Total Bankruptcy Filings Decline in Calendar Year 2017
Commercial Chapter 11 filings increase ‘sharply’ year-over-year, according to the American Bankruptcy Institute.
1/17/2018 8:00 AM
Commercial bankruptcy filings in 2017 increased, while total filings from businesses and consumers declined overall last year, according to a news release from the American Bankruptcy Institute and data provided by Epiq Systems Inc.
“Total commercial chapter 11 filings during calendar year 2017 (Jan. 1-Dec. 31) were 5,744, a 6 percent increase from the 5,447 filings in 2016,” according to the news release.
Commercial filings reached 38,062 during the calendar year, a 0.25 increase over the 37,968 commercial filings in 2016.
Total bankruptcy filings, however, declined slightly to 766,698 in calendar year 2017. There were 772,098 total filings during 2016, according to the news release.
“The 728,386 total noncommercial filings during calendar year 2017 also slipped 1 percent from the noncommercial filing total of 733,902 during calendar year 2016,” ABI reports.
“Total filings fell for an eighth consecutive year as high filing costs continue to weigh on struggling businesses and families,” ABI Executive Director Samuel J. Gerdano said in the news release. “As the recommendations of ABI’s Chapter 11 Commission aim to remove barriers to filing for distressed businesses, we look forward to the final report later this year by ABI’s Commission on Consumer Bankruptcy to improve the bankruptcy system for financially strained consumers.”
The final recommendations of the ABI Commission to Study the Reform of Chapter 11 are available here.
The ABI also reports the average nationwide per capita bankruptcy filing rate for calendar year 2017 decreased slightly to 2.47 (total filings per 1,000 per population) from the 2.48 rate during calendar year 2016, according to the news release.
States with the highest per capita filing rate (total filings per 1,000 population) through 2017 were: Alabama (5.66); Tennessee (5.51); Georgia (4.66); Mississippi (4.12); and Utah (3.96).
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