Commercial Chapter 11 Filings Increase 22 Percent
Monday, April 16, 2018
Total commercial bankruptcy filings fell slightly during the first three months of 2018, as the 9,327 filings were down 1 percent from the 9,433 filings during the same period in 2017, according to data provided by Epiq Systems and the American Bankruptcy Institute. However, total commercial chapter 11 filings increased 22 percent from 1,280 the first quarter of last year to 1,562 during the first three months of 2018.
“Volatile market conditions in retailing have led to an increase in commercial cases, while a long-awaited course correction on Fed monetary policy could make credit more expensive for consumers with household debt,” said ABI Executive Director Samuel J. Gerdano.
Total U.S. bankruptcy filings fell 4 percent in the first calendar quarter 2018 from the same period in 2017. Bankruptcy filings totaled 187,331 in the first quarter of 2018, down 4 percent from the 195,283 filings registered in the first calendar quarter of 2017. The 178,004 total noncommercial filings recorded in the first calendar quarter of 2018 represented a 4 percent decrease from the 2017 total of 185,850.
For the month of March 2018, the 770 commercial chapter 11 filings represented an increase of 64 percent from the 471 filings registered in March 2017. The 75,992 total filings in March 2018 represented a 7 percent decrease from the 81,632 total filings registered in March 2017. Total consumer filings in March 2018 also decreased 7 percent to 72,353 from the 77,908 filings recorded in March 2017. Commercial filings in March 2018 totaled 3,639, representing a 2 percent drop from the 3,724 filings in March 2017.
The average nationwide per capita bankruptcy filing rate for the first three months of 2018 increased to 2.42 (total filings per 1,000 per population) from the 2.15 filing rate of the first two months of the year.