2. Introduction
• A partner at O’Melveny & Myers LLP, Suzzanne
Uhland is head of the firm’s U.S. restructuring
practice. Suzzanne Uhland regularly represents
clients in Chapter 11 bankruptcy proceedings, which
typically involve the reorganization of a partnership
or corporation.
Unlike a Chapter 7 bankruptcy, in which a business
ceases all operations and sells its assets to acquire
the money necessary to pay off its debts, a Chapter
11 bankruptcy usually allows the debtor to retain
control of business operations.
3. Chapter 11
• The debtor then takes on the role of “debtor in
possession” and is subject to court oversight during
the transition.
Debtors in possession can pursue a number of
restructuring options, such as seeking out financing
and loans in exchange for equity offerings.
Regardless of the solution the debtor suggests, the
court ultimately rules on the merits of the proposed
plan under U.S. bankruptcy law. The debtor is
required to provide the court with enough
information to make that determination.
