THE HONORABLE WILLIAM L. BETTINELLI (RET.) AS AN EXPERT ON THE VALUATION OF SEXUAL ABUSE CLAIMS Upon consideration of the Application of the Official Committee of Unsecured Creditors for Entry of an Order Authorizing and Approving the Employment of the Honorable William L. Bettinelli (Ret.) as an Expert on the Valuation of Sexual Abuse Claims (Application),1 filed by the Official Committee of Unsecured Creditors (the Committee) appointed in the above-captioned cases, and upon the Declaration of the Honorable William L. Bettinelli (Ret.) (the Bettinelli Declaration) submitted in support of the Application; and the Court being satisfied based on the representations made in the Application and in the Bettinelli Declaration that Judge Bettinelli has no prior connection with the Debtors, their creditors, any other party in interest, their respective attorneys and accountants, the U.S. Trustee or any person employed in the office of the U.S. Trustee with respect to the matters upon which he is to be engaged that would in any way disqualify him from assisting the Committee, and that his employment by the Committee is necessary; and the Court having jurisdiction to consider the Application and the relief requested therein pursuant to 28 U.S.C. 157 and 1334; and this
1

Capitalized terms not otherwise defined herein shall have the meanings ascribed to such terms in the Application.

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matter being a core proceeding pursuant to 28 U.S.C. 157(b)(2); and venue being proper in this district pursuant to 28 U.S.C. 1408 and 1409; and it appearing that the relief requested in the Application is in the best interests of the Committee, the Debtors and other parties in interest; and the Committee having provided adequate and appropriate notice of the Application under the circumstances; and after due deliberation and good and sufficient cause appearing therefor; and it appearing to the Court that the Application should be approved, IT IS HEREBY ORDERED THAT: 1. 2. The Application is GRANTED as set forth herein. In accordance with sections 328, 504, 1102, and 1103 of the Bankruptcy

Code, Bankruptcy Rules 2014 and 2016 and Local Bankruptcy Rules 2014-1 and 2016-1, the Committee is authorized to employ and retain Judge Bettinelli on the terms set forth in the Application. 3. Judge Bettinelli is authorized to render services to the Committee as set

forth in the Application. 4. Judge Bettinelli shall apply for compensation for services rendered and

reimbursement of expenses incurred in connection with the Cases in compliance with the applicable provisions of the Bankruptcy Code, the Bankruptcy Rules, the U.S. Trustee Guidelines and any other applicable procedures and orders of this Court, including General Order M-389, the Order Granting Debtors Motion to Establish Procedures for Monthly Compensation and Reimbursement of Expenses of Professionals [D.I. 64] and such other orders as this Court may direct.

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5.

Judge Bettinelli shall provide notice to the Court of any adjustments of his

hourly rates, and shall serve such notice upon the U.S. Trustee, the Debtors, and any persons otherwise entitled to service of such notice in these Cases. 6. The Committee and Judge Bettinelli are authorized and empowered to take

all actions necessary to implement the relief granted in this Order. 7. The terms and conditions of this Order shall be immediately effective and

enforceable upon its entry. 8. This Court shall retain jurisdiction with respect to all matters arising from

or related to the implementation of this Order.

Dated: White Plains, New York July __, 2012 Hon. Robert D. Drain United States Bankruptcy Judge

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