Subchapter V Elections Increase 24% in October 2026
News related to:Epiq AACER · 2 min read
NEW YORK, Nov. 06, 2026 /CourierPR/ -- In October 2026, the number of Subchapter V elections within Chapter 11 filings increased by 24% from the 225 filings in October 2025, according to data provided by Epiq AACER, the leading provider of US bankruptcy filing data. This increase brings the total to 280 filings, reflecting a sustained growth trend in small business reorganizations.
Overall, bankruptcy filings in October 2026 reached 54,028, a 2% increase from the 53,033 filings in October 2025. Individual bankruptcy filings accounted for 51,266, a 2% rise from the 50,170 filings in the same month last year. Among individual bankruptcy filings, 31,594 were under Chapter 7, a 2% increase from the 31,057 filings in October 2025. Chapter 13 filings numbered 19,591, a 3% increase from the 18,999 filings in October 2025.
Despite one fewer business day in October 2026 compared to October 2025, bankruptcy filings continued to climb.
Commercial filing activity also saw a decrease, with 2,762 overall commercial filings in October 2026, a 4% drop from the 2,863 filings in October 2025. Commercial Chapter 11 filings decreased by 2% to 624, from 634 in October 2025.
The increase in Subchapter V elections is part of a broader trend of bankruptcy filings.
ABI partners with Epiq Bankruptcy to provide the most current bankruptcy filing data for analysts, researchers, and members of the news media. The organization's data indicates that bankruptcy filings are expected to continue rising into 2027.
Additionally, the bipartisan Bankruptcy Threshold Adjustment Act (H.R. 7730), sponsored by Rep. Ben Cline (R-Va.), passed the Senate on September 28 and was transmitted to the president for his signature on November 5. The legislation would permanently restore the Subchapter V debt eligibility limit to $7.5 million, reflecting the recommendations of ABI’s Subchapter V Task Force. It also increases the Chapter 13 debt limit to $2.75 million and eliminates the distinction between secured and unsecured debt for eligibility purposes, consistent with reforms proposed by ABI’s Commission on Consumer Bankruptcy.
These changes aim to provide more small businesses and households with access to the restructuring tools they need to navigate economic challenges.