Creditor's committee

A creditor's committee is a group of key creditors appointed during a company's bankruptcy process to represent the interests of all creditors. They review the company’s financial situation, negotiate with management or the debtor, and help develop a plan for restructuring or repayment. The committee’s role is to ensure creditors’ rights are protected, and they act as a liaison between creditors and the court or debtor. Their involvement aims to promote an equitable resolution for all parties involved in the bankruptcy proceedings.