Bankruptcy judges' role in reorganization

Bankruptcy judges play a crucial role in the reorganization process for financially distressed companies. They oversee proceedings under Chapter 11 of the Bankruptcy Code, where businesses seek to restructure their debts while continuing operations. The judge ensures that the process is fair, evaluates proposed reorganization plans, and approves or disapproves them based on legal standards. They also resolve disputes among creditors and the company, aiming to maximize the value of the business for all stakeholders involved, facilitating a path toward renewed financial health while balancing the rights of creditors and the interests of the debtor.