• Independence Of Corporate Governance - Helpful In and Out Of Bankruptcy
  • April 16, 2013
  • Law Firm: Young Conaway Stargatt Taylor LLP - Wilmington Office
  • In the wake of consistent attempts by official committees and significant creditors to wrestle control away from debtors in possession amidst allegations of insider taint and conflict, an interesting trend has emerged - just follow the traditional rules of corporate governance under non-bankruptcy law. This trend watch highlights a few key cases to demonstrate an increasing awareness by bankruptcy courts that permitting a debtor to simply exercise its own internal controls concerning independence can be effective and significantly less costly than more drastic measures, such as the appointment of a chapter 11 trustee.