Bankruptcy Increased Filings

As a Fort Lauderdale bankruptcy attorney, I have seen the changes in bankruptcy filings in the Southern District of Florida. Statistics are often misleading, but a review of the number of bankruptcy filings is informative.

Keep in mind that the bankruptcy law was changed in 2005. There had been a steady increase in bankruptcy filings. There was a stampede to the courthouse in 2005 as debtors rushed to file cases prior to October, 2005, when BAPCPA became effective. (It was effective earlier as to homestead issues.) Since so many people filed bankruptcy in 2005, there was a delay for there to be a new group of individuals who needed to file. And with the economic downturn and foreclosure crisis, bankruptcies have again greatly increased.

How has this affected the practice of bankruptcy? Many attorneys dropped out of the bankruptcy practice in 2005. They did not want to learn the new law and the number of clients greatly decreased. More recently, bankruptcy has become popular again and many attorneys are just starting to practice bankruptcy.

The following bankruptcy statistics are from the Clerk of the Bankruptcy Court from the Southern District of Florida and includes the total number of filed cases, includng chapter 7, 11 and 13.

2010 30,035
2009 29,072
2008 20,230
2007 11,755
2006 7,036
2005 35,903
2004 26,480

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