A Metairie, Louisiana-based hospice care provider has filed for Chapter 11 bankruptcy protection. Case records show that the company currently faces a financial gap, which likely contributed to the filing.
Gulf South Hospice of New Orleans, LTD is expected to continue providing services to patients and families during the bankruptcy proceedings.
Gulf South Hospice of New Orleans, LTD Files for Chapter 11
After reporting a significant gap between assets and liabilities, the company moved to the bankruptcy court on May 27, 2026. Attorney Patrick S. Garrity of The Derbes Law Firm, LLC, is representing the company in the case.
Court filings, as available on PACER, stated the hospice care provider qualified as a ‘small business debtor.’ In addition, it elected to proceed under Subchapter V of Chapter 11. This type of filing typically allows businesses to complete their bankruptcy process more quickly and at a lower cost.
Case Related Details
Company president Robert Merrett signed the petition prior to filing in the U.S. Bankruptcy Court for the Eastern District of Louisiana (New Orleans Division).
As per the filings, Gulf South Hospice of New Orleans, LTD submitted a list of creditors who have the largest unsecured claims. Out of them, Palmetto GBA is the largest unsecured creditor and holds a claim of over $651,000.
Other creditors added in the list include American Express, Cox Communication, McKesson Medical – Surgical, U.S. Small Business Administration, Patio Drugs, and more.
Court filings indicate that after administrative expenses, no funds will be available for distribution to the unsecured creditors.
The company’s financial challenges are further reflected in its estimated assets and liabilities. While the liabilities are projected between $1 million and $10 million, the assets are only to $50,000. Other filings included a corporate ownership statement.
A summary of the Chapter 11 petition is shared here:
- Filing Date: May 27, 2026
- Court and Jurisdiction: U.S. Bankruptcy Court for the Eastern District of Louisiana (New Orleans Division)
- Type of Filing: Active, Voluntary Petition
- Chapter: 11, Subchapter V
- Case Number: 26-11284
- Estimated Assets: Between $0 and $50,000
- Estimated Liabilities: Between $1,000,001 and $10 million
- Estimated Creditors: Between 1 and 49
- Reason for Filing: To restructure the business under court supervision
About the Company
Gulf South Hospice of New Orleans, LTD is a Medicare and Medicaid certified hospice care provider. Its LinkedIn page states that the company began operations in 2011, supporting patients with life-limiting illnesses and their families.
Services include pain and symptom management, medical supplies and equipment, spiritual support, and social worker counseling, its website states.
The company offers these services in diverse settings, such as patients’ homes, nursing facilities, assisted living centers, and hospitals. Its team includes registered nurses, physicians, social workers, chaplains, and certified hospice aides.
Previous Filings by Other Hospice Care Providers
In recent months, the hospice care industry has seen a string of bankruptcies with several regional companies seeking to reorganize their finances.
Against this backdrop, the latest is The Lighthouse Community Hospice, Inc. The company has been offering solutions across 12 Georgia counties since 2020. As a McDonough, Georgia-based provider, the company made a Chapter 11 filing on May 5, 2026. Case records showed that it has up to 99 creditors and that it is moving ahead under Subchapter V.
Before this, a hospice provider based in Phoenix had turned to bankruptcy. Attempting to reorganize, Supportive Hands Hospice Inc. submitted a Chapter 11 petition on April 9, 2026. It provides hospice and supportive care services across Pinal and Maricopa counties.
Gulf South Hospice of New Orleans, LTD’s filing outlines the financial pressures currently facing the hospice care sector. Its court-guided proceedings are expected to allow the company to regain its financial footing in the coming days.
