For businesses in Hackettstown who are experiencing financial difficulties, a Chapter 11 bankruptcy offers the chance to halt the collection activities that have been driving it deeper into debt and formulate a strategy that will allow it to remain open. When discussing Chapter 11 cases, much attention is paid to the debtor in possession and the court-appointed trustee (if there is one). Yet while everyone assumes that their presence is recognized in a bankruptcy case, few details are often given about the creditors involved. Who looks out for their interests?
The answer to that question depends on the unique circumstances of each individual case. If a debtor filing for Chapter 11 bankruptcy only has a handful of creditors, then dealings between the two sides can often be easily managed. Yet when several different creditors are involved, the court may appoint a creditors committee.