"Committees" [2019] ELECD 2092; in Lubben, Stephen (ed), "American Business Bankruptcy" (Edward Elgar Publishing, 2019) 115

Book Title: American Business Bankruptcy

Editor(s): Lubben, Stephen

Publisher: Edward Elgar Publishing

Section: Chapter 13

Section Title: Committees

Number of pages: 4

Abstract/Description:

Shortly after the filing of a chapter 11 case, the United States Trustee will hold a meeting (at least in larger cases) to form an official committee of unsecured creditors, and will usually select candidates from the list of the largest unsecured creditors filed with the debtor’s bankruptcy petition. Other committees - comprised of retirees or shareholders - are also possible, but less common. And in many small- and mid-sized cases, the U.S. Trustee finds little to no interest among creditors in constituting any committees. The committee’s professionals are paid out of the estate.