English
Joel addresses the significant increase in Chapter 11 bankruptcy filings, as reported this week by the American Bankruptcy Institute.
Rising interest rates, persistent inflation, ongoing post-pandemic financial challenges, and shifts in consumer behavior have driven companies to file for Chapter 11 to restructure their debts while continuing operations.
According to the report, U.S. bankruptcy filings surged in July 2025, with commercial Chapter 11 filings rising 78% year-over-year and overall filings increasing 12%. Compared to June 2025, both commercial and noncommercial filings also saw notable month-over-month growth, reflecting a continued upward trend toward pre-pandemic levels.
