#USA #MD – The Archdiocese of Baltimore filed a proposed Chapter 11 reorganization plan on May 15, 2026, offering approximately $169 million in compensation to survivors of child sexual abuse by clergy and church-affiliated personnel.
The filing established an independent Survivor Compensation Trust to evaluate claims and distribute funds. According to court documents, the archdiocese committed just under $44 million from its unrestricted assets, while settling insurers contributed a combined $125 million. Additional contributions from participating parishes, schools, and related Catholic entities were expected but not fully quantified at the time of the proposal.
The plan formed part of the archdiocese’s ongoing bankruptcy proceedings, initiated after Maryland’s Child Victims Act of 2023 eliminated statutes of limitations on such claims, leading to hundreds of lawsuits. The creditors’ committee, representing more than 900 survivors, had previously proposed a significantly larger package that included about $115 million directly from the archdiocese plus undetermined contributions from real estate and other sources, with total demands exceeding $770 million.
Survivors’ representatives reacted critically to the archdiocese’s offer. Attorney Ed Caldie described it as “profoundly disappointing” and an attempt to force an inadequate settlement. Under the church’s proposal, individual payouts would likely fall below $190,000 per claimant on average.
Archdiocesan officials framed the plan as a balanced approach. “This step is in furtherance of the Archdiocese’s pursuit of accomplishing its dual objectives in its bankruptcy proceeding, in recognition of child abuse survivors’ rightful desire for a resolution of their claims,” a statement said. The proposal aimed to provide equitable compensation while preserving the church’s mission and ministries, without selling real estate.
The development followed earlier insurance-related offers, including a $100 million proposal from The Hartford in April 2026. Negotiations between the archdiocese and survivors’ committee remained ongoing, with hundreds of millions still separating the parties as of mid-May 2026.
The bankruptcy court will review the competing plans as proceedings continue toward a resolution for the hundreds of abuse claims filed against the archdiocese.
Image: The Cathedral of Mary Our Queen, the co-cathedral of the Archbishop of Baltimore, shared with the Basilica of the National Shrine of the Assumption of the Blessed Virgin Mary.
