In reaction to the fiscal difficulties experienced by state governments over the past three years, several politicians and academics proposed that Congress legislate a new chapter to the Bankruptcy Code under which the financial obligations of a state may be restructured. This essay is...

The priority structure of debt claims against business entities is a key feature of corporate finance. The American Bankruptcy Institute's Commission to Study Reform of Chapter 11 recently recommended that U.S. bankruptcy law grant junior, out-of-the-money creditors a distribution in the...

This chapter is forthcoming in an edited research handbook on corporate bankruptcy law. It reviews the theoretical and empirical scholarship on debtor-in-possession (DIP) financing, particularly as it bears on the more controversial features of DIP loans: financial terms such as...