May Commercial Chapter 11s Increase 16 Percent from Previous Year, Total Bankruptcy Filings Decrease 19 Percent
Alexandria, Va.— Total bankruptcy filings in the United States decreased 19 percent in May 2015 over May of last year, according to data provided by Epiq Systems, Inc. Bankruptcy filings totaled 69,286 in May 2015, down from the May 2014 total of 85,711. Consumer filings also declined 19 percent to 66,771 from the May 2014 consumer filing total of 82,473. Total commercial filings in May 2015 decreased to 2,515, representing a 22 percent decline from the 3,238 business filings recorded in May 2014. In contrast to the other filing categories, commercial chapter 11 filings increased 16 percent to 498 filings in May 2015 from the 431 commercial chapter 11 filings registered in May 2014.
“While the May commercial chapter 11 filings indicate more businesses turned to the Bankruptcy Code for a fresh start, total and consumer filings continue to decline amid sustained low interest rates and flat consumer debt levels,” said ABI Executive Director Samuel J. Gerdano. “Total filings are on pace for just over 800,000 in 2015.”
Total bankruptcy filings for the month of May represented an 11 percent decrease compared to the 77,919 total filings recorded in April 2015. Total noncommercial filings for May also represented an 11 percent decrease from the April 2015 noncommercial filing total of 75,299. May’s commercial filing total represented a 4 percent decrease from the April 2015 commercial filing total of 2,620. Conversely, May commercial chapter 11 filings increased 23 percent when compared to the 405 filings registered the previous month.
The average nationwide per capita bankruptcy-filing rate in May was 2.73 (total filings per 1,000 per population), a slight decrease from the 2.74 rate registered in the first four months of the year. Average total filings per day in May 2015 were 2,235, a 19 percent decrease from the 2,765 total daily filings in May 2014. States with the highest per capita filing rates (total filings per 1,000 population) in May 2015 were:
1. Tennessee (5.61)
2. Alabama (5.18)
3. Georgia (4.85)
4. Illinois (4.56)
5. Utah (4.34)
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. To view the full monthly statistic tables provided by Epiq Systems, be sure to visit ABI’s Newsroom.
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 more than 12,000 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.abiworld.org. For additional conference information, visit http://www.abiworld.org/conferences.html.
Epiq Systems is a leading provider of managed technology for the global legal profession. Epiq Systems offers innovative technology solutions for electronic discovery, document review, legal notification, claims administration and controlled disbursement of funds. Epiq System’s clients include leading law firms, corporate legal departments, bankruptcy trustees, government agencies, mortgage processors, financial institutions, and other professional advisors who require innovative technology, responsive service and deep subject-matter expertise. For more information on Epiq Systems, Inc., please visit http://www.epiqsystems.com.