# Cybersecurity Incident Disrupts US Bankruptcy Court Noticing Systems BAE Systems-managed bankruptcy noticing center remains offline following a significant security breach. - **Source:** [www.theregister.com - Articles](https://brifing.si/source/2c34ea50-d341-4a10-925d-12c012a9ad10) - **Published:** 2026-10-16 - **Topic:** [Software & Engineering](https://brifing.si/c/engineering) - **Original article:** - **On Brifing:** https://brifing.si/s/2f19e5be-bd51-47f7-9f01-5f828c8a276e ## System Outage Overview The US bankruptcy court system is currently experiencing a widespread outage due to a cybersecurity incident. The Administrative Office of the US Courts confirmed that the Bankruptcy Noticing Center, managed by BAE Systems, was taken offline. This disruption prevents the production and distribution of critical bankruptcy notices across federal courts nationwide. ## Operational Impact Timeline While the public announcement occurred on Thursday, the Bankruptcy Court of the Eastern District of Texas reported that issues began on October 9. The disruption affects multiple domains, including bnc.uscourts.gov and the National Creditor Registration Service. Consequently, the judiciary has been forced to halt all electronic and paper-based bankruptcy noticing processes. ## Judicial Procedural Adjustments Courts continue to accept new filings and process documents despite the technical failure. However, the Eastern District of Texas issued a general order extending active motions to stay by an additional 30 days for cases filed after September 14. Officials warn that delays in entry and service of orders remain highly likely. ## Vendor Response Strategy BAE Systems confirmed it operates the Bankruptcy Noticing Center on behalf of the Administrative Office of the US Courts. The vendor stated the security incident is isolated specifically to the BNC system. They are currently coordinating with the judiciary to address the breach and restore operational capabilities as quickly as possible. ## Broader Public Sector Context This incident follows a series of recent cyberattacks targeting the US public sector infrastructure. High-profile breaches, such as the attack on the FBI by ShinyHunters and the compromise of the Arizona Judicial Branch, highlight ongoing vulnerabilities. These events underscore the persistent threat posed by criminal hackers and automated bot activity against government systems. ## Heightened Security Measures In August 2025, the US Courts announced an initiative to strengthen cybersecurity protocols following increased targeting of its case management systems. Despite these proactive efforts, the current BNC outage demonstrates the difficulty of securing third-party managed systems. The judiciary continues to evaluate its defensive posture against evolving digital threats to sensitive data. ## Data Integrity Concerns The incident raises questions regarding the potential exposure of personal data and backup court files. Previous attacks on judicial branches involved the theft of sensitive information by malicious actors. While the current focus remains on restoring the BNC, the judiciary must determine if any unauthorized access to case records occurred during this breach. ## Future System Resilience The ongoing disruption serves as a critical test for the US judiciary's reliance on external vendors for essential administrative functions. Future resilience will depend on how effectively the Administrative Office of the US Courts integrates security oversight with BAE Systems. Restoring trust in the electronic noticing process remains the primary objective for officials. ## Sources covering this story - https://www.theregister.com/security/2026/10/16/attack-on-bae-managed-system-disrupts-us-bankruptcy-courts/5303487 — --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._