Bloomberg Law
Free Newsletter Sign Up
Bloomberg Law
Welcome
Go
Free Newsletter Sign Up

Commercial Chapter 11 Filings Zoom 26% in First Half Amid Virus

July 6, 2020, 10:45 PM

Commercial Chapter 11 filings spiked 26% year-over-year in the first half of 2020 companies sought bankruptcy protections amid the economic slowdown caused by the Covid-19 pandemic, according to new data.

More than 3,600 Chapter 11 cases were filed during the period, about 750 more than a year ago, data from bankruptcy software developer Epiq Systems Inc. show.

“As expected, U.S. companies are seeking bankruptcy protection while the markets are recovering from the early stages of the global pandemic,” Epiq managing director Deirdre O’Connor said in a statement.

The increase in June filings— up about 40% from 424 filings in June, ...