The biggest event in this schism occurred in 2008, when the leadership of the entire Fort Worth, Texas, diocese led a break with the parent church, and took with them out of that denomination the property of 47 parish churches in 24 counties ”“ property worth more than $100 million overall. The parent church fought back, but ultimately lost in the Texas Supreme Court. From now on, and in this case, that state court ruled, church property disputes were to be decided by the “neutral principles” approach, no longer deferring to church structure arrangements. Examining the trust document under which the parent church had claimed ownership of the local property, the state court said that did not square with state civil law.
With support from a wide array of mainstream religious organizations and advocacy group, the Episcopal Church took the case to the Supreme Court, arguing that the time had come for the court to abandon the “neutral principles” approach and return to the deference approach. The parent church, it contended, had done everything it could to establish the parent’s dominion over property, and yet that was not enough.
The breakaway congregations in Fort Worth and their bishop urged the Supreme Court to stay out of the case, noting that the Justices had passed up other appeals on the issue, and commenting that the dispute in Texas has not yet become final.
Read it all from Lyle Denniston.