Chapter 11 Restructuring & Reorganization

What is Chapter 11 Bankruptcy Restructuring?
Chapter 11 Bankruptcy is the process created by the United States Bankruptcy Code to preserve the going concern value of operating businesses and to allow for a decision to be made by company’s creditors and equity holders or the Bankruptcy Court (if agreement cannot be reached) as to how such going concern value will be shared, distributed or reallocated.

The firm’s bankruptcy attorneys concentrate in Chapter 11 bankruptcy and business reorganization and business restructurings and other processes benefited by the United States Bankruptcy Code.

The firm’s attorneys’ transactional, restructuring and acquisition experience covers the gamut of business transactions and industries including Construction, Oil & Gas, Securities, Hospitality (Hotels), Medical Facilities Acquisition, Acquisition/Divestitures, Real Estate, Aerospace/Aviation, Pharmaceutical Technology, Intellectual Property, International Business, Joint Ventures/Strategic Alliances, and Mergers and Acquisitions.

The Firm’s business bankruptcy lawyers have represented debtors, creditor committees, secured and unsecured creditors, trustees, equity holders, and asset purchasers as well as individuals, corporations, general partnerships, limited partnership, LLC and LPs in Chapter 7 and Chapter 11 reorganizations and liquidations.

Common Uses of Chapter 11
The following are the firm’s list of the top 10 reasons clients should consider filing for business bankruptcy:

  1. Business Bankruptcy allows the company to match debt service to available cash flow.
  2. Business Bankruptcy allows the company to control the sale of its assets rather than aggressive lenders.
  3. Business Bankruptcy allows the company to propose a unified plan or structure to pay creditors rather than a piecemeal approach.
  4. Business Bankruptcy allows Investors to reinvest with first money out priority.
  5. Business Bankruptcy allows the company to obtain new financing on encumbered assets without lender consent, even ahead of the lender.
  6. Business Bankruptcy prevents unstructured collection activities from the company.
  7. Business Bankruptcy allows interest rates to be adjusted to current market rates.
  8. Business Bankruptcy allows secured debt on “underwater” assets to be reduced to the value of the collateral asset.
  9. Business Bankruptcy caps claims by landlords on downsized operations.
  10. Business Bankruptcy can bring stability to owner/management infighting.
  11. (Bonus) Business Bankruptcy can reduce litigation costs.
Call us to find out more and to discuss what processes may suit your needs.

*Culhane Meadows is ranked by U.S. News/Best Law Firms in Technology Law, Bankruptcy/Reorganization Law, and Information Technology Law. This website and the communications herein may be considered attorney advertising. Previous results are not a guarantee of future outcome. This website is for informational purposes only and does not constitute legal advice. The information herein is not intended to create an attorney-client or similar relationship. Until you establish such a relationship and receive an engagement letter, you have not hired a Culhane Meadows attorney nor become a client of the firm. Whether you are a new or existing client of the firm, Culhane Meadows must determine that there is no conflict of interest and that it is willing and otherwise able to accept the new engagement before representing you on a new matter. Only if and after Culhane Meadows has informed you it is willing and able to accept your new matter should you send the firm any information or documents that you consider private or confidential. Such information will not be treated as private, confidential or otherwise protected from disclosure until Culhane Meadows has communicated in writing that it is willing and able to accept your new matter and provide you with legal counsel. Whether you need legal services and which lawyer or law firm you select are important decisions that should not be based on this website alone.