Maryland Supreme Court Upholds Removal of Civil Statute of Limitations for Child Sexual Abuse Cases

Maryland’s highest court, in a 4-3 decision on February 3, narrowly upheld the Child Victims Act of 2023, a law that retroactively and prospectively repeals the civil statute of limitations for survivors of child sexual abuse. The Act also increases the statutory amount of recoverable noneconomic damages in claims against private entities from $890,000 to $1.5 million.

With the addition of Maryland, 19 states, two US territories, and the federal government have eliminated the civil statute of limitations for child sexual abuse cases, part of a growing national trend led by state legislatures enabling near-permanent access to the civil justice system.

The Act, introduced to the Maryland legislature in 2007, repeatedly failed to advance out of committee until 2017. The 2017 iteration of the Act referred in its preamble to a statute of repose, which would have granted institutions facing claims of sexual abuse statutory immunity after a certain length of time. Opponents of the Act in the instant litigation (namely, the Roman Catholic Archdiocese of Washington, The Key School of Annapolis, and the Board of Education of Harford County), argued entitlement to a “vested right” by virtue of the statute of repose reference, an interpretation rejected by a majority of Maryland’s Supreme Court.

The ruling came as the state of Maryland is anticipating the filing of approximately 3,500 cases of child sexual abuse, some of which relate to allegations of abuse dating back to the 1960s. While State Attorney General Anthony Brown’s office has not commented on the ongoing litigation, reports have suggested the onslaught of suits could cost taxpayers $3 billion or more.

IMPLICATIONS

While Maryland Supreme Court’s upholding of the Act demonstrates the government’s commitment to ensuring justice for survivors of child sexual abuse, the removal of a statute of limitations presents significant challenges to institutions facing a seemingly exponential increase in exposure to liabilities. Vulnerable institutions are encouraged to heed best practices regarding risk management, accountability, and their overall responsibility to safeguard children from sexual abuse, including:

• Routine, proactive policy and procedure analysis, including guidelines on recognizing and preventing abuse, as well as the establishment of clear, confidential reporting channels for children and staff;
• Stringent background checks with consistent, periodic reassessment for employees who will interact with children;
• Enhanced training programs for employees with regular updates as the legal landscape continues to evolve;
• Prompt and privileged investigations with teams trained to assess both litigation risk and business-based budget planning;
• Implementing robust evidence and data collection preservation systems; and
• The creation of contingency funds or self-insurance mechanisms to handle unexpected legal challenges, including defense, settlements, and victim compensation mandates.