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Baltimore Archdiocese Files For Bankruptcy Ahead of New Abuse Lawsuit Law

Baltimore Archbishop William Lori leads a funeral Mass in Baltimore on March 28, 2017. The Catholic Archdiocese of Baltimore announced Friday, Sept. 29, 2023, it filed for Chapter 11 reorganization days before a new state law goes into effect removing the statute of limitations on child sex abuse claims and allowing victims to sue their abusers decades after the fact.
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Overview

  • Archdiocese of Baltimore filed for Chapter 11 bankruptcy before law removing statute of limitations takes effect.
  • Filing comes as Maryland prepares to end statute of limitations for child sex abuse civil lawsuits.
  • Bankruptcy filing allows compensation for victims while protecting church resources and ministries.
  • Archdiocese says bankruptcy preferable to draining resources on litigation, leaving some victims uncompensated.
  • New lawsuits will be on hold if challenged on legal grounds once statute of limitations ends.