Total U.S. commercial bankruptcy filings increased 28 percent in August 2016 over August of last year, according to data provided by Epiq Systems, Inc. Commercial filings totaled 3,199 in August 2016, up from the August 2015 total of 2,491. August is the tenth consecutive month with a year-over-year increase in commercial filings. However, total commercial chapter 11 filings decreased in August 2016, as the 362 filings were 32 percent less than the 534 commercial chapter 11 filings registered in August 2015. Total bankruptcy filings increased 1 percent to 68,495 in August 2016, slightly up from the August 2015 total of 67,777. Consumer filings were 65,296, also slightly up from the August 2015 consumer filing total of 65,286.
“Debt-burdened businesses continue to turn to the financial shield of bankruptcy,” said ABI Executive Director Samuel J. Gerdano. “As distress continues in the energy and retail sectors, 2016 business bankruptcies will surpass the totals registered the past two years.”
Total filings for August represented a 12 percent increase compared to the 61,340 total filings in July 2016. Total noncommercial filings for August were also 12 percent more than the July 2016 noncommercial filing total of 58,385. August’s commercial filing total also represented an 8 percent increase from the July 2016 commercial filing total of 2,955. August commercial chapter 11 filings registered a 1 percent increase when compared to the 357 filings registered the previous month.
The average nationwide per capita bankruptcy-filing rate in August was 2.55 (total filings per 1,000 per population), a slight increase from the 2.53 rate registered in the first seven months of the year. Average total filings per day in August 2016 were 2,210, a 1 percent increase from the 2,186 total daily filings in August 2015. States with the highest per capita filing rates (total filings per 1,000 population) in August 2016 were:
- Tennessee (5.63)
- Alabama (5.45)
- Georgia (4.69)
- 4. Illinois (4.23)
- 5. Utah (4.17)
ABI has partnered with Epiq Systems, Inc. in order to provide the most current bankruptcy filing data for analysts, researchers and members of the news media. Epiq Systems is a leading provider of managed technology for the global legal profession.