Archdiocese of Baltimore Faces Challenges in Bankruptcy Case

Lawyers for Catholic parishes seek to separate assets, weed out invalid claims

Published on Mar. 2, 2026

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The Archdiocese of Baltimore's bankruptcy case continues to face challenges, as lawyers for Catholic parishes are lobbying in federal court to come up with a process to weed out invalid claims and separate parish assets from the overall pot of assets. Creditors, including some clergy sex abuse survivors, question the timing and motives behind these legal maneuvers, accusing the church of delaying tactics to avoid a resolution.

Why it matters

The Archdiocese of Baltimore's bankruptcy case is a high-profile example of the Catholic Church grappling with the fallout from clergy sex abuse scandals. The outcome of this case could set precedents for how dioceses handle bankruptcy proceedings and the separation of parish assets, which has implications for abuse survivors seeking compensation.

The details

Lawyers for the Catholic parishes are seeking to be seen as separate from the Archdiocese of Baltimore in order to keep proceeds from parish real estate transactions out of the assets the court will use to pay creditors. The church has also filed a 'claim objection' arguing there are many bogus claims that need to be reviewed and validated before the case can move forward. Creditors, including abuse survivors, have criticized these tactics as delay maneuvers intended to avoid a resolution.

  • The Archdiocese of Baltimore's bankruptcy case has been ongoing for 900 days.
  • The latest legal filings and arguments were heard in court on Monday, March 3, 2026.

The players

Archdiocese of Baltimore

The Catholic diocese covering the Baltimore metropolitan area that has filed for bankruptcy due to clergy sex abuse claims.

Teresa Lancaster

An abuse survivor, advocate, and attorney representing creditors in the bankruptcy case.

Frank Schindler

An abuse survivor and advocate involved in the bankruptcy proceedings.

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What they’re saying

“It's just delay, delay, delay; more of the same.”

— Teresa Lancaster, Abuse survivor, advocate, and attorney for creditors

“They're willing for this to go on and on and on.”

— Frank Schindler, Abuse survivor and advocate

“Someone who filed a claim against an Anglican priest should not be voting in this case. Someone who filed a claim against a Boy Scout troop leader should not be voting in this case. And, there are hundreds of those, not five or six of those.”

— Archdiocese of Baltimore attorney (WBAL-TV 11 News)

What’s next

The judge in the case will decide on the proposed process to weed out invalid claims and separate parish assets from the overall bankruptcy proceedings.

The takeaway

The Archdiocese of Baltimore's bankruptcy case highlights the ongoing challenges the Catholic Church faces in addressing clergy sex abuse scandals, as dioceses seek to protect assets while also providing compensation to abuse survivors. The outcome of this case could set important precedents for how such proceedings are handled in the future.