Once a company files for Chapter 11 bankruptcy, it must sort through a myriad of potential issues and transition into operating as a business subject to the Bankruptcy Code. Through various “First-Day Motions,” a debtor will seek immediate relief to avoid a complete shutdown of the company’s operations and reduce the administrative burdens associated with bankruptcy.

This article discusses the different First-Day Motions, their role in a Chapter 11 bankruptcy, and how such motions can affect creditors and their rights. To access this article and read other insights from our Creditor’s Rights Toolkit, please click here.