Chapter 11

American  

Or Chapter Eleven,

noun

U.S. Law.

1. a section of the Bankruptcy Code that provides for the reorganization of an insolvent corporation under court supervision and can establish a schedule for the payment of debts and, in some cases, a new corporation that can continue to do business.

---

chapter 11 British  

noun

1. the statute regarding the reorganization of a failing business empowering a court to allow the debtors to remain in control of the business to attempt to save it

   they are in chapter 11

---

Etymology

Origin of chapter 11

C20: from chapter 11 of the Bankruptcy Reform Act (1978)

Example Sentences

Saks Global, which owns Saks Fifth Avenue and Neiman Marcus, filed for Chapter 11 bankruptcy protection in January, citing overwhelming debt.

From Los Angeles Times • Mar. 23, 2026

RAD is seeking to reorganize under the Chapter 11 U.S. bankruptcy process due to struggles raising money from investors.

From Barron's • Mar. 3, 2026

It expects to reduce its debt and lease obligations to about $2.1 billion postbankruptcy, from $7.4 billion before the Chapter 11 filing.

From MarketWatch • Feb. 24, 2026

Orlando, Fla.-based Red Lobster filed for Chapter 11 bankruptcy protection in May 2024 after years of declining traffic and an overly generous all-you-can-eat shrimp deal that piled up steep losses.

From The Wall Street Journal • Feb. 10, 2026

In Chapter 11 I wrote about one of its destructive aspects—the extreme destructivity of two periods of general war.

From Civilization and Beyond Learning from History by Nearing, Scott