Are Chapter 11 filings increasing in 2026?
Yes, business Chapter 11 filings are climbing fast. In our read, that volume makes restructuring one of the few practices hiring at every level in 2026. Filings hit 2,640 in the first quarter of 2026, up from 1,910 a year earlier, a 38 percent jump, based on U.S. Courts data. The second quarter of 2026 ran 19 percent ahead of the same quarter in 2025, with 2,382 filings against 1,997. The climb started well before this year. Filings reached 8,659 in 2025, up from 8,456 in 2024 and nearly double the 4,465 filed in 2022, on the courts' annual figures.
Business Chapter 11 filings were higher than a year earlier in each of the last four quarters. In our view, they point to steady or rising business filings through 2026 and into 2027. Filings fell to a low in 2021 and 2022 and have since returned above their 2020 level. The court count includes small-business cases.
- 20207,786
- 20214,366
- 20224,465
- 20237,070
- 20248,456
- 20258,659
- Q1 2025
- Filings
- 1,910
- Same quarter a year earlier
- 2,021
- Change
- 5.5% lower
- Q2 2025
- Filings
- 1,997
- Same quarter a year earlier
- 2,462
- Change
- 18.9% lower
- Q3 2025
- Filings
- 2,509
- Same quarter a year earlier
- 1,984
- Change
- 26.5% higher
- Q4 2025
- Filings
- 2,227
- Same quarter a year earlier
- 1,968
- Change
- 13.2% higher
- Q1 2026
- Filings
- 2,640
- Same quarter a year earlier
- 1,910
- Change
- 38.2% higher
- Q2 2026
- Filings
- 2,382
- Same quarter a year earlier
- 1,997
- Change
- 19.3% higher
| Quarter | Filings | Same quarter a year earlier | Change |
|---|---|---|---|
| Q1 2025 | 1,910 | 2,021 | 5.5% lower |
| Q2 2025 | 1,997 | 2,462 | 18.9% lower |
| Q3 2025 | 2,509 | 1,984 | 26.5% higher |
| Q4 2025 | 2,227 | 1,968 | 13.2% higher |
| Q1 2026 | 2,640 | 1,910 | 38.2% higher |
| Q2 2026 | 2,382 | 1,997 | 19.3% higher |
What kind of restructuring work is growing?
Restructuring work requires different skill sets depending on the docket. The lawyer who runs a distressed commercial real estate case isn't the lawyer who runs a consumer retail bankruptcy, and a firm staffing up today needs both.
Our read is that out-of-court work is rising alongside the filings. Distressed companies that can dodge the cost and disclosure of a formal Chapter 11 try liability-management deals and out-of-court negotiations first. For a restructuring group, that means hiring Chapter 11 trial talent and corporate restructuring lawyers who can close a complex workout without ever filing.
Which restructuring lawyers are firms hiring?
In our searches, senior partners with active distressed real estate or consumer-retail books draw interest. For mid-level associates, we think the lean filing years of 2021 and 2022 produced a smaller cohort of associates with Chapter 11 experience.
Hiring firms in our searches prioritize real Chapter 11 experience and adversary proceedings.
Why are restructuring partners leaving big firms?
In our conversations, conflicts are one reason restructuring partners leave large firms. Some senior partners are moving their practices to mid-market and regional firms with cleaner conflict profiles.
A mid-market firm should map and resolve its lender conflicts, because conflicts are one reason partners move, in our conversations.
Is restructuring a good practice area to move into in 2026?
Restructuring offers a strong macro picture for an associate weighing a lateral move in mid-2026, but the outcome depends on the firm you pick. A mid-level move into a group with an active docket and a real partner track is one of the better career moves available right now. Joining a group that's still staffing up against work that hasn't arrived is a worse bet than the headline filing numbers suggest, and that gap isn't always obvious from the outside.
Before accepting a restructuring move, confirm the group has live matters today and isn't counting on a pipeline. The market conditions behind the 2025 and 2026 filing surge won't clear quickly, and the firms that built their teams through 2024 are running the practices they wanted.