Major Alabama Hospital Files for Chapter 11 Bankruptcy Protection

​Mizell Memorial Hospital Incorporated, a healthcare business based in Opp, Alabama, seeks Chapter 11 protection.

Written By Twinkle Jha
​Mizell Memorial Hospital filed a bankruptcy petition on April 29 (Image credit: Pixabay | Created on Canva)

Mizell Memorial Hospital Incorporated has filed for Chapter 11 bankruptcy protection. The healthcare business serves the community in Opp, Alabama, through its acute care hospital, clinics, and emergency services.

Case filings show that the business currently faces around 200 to 999 creditors.

Mizell Memorial Hospital Incorporated Enters Bankruptcy

According to a Facebook post dated April 29, 2026, the business initiated Chapter 11 restructuring proceedings. The move is intended to secure its financial position in the future without affecting regular operations.

“Our hospital, clinics, and emergency services remain FULLY OPERATIONAL and ready to care for you and your families,” the post read.

To ensure transparency, the Opp, Alabama-based business will continue providing bankruptcy updates to the community.

Case Related Details

According to case filings on PACER, Mizell Memorial Hospital Incorporated submitted its Chapter 11 petition on April 29, 2026. CEO Debbie Franklin, who is also the business’s authorized representative, signed the petition before it was filed.

The case is being heard in the U.S. Bankruptcy Court for the Middle District of Alabama. Thompson Burton PLLC has been hired as the legal counsel in the case.

Summarized details from Chapter 11 petition are given here:

  • Filing Date: April 29, 2026
  • Court and Jurisdiction: U.S. Bankruptcy Court for the Middle District of Alabama
  • Type of Filing: Active, Voluntary Petition
  • Chapter: 11
  • Case Number: 26-31120
  • Estimated Assets: Between $10,000,001 and $50 million
  • Estimated Liabilities: Between $10,000,001 and $50 million
  • Reason for Filing: Restructure business under court supervision

About the Company

According to its website, the business operates as a private, not-for-profit acute care hospital in Opp, Alabama. Founded in 1949, it is currently licensed for around 99 beds. Governed by a local board, the business has more than 200 staff.

Offerings include emergency care, surgery, radiology, pediatrics, and general medicine. The business also has a network of outpatient clinics.

Previous Filings by Healthcare Businesses

Financial challenges in the healthcare industry have been evident in the ongoing bankruptcy cases in recent months.

Facing claims of unsecured creditors of more than $2 million, RyzeMD Corporation sought Chapter 11 protection. The Tampa, Florida-based healthcare provider decided to proceed under Subchapter on April 2, 2026, to expedite its reorganization. Over the years, it has offered mobile urgent care via telemedicine, corporate healthcare programs, and more.

That same month, a 10-year-old home healthcare provider filed for Chapter 11. As a small business debtor, Lucienne Home Care, Inc. hoped to bridge the gap between its assets and liabilities. The Boca Raton, Florida-based business offers a range of services, including nursing, speech therapy, home health aide support, and more.

A healthcare business serving the elderly in Bloomington, Minnesota, filed for bankruptcy on March 30, 2026. Senior Home Health Care, LLC, qualified as a small business debtor and reported having 50 to 99 creditors in its Chapter 11 petition.

Mizell Memorial Hospital Incorporated’s filing places it among a growing number of healthcare providers that have pursued bankruptcy protection in recent months, reflecting broader financial pressures in the industry.

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Twinkle Jha is a content writer passionate about crafting engaging and informative pieces for diverse audiences. She holds a degree in Journalism & Mass Communication that helps her create news-based articles related to restaurants, retail, and real estate in the US. With five years of writing experience, Twinkle has a strong base for her research, allowing her to create compelling content. Her keen eye for detail and creative approach make her writing stand out. When not working, she loves to watch movies.
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