The California Covid BK Tidal wave has BEGUN (?)

[bornfree2]

This past week California courts have opened up a whole lot more and the filings have dramatically increased.

Check this out:

https://www.pacermonitor.com/court/9/California_Central

Sort by 'individual'. 455 individual BK cases in the past week!

Compare to stats from jan/feb (when court was restricted)

https://www.cacb.uscourts.gov/statis...ntral-district

The court has a newsletter that gives info on opening up. Their 'nextgen' electronic filing system is coming up next week, so there will be a backlog of more petitions racing to the court

https://www.cacb.uscourts.gov/sites/cacb/files/documents/publications/Court%20News%20Apr-Jun%202021.pdf

Maybe this is normal, maybe not?

Well lets hope the system can bear it and everyone gets a fair, expeditious handling.

[justbroke]

That's actually very low. The peak was 2005 because the law was about to change and a boatload of people filed before October 2005 (BAPCPA). The peak after that was during the housing crisis, 2008-2012, with a peak of 1,537,000+ filed. Normally it's about 750,000 per year.

2005, 2,039,000
2006, 598,000
2007, 823,000
2008, 1,074,000
2009, 1,413,000
2010, 1,537,000
2011, 1,362,847
2012, 1,181,000

Since 2012, about 750,000 a year.

[bornfree2]

That's actually very low. ...

Hrm..you are probably correct. i reviewed that page again. It does seem about average from the monthly in 2020 and 2019. 2020 later months showed a dip since courts were restricted.

We are probably in the middle of the pendulum swing. If the economy bounces back and people can go back to full employment again, then they can service those debts and hold of BK. Additionally probably people ignorance of BK and the $billion industry that offers them 'bailouts' by balance transfer, refinancing debt, increase in asset values (market , crypto, houses, etc) will keep them away from the courts

Either way its a great time to be a BK lawyer thats for sure!