creditors' committees (bankruptcy context)

In bankruptcy cases, a creditors' committee is a group formed to represent the interests of unsecured creditors—those owed money without collateral backing. This committee, typically appointed by the bankruptcy court, engages with the debtor to negotiate repayment plans and ensure fair treatment of all creditors. Members share their concerns, review financial information, and help guide the proceedings. Their role is crucial in influencing outcomes and protecting the rights of creditors during the bankruptcy process. Ultimately, they work to maximize recoveries and navigate the complex legal landscape of the case.