Total U.S. bankruptcy filings decreased just 1 percent in February from the same period last year, according to data provided by Epiq Systems, Inc. Bankruptcy filings totaled 64,662 in February 2016, down slightly from the February 2015 total of 65,064. Consumer filings declined 2 percent in February 2016 to 61,662 from the February 2015 consumer filing total of 62,784. However, total commercial filings in February 2016 jumped to 3,000, representing a 32 percent increase from the 2,280 business filings recorded in February 2015. The 476 total commercial chapter 11 filings in February 2016 represented an increase of 31 percent from February 2015’s total of 364.
“February showed that decreases in total filings are starting to level off, and more businesses are turning to the financial relief of bankruptcy," said ABI Executive Director Samuel J. Gerdano. “As the last major overhaul of chapter 11 took place in 1978, the recommendations of ABI's Chapter 11 Reform Commission provide an updated roadmap for struggling businesses and courts trying to navigate today’s complex financial terrain.”
Total bankruptcy filings for the month of February 2016 increased 23 percent compared to the 52,542 total filings registered in January 2016. Total noncommercial filings for February, 61,662, represented a 24 percent increase from the January 2016 noncommercial filing total of 49,728. The February 2016 commercial filing total of 3,000 represented a 7 percent increase from the January 2016 commercial filing total of 2,814, although February 2016’s 476 commercial chapter 11 filings represented a 4 percent decrease from the 494 filings recorded the previous month.
The average nationwide per capita bankruptcy-filing rate in February 2016 was 2.26 (total filings per 1,000 per population), a decrease from January 2016’s rate of 2.02. Average total filings per day in February were 2,126, a 5 percent decrease from the 2,244 total daily filings recorded in February 2015. States with the highest per capita filing rate (total filings per 1,000 population) in February 2016 were:
- Tennessee (5.39)
- Alabama (5.09)
- Georgia (4.73)
- Illinois (4.10)
- Mississippi (3.55)
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.