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Catholic Archdiocese of Baltimore, Facing Possible Slew of Abuse Lawsuits, Files for Bankruptcy

Submitted by jhartgen@abi.org on

The Catholic Archdiocese of Baltimore filed for bankruptcy protection Friday, less than two days before a new state law takes effect allowing victims of child sexual abuse to sue institutions, no matter how long ago the abuse took place, the Washington Post reported. The legal action will shift to a bankruptcy court, where the process — if successful — will set a permanent end-date when alleged victims of abuse related to the church can file claims, rather than opening a permanent window as the law intended. Each diocesan bankruptcy is unique, experts say, and outcomes depend on the court, insurance arrangements and the legal setup of the diocese. Some legal analysts said the move by the country’s oldest Catholic diocese could limit damages for some survivors, while other experts say it could more equitably distribute Baltimore’s assets and offer anonymity and streamlined financial awards, which some accusers may value. It wasn’t immediately clear Friday what impact filing under chapter 11 of the bankruptcy code will mean for the archdiocese’s 153 parishes and dozens of ministries, including within the city of Baltimore. Baltimore is the 36th U.S. Catholic diocese or religious order to file for such protection since the Catholic clergy sex abuse crisis exploded into public view in the early 2000s. Baltimore will be the sixth diocese to file in 2023.