Chapter 11 Bankruptcy
/ˈtʃæptər əˈlɛvən ˈbæŋkrʌptsi/
Definitions
- (n.) A form of bankruptcy in U.S. federal law allowing reorganization of a financially distressed business under court supervision while continuing operations.
The company filed for Chapter 11 bankruptcy to restructure its debts and avoid liquidation.
Forms
- chapter 11 bankruptcy
- chapter 11 bankruptcies
Related terms
See also
Commentary
Chapter 11 is primarily used by businesses to reorganize; it differs fundamentally from Chapter 7, which involves liquidation.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.