On October 28, 2010, Banning Lewis Ranch Co. LLC and Banning Lewis Ranch Development I & II, LLC (collectively, "Banning"), filed chapter 11 petitions for bankruptcy in the United States Bankruptcy Court for the District of Delaware. A copy of one of the Banning bankruptcy petition is available here for review. Banning owns over 21,000 acres of land situated on the east side of Colorado Springs, Colorado. According to Banning's List of Unsecured Creditors, the company's three largest debts are for loans in excess of $170 million (combined).

According to reports by the Colorado Springs Gazette, there are currently 200 families living in the Banning community. In Banning's Resolutions authorizing the company to file for bankruptcy, Banning states that its bankruptcy was the result of "uncertain economic and financial conditions generally."

The Banning bankruptcy is before the Honorable Kevin J. Carey, Chief Judge of the Delaware Bankruptcy Court. Banning's bankruptcy counsel in this proceeding is Cross and Simon LLC.