This paper examines the phenomenon of management-initiated, court-supervised reorganization of companies in U.S. bankruptcy court. The proposed in-court persuasion mechanism reconciles excessive reorganizations of non-viable companies (and subsequent repeat failures) with management-initiated...

This chapter is based on primary research focusing on the effect of bankruptcy regulatory changes in Hungary after the 2008 global financial crisis. It studies the attitudes of Hungarian companies toward reorganization possibilities in a creditor-friendly environment and examines the outcomes of...