Total Filings Up 10 Percent Year-Over-Year and 15 Percent Month-Over-Month
NEW YORK, Sept. 01, 2022 (GLOBE NEWSWIRE) -- Bankruptcy filings in August 2022 across all chapters totaled 35,355, a 10 percent increase from the August 2021 total of 32,276, according to new research released today from Epiq's Bankruptcy Analytics platform.
Overall commercial filings increased 6 percent in August 2022, as the 1,861 filings were up over the 1,753 commercial filings registered in August 2021. Individual filings increased 10 percent totaling 33,494 in August 2022 compared to the 30,523 filed in August of 2021.
Total filings, both commercial and individual, show a 15 percent increase month-over-month compared to the July 2021 total of 30,854 filings. August’s commercial filings represent a 16 percent increase compared to July’s commercial filing total of 1,607, while August’s individual filings represent a 15 percent increase compared to July’s individual filing total of 29,247.
Notably, for the first time in months, all chapters registered a month-over-month increase. Chapter 11 filings increased 81 percent, totaling 466 filings in August 2022 compared to 257 registered in July. Chapter 13 filings increased 15 percent, totaling 14,981 filings compared to 12,992 registered in July. Chapter 7 filings increased 13 percent, totaling 19,884 compared to the 17,593 registered last month.
“New bankruptcy filings in August clearly show momentum in the market,” said Chris Kruse, senior vice president at Epiq Bankruptcy. “Chapter 13 new filings continue the recent trend of month-over-month growth, and for the first time since March, we also see increases in new Chapter 7 filings in August. We expect this trend to continue as the U.S. exits the summer and marches toward the fourth quarter.”
From a commercial Chapter 11 perspective, filings continue to trend up. August’s Chapter 11 filings totaling 466 increased 81 percent from the 257 registered in July 2022. Small business filings, captured as subchapter V elections within Chapter 11, increased 41 percent to 140 in August 2022 from 99 in August 2021. Similarly, August’s commercial Chapter 11 filings were up 91 percent over the 212 filings in July 2022. The commercial filing total represented a 16 percent increase from the July 2022 commercial filing total of 1,607. Subchapter V elections within Chapter 11 increased 42 percent from the 85 filed in July 2022.
“Financially distressed households and companies are experiencing expanding debt loads amid rising interest rates, inflation, and supply chain concerns,” said ABI Executive Director Amy Quackenboss. “Though still at historically low numbers, the increase in bankruptcy filings in August points to more families and businesses looking for a path to alleviate mounting financial challenges.”
ABI has partnered with Epiq Bankruptcy to provide the most current bankruptcy filing data for analysts, researchers, and members of the news media. Epiq Bankruptcy is the leading provider of data, technology, and services for companies operating in the business of bankruptcy. Its new Bankruptcy Analytics subscription service provides on-demand access to the industry’s most dynamic bankruptcy data, updated daily. Learn more at https://bankruptcy.epiqglobal.com/analytics.
About Epiq Bankruptcy
Epiq Bankruptcy is a division of Epiq, a global technology-enabled services leader to the legal services industry and corporations that takes on large-scale, increasingly complex tasks for corporate counsel, law firms, and business professionals with efficiency, clarity, and confidence. Clients rely on Epiq to streamline the administration of business operations, class action and mass tort, court reporting, eDiscovery, regulatory, compliance, restructuring, and bankruptcy matters. Epiq subject-matter experts and technologies create efficiency through expertise and deliver confidence to high-performing clients around the world. Learn more at https://www.epiqglobal.com.
ABI is the largest multi-disciplinary, nonpartisan organization dedicated to research and education on matters related to insolvency. ABI was founded in 1982 to provide Congress and the public with unbiased analysis of bankruptcy issues. The ABI membership includes nearly 10,000 attorneys, accountants, bankers, judges, professors, lenders, turnaround specialists and other bankruptcy professionals, providing a forum for the exchange of ideas and information. For additional information on ABI, visit www.abi.org. For additional conference information, visit http://www.abi.org/calendar-of-events
Epiq, Director of Communications