Orange County residents and businesses filed 3,905 bankruptcies in the first six months of the year, almost doubling the number in the same period of 2007, according to the federal Bankruptcy Court Central District of California, based on filings in the Santa Ana court.

Law360, New York (August 13, 2008) -- The economic downturn continues to take its toll on the corporate world, with business bankruptcies surging in July to the highest levels since 2006, according to a monthly tally by a bankruptcy research firm.

July was the hottest month for bankruptcy filings since the number of filings cooled off after new bankruptcy laws took effect nearly three years ago, new data show.

July was the hottest month for bankruptcy filings since the number of filings cooled off after new bankruptcy laws took effect nearly three years ago, new data show. Last month, 5,664 businesses sought to liquidate or restructure under bankruptcy protection, the highest monthly total since Congress’ overhaul of the Bankruptcy Code took effect in October 2005, according to Automated Access to Court Electronic Records. AACER’s data shows that this is only the third time in the past few years that the monthly total has topped 5,000.

After a five-year slump, bankruptcy filings are once again on the rise, according to a company that runs a bankruptcy database.

Jupiter eSources LLC, which operates Automated Access to Court Electronic Records, or AACER, reported 186,788 bankruptcy filings through the first three months of 2007, up around 70% from last year.