The Official Committee of Survivors of Sexual Abuse in the Archdiocese of Baltimore bankruptcy would like to provide the following background and update to keep Survivors abreast of the case details that can be shared.

1. General Background:  The Roman Catholic Archdiocese of Baltimore filed for bankruptcy in September 2023.  A Committee of seven survivors, appointed by the US Trustee, represents survivors’ interests with experienced legal and financial professionals ensuring fair treatment throughout the process.

2. Charitable Immunity: In April 2025, the Committee filed a separate lawsuit against the Archdiocese asking the Court to find that a Maryland legal rule called “charitable immunity” does not block all of the Church’s liability for Survivor claims. The Committee filed a motion in that case recently asking for a final decision. If the Court does not grant the Committee’s motion, the case could proceed to trial in December 2025. A hearing on the Committee’s motion is scheduled to be heard on October 6, 2025.

3. Motion to Dismiss:  The Committee has also asked the Court to dismiss the bankruptcy if the Court does not agree with the Committee’s position on charitable immunity. The Committee did not make this decision lightly. In a world where the Archdiocese is immune from Survivors’ claims, the Committee considered that the bankruptcy process causes unfair delay and harm to Survivors. The Committee still believes, however, that this bankruptcy process can reach resolution and a fair settlement for Survivors. A hearing on the Committee’s motion is scheduled to be heard also on October 6, 2025.

4. Claims Administration: The deadline to file claims was May 31, 2024. Approximately 900 – 1,000 claims were filed by that date. The Committee believes that there are approximately 922 valid, unique claims filed by survivor creditors in the case. The Archdiocese and insurers have not agreed to that (they argue that some of the claims we are including in our 922 number may not actually be viable claims against the Archdiocese). The claims cover many decades and include broad allegations of abuse that range greatly in intensity and impact and occurring in dozens of parishes throughout the Archdiocese.  It is still too early in the case to know who will be reviewing the claims. The review process typically takes place after the confirmation of a settlement/bankruptcy plan and the establishment of a Survivor Trust.  At that point, a Claims Reviewer will review survivor claims in the case. This review is based on various factors that are decided upon by the Survivor Committee and those factors are usually based on an equitable point system that considers the nature, circumstances, and impact of the abuse experienced.

5. Debtor’s Asset Value:  The Archdiocese is required to disclose all assets (land, cash, investments, etc.) as well as all of its debts, including survivor claims. They disclose assets by filing something called their bankruptcy schedules. A summary of the Archdiocese’s schedules is provided below.
   1. Schedule A/B requires debtor to provide information about debtor’s interest into property which includes its interest in real estate, cash or cash equivalents, investments, inventory, and other assets. The Archdiocese asserts that it holds approximately $15 million of real property. The Archdiocese reports $163.9 million in cash, cash equivalents, deposits, accounts receivable, and investments. Notes receivable account for $20.8 million of the Archdiocese’s assets. In total, Schedule A/B reports that the Archdiocese has $204.9 million in assets.
   2. In Schedule D a debtor must list all its secured creditors (like a bank that holds a mortgage) and information about the secured debt. The Archdiocese discloses one secured creditor with three claims for a total secured debt of $25,772,988.76.
   3. Schedule E/F requires debtor to list and detail all of its unsecured creditors and unsecured debt, which is debt that is not secured by a lien. The Archdiocese lists approximately $25 million in unsecured debt that includes employee time off and payroll, as well as goods and services. This amount does not include any CVA claim liability, as that is listed as unknown.
   4. Under Schedule G, a debtor must list all executory contracts, i.e., contracts that have not been completed, and unexpired leases. The Archdiocese listed 47 executory contracts, none of which included a cure amount.
   5. Schedule H requires the debtor to list “co-debtors.” A co-debtor is a person or entity that is liable for any debts that the debtor may have. The Archdiocese did not disclose any co-debtors.

This is not representative of maximum settlement amount, however, and not all of the Archdiocese’s assets will be paid over in settlement. Typically, the settlement will be funded through a combination of Archdiocesan assets, insurance settlements, and contributions from parishes and other catholic entities within the Archdiocese.

6. Mediation: Currently, we are in the mediation stage of the case, which tends to be the longest phase of the process. This stage involves multiparty negotiations between the Committee, the Archdiocese, the Archdiocese’s parishes, and multiple insurance carriers. Each party has different interests and legal positions that must be carefully balanced to reach a fair resolution. Negotiations are focused on the financial terms of a potential settlement and to strengthen the Archdiocese’s child protection policies to ensure that children are protected in the future. The first mediation session took place virtually on October 7, 2024. Since then, there have been multiple mediation sessions, both in-person and virtual.  This process follows strict rules of confidentiality so all parties are limited in the details they can share.

7. Plan of Reorganization:  If mediation is successful, the next phase involves drafting a comprehensive “plan of reorganization” for the bankruptcy court (the “plan” is basically a detailed memorialization of a settlement). These plans are extensive documents that address numerous complex issues regarding how the Archdiocese will operate post-bankruptcy and how creditors, like Survivors, will be paid. Survivors will have the opportunity to vote in favor of, or against any settlement plan. More information about any settlement would be provided to survivors in advance of their voting through a document called a “Disclosure Statement.”

8. Survivor Impact Statements: Last year, the Survivor Committee filed a motion asking the bankruptcy court to schedule a hearing for the presentation of Survivor Impact Statements. Survivor impact statements allow Survivors the opportunity to share their stories with the Archbishop and the Court. On April 8 and May 20, 2024, fourteen Survivors presented their impact statements before Judge Harner and in the presence of the Archbishop. The statements were powerful and extremely important to increase engagement and understanding. The Court recently granted the Committee’s request for a third Survivor statement hearing that will proceed on November 5, 2025. The Committee expects that the Court will allow additional presentations to be scheduled next year.  

9. CVA Developments and Amendment: On April 3, 2025, an amendment was passed to the Maryland Child Victim’s Act that reduced the amount Survivors can collect against the Archdiocese, from $1,500,000 to $700,000 for lawsuits filed after May 31, 2025. Soon after, the Committee successfully requested that the bankruptcy court allow Survivors to sue the Archdiocese, and all members of the Catholic enterprise (parishes, schools, etc.), to preserve the $1.5 million cap. These lawsuits will stay dormant while the bankruptcy case moves forward. This outcome was a victory for Survivors. If the Committee had not acted, Survivors could have lost at least $800,000 per survivor in recovery against the Archdiocese alone, and possibly even more against its parishes and schools.

10. Town Hall Meeting: On August 25, 2025, the Committee held a virtual Town Hall to address survivor questions about claims, the bankruptcy process, and non-confidential aspects of ongoing proceedings. Survivors submitted questions in advance, which the Committee addressed during the session. The event was successful in increasing engagement and understanding about the current status of the case. The Committee plans to continue holding these informational sessions as developments warrant, with notifications provided through the survivor website in advance. We currently anticipate holding another Town Hall meeting sometime in early 2026. 

11. Cyber Incident:  The Stinson team has received inquiries about a cyber incident that occurred earlier this year. We discovered that cyber criminals had attacked our firm’s internal network and illegally obtained data. These “threat actors” gathered a small subset of confidential information related to this bankruptcy. All impacted Survivors have been notified. A thorough investigation and review of the incident is ongoing, with quarterly updates to the court, and every effort is being made to prevent its recurrence. 

12. When will this process conclude?  While we cannot provide an exact timeline, we understand how important this question is to Survivors and their families. Archdiocese bankruptcy proceedings are inherently complex and typically span multiple years, though we remain committed to reaching resolution as efficiently as possible. The process involves several key steps that must be completed: finalizing a settlement, obtaining bankruptcy court confirmation, and establishing an independent claim review process.

We recognize how difficult the uncertainty must be for survivors, particularly when confidentiality requirements limit what we can share about ongoing mediation work. These privacy protections, while necessary for productive negotiations, mean we cannot provide the detailed updates that everyone deserves. Please be assured that the Official Committee continues to work diligently toward resolution, and we remain hopeful that this approach will lead to a fair outcome.