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Bankruptcy News

When people fall on hard times, it is sometimes necessary to file for bankruptcy. There are many different kinds of bankruptcy that have different effects on filers. Bankruptcy can help debtors work their way out from under large amounts of debt, but it can also seriously impact their lives and the lives of their families. For this reason, anyone considering filing for bankruptcy should weigh their options and consider whether bankruptcy is right for them. FindLaw’s Bankruptcy News section is the foremost source of legal news and analysis about bankruptcy, with breaking news, attorney articles and information from sources around the web.

Top Headlines

  • Toys R Us files for Chapter 11 reorganization

    Tue, 19 Sep 2017 09:18:57 GMT

    RICHMOND, Va. (AP) — Toys R Us, the big box toy retailer struggling with $5 billion in long-term debt, has filed for Chapter 11 bankruptcy protection ahead of the key holiday shopping season, saying it will continue its normal business operations.

  • Different ways to zap your debt: Which is for you?

    Thu, 14 Sep 2017 14:47:17 GMT

    American consumer debt has rebounded to prerecession levels, and the category that includes credit cards hit a record $1.02 trillion this summer. Maybe your credit card debt has crept up too, setting your own personal record.

  • Liz Weston: Debt settlement a bad alternative to bankruptcy

    Mon, 28 Aug 2017 14:22:47 GMT

    Debt settlement isn't the Wild West industry it was a decade ago, when people routinely paid hefty upfront fees to companies that failed to deliver any relief.

  • Ryanair files complaint with EU after Air Berlin bankruptcy

    Wed, 16 Aug 2017 14:08:41 GMT

    BERLIN (AP) — Germany on Wednesday rejected a claim by budget airline Ryanair that a government loan for rival Air Berlin as part of its bankruptcy proceedings amounted to a "conspiracy" to keep the airline afloat until a new owner is found.

  • Liz Weston: How debt consolidation can go wrong

    Mon, 17 Jul 2017 14:06:15 GMT

    Daniel Montville knew a debt consolidation loan wouldn't solve his financial problems, but the hospice nurse hoped it would give him some breathing room. He had already filed for bankruptcy once, in 2005, and was determined not to do it again.

  • Liz Weston: Free of debt - with regrets

    Wed, 05 Jul 2017 17:35:42 GMT

    Stories about how ordinary people pay off debt quickly can be amazing, inspiring — and somewhat deceptive.

  • Board: Court could decide Puerto Rico power company debt

    Fri, 30 Jun 2017 18:06:46 GMT

    SAN JUAN, Puerto Rico (AP) — A federal control board overseeing Puerto Rico's finances announced Friday that it will allow the U.S. territory to ask a court to restructure roughly $9 billion in debt held by the island's power company if needed, angering bondholders who had reached a tentative deal with the company as they brace for a multimillion-dollar default.

  • Air bag maker Takata files for bankruptcy in Japan, US

    Mon, 26 Jun 2017 00:15:12 GMT

    UNDATED (AP) — Japanese air bag maker Takata Corp. has filed for bankruptcy protection in Tokyo and the U.S., overwhelmed by lawsuits and recall costs related to its production of faulty air bag inflators.

  • Air bag maker Takata bankruptcy filing expected in Japan, US

    Sun, 25 Jun 2017 15:41:19 GMT

    DETROIT (AP) — Drowning in a sea of lawsuits and recall costs, Japanese air bag maker Takata Corp. is expected to seek bankruptcy protection in Tokyo and the United States early Monday.

  • Air bag maker Takata bankruptcy expected Monday in Japan, US

    Sun, 25 Jun 2017 12:05:41 GMT

    DETROIT (AP) — Drowning in a sea of lawsuits and recall costs, Japanese air bag maker Takata Corp. is expected to seek bankruptcy protection in Tokyo and the United States early Monday.

  • Experts: Takata bankruptcy means air bag victims get less

    Tue, 20 Jun 2017 04:05:32 GMT

    DETROIT (AP) — A bankruptcy filing by Japanese air bag maker Takata will leave little money for dozens of people who sued the company over deaths and injuries caused by its exploding air bag inflators, according to outside legal experts and lawyers suing the company.

  • Puerto Rico seeks court's help to save public pension system

    Mon, 22 May 2017 19:53:02 GMT

    SAN JUAN, Puerto Rico (AP) — Puerto Rico is seeking help from federal court to restructure the debt of the U.S. territory's public pension system, which is projected to run out of money this year.

  • Puerto Rico's development bank forges deal with creditors

    Mon, 15 May 2017 19:51:07 GMT

    SAN JUAN, Puerto Rico (AP) — Puerto Rico's development bank has entered into a deal with financial creditors that would allow it to avoid a lengthy bankruptcy proceeding, the leader of the debt-swamped U.S. island announced Monday.

  • Justices rule against consumer in debt collection case

    Mon, 15 May 2017 15:27:16 GMT

    WASHINGTON (AP) — A divided Supreme Court ruled Monday that debt collection companies can't be sued for trying to recover years-old credit card debt from people who seek bankruptcy protection.

  • Puerto Rico to close 179 public schools amid crisis

    Fri, 05 May 2017 22:28:49 GMT

    SAN JUAN, Puerto Rico (AP) — Puerto Rico is closing 179 public schools in a move expected to save more than $7 million amid a deep economic crisis that has sparked an exodus to the U.S. mainland in the past decade, officials said Friday.

  • Puerto Rico faces uncertain future as debt saga unfolds

    Thu, 04 May 2017 17:09:07 GMT

    SAN JUAN, Puerto Rico (AP) — Uncertainty is spreading across Puerto Rico and the U.S. municipal bond market now that the U.S. territory has taken an unprecedented step into federal court to restructure a portion of its $73 billion debt.

  • Puerto Rico turns to courts for debt protection

    Wed, 03 May 2017 21:23:37 GMT

    SAN JUAN, Puerto Rico (AP) — Puerto Rico's governor turned to the courts Wednesday to protect the U.S. territory from a crushing $73 billion debt in the largest effort ever made by a U.S. government to shield itself from creditors.

  • Puerto Rico announces huge, historic debt restructuring

    Wed, 03 May 2017 18:23:16 GMT

    SAN JUAN, Puerto Rico (AP) — Puerto Rico's governor on Wednesday announced a historic restructuring of a portion of the U.S. territory's $73 billion debt through courts after negotiations with bondholders failed. The announcement marks the biggest bankruptcy-type process ever for the U.S. municipal bond market.

  • Puerto Rico announces historic debt restructuring in court

    Wed, 03 May 2017 14:49:43 GMT

    SAN JUAN, Puerto Rico (AP) — Puerto Rico's governor has announced a historic restructuring of a portion of the U.S. territory's $70B debt through courts after negotiations with bondholders failed.

  • Puerto Rico governor announces historic restructuring of $70B debt through courts after talks with bondholders fail.

    Wed, 03 May 2017 14:39:12 GMT

    SAN JUAN, Puerto Rico (AP) — Puerto Rico governor announces historic restructuring of $70B debt through courts after talks with bondholders fail.

  • Puerto Rico hit with lawsuits after litigation freeze ends

    Tue, 02 May 2017 20:54:34 GMT

    SAN JUAN, Puerto Rico (AP) — Bondholders sued Puerto Rico on Tuesday in the first legal challenges to hit the U.S. territory after the expiration of a freeze on litigation that protected it from lawsuits amid a deep economic crisis.