I'm not the original commenter, but I've heard similar things in the past. I did some googling, found an article discussing the concept: How Chapter 11 Saved th

I'm not the original commenter, but I've heard similar things in the past. I did some googling, found an article discussing the concept: How Chapter 11 Saved the US Economy, https://www.forbes.com/sites/hbsworkingknowledge/2013/03/25/how-chapter-11-saved-the-us-economy/#48bd2dc71520 https://www.forbes.com/sites/hbsworkingknowledge/2013/03/25/... Choice quote: "Because of Chapter 11 and the expertise of US restructuring professionals who advise troubled companies, Gilson says America's economic recovery has been far speedier than Europe's, where bankruptcy laws tend to favor immediate payback of creditors. "Many countries around the world have bankruptcy laws that primarily seek to liquidate distressed companies," he says. "The emphasis is on reimbursing creditors, or protecting particular stakeholders such as employees, rather than doing what's necessary to rehabilitate the business."