Commercial Chapter 11 Filings Jump 23% Y/Y in July

August 07, 2018, 07:09 AM

Filed Under: Bankruptcy

Related: American Bankruptcy Institute, Chapter 11, Commercial Bankruptcy, Samuel Gerdano

Commercial Chapter 11 bankruptcies for the month of July 2018 totaled 411, up 23 percent from the 333 commercial Chapter 11 filings last July, according to data provided by Epiq Systems, Inc. Total business filings in July 2018 increased 5 percent to 3,068 from July 2017’s business total of 2,922.

Total U.S. bankruptcy filings increased 1 percent in July 2018 from July 2017, American Bankruptcy Institute. Total filings registered 62,196 in July 2018, up from the July 2017 total of 61,433. The 59,128 consumer filings in July also represented a 1 percent increase from the previous year’s consumer total of 58,511.

“Distressed consumers and businesses struggling under increasing interest rates and global challenges are provided with financial shelter in bankruptcy,” said ABI Executive Director Samuel J. Gerdano. “The recommendations of ABI’s Chapter 11 Commission along with the ongoing efforts of the Commission on Consumer Bankruptcy are aiming to make bankruptcy more accessible for struggling businesses and families.”

July’s commercial chapter 11 filings represented a 33 percent increase over last month’s total of 308. Total commercial filings were also up 1 percent over the June total of 3,051. However, total bankruptcy filings decreased 2 percent in July from last month’s total of 63,728. Consumer filings also dropped 3 percent in July from the 60,677 filings in June.

The average nationwide per capita bankruptcy-filing rate in July was 2.49 (total filings per 1,000 per population), a slight decrease from the filing rate of 2.50 during the first six months of 2018. Average total filings per day in July 2018 were 2,962, a 4 percent decrease from the 3,072 total daily filings in July 2018. States with the highest per capita filing rates (total filings per 1,000 population) in July 2017 were: