Chapter 11 cases tend to be complex and sophisticated reorganizations and restructurings of debt obligations that involve negotiations with creditors and a settling of income and expenses of the debtor to determine if the debtor really has a core business that can be reorganized and is throwing off enough profit to actually make a significant payment to unsecured creditors.

Technically speaking, the debtor is supposed to file a plan within the first 120 to 180 days after they file the case, but that deadline is frequently extended without much difficulty by the bankruptcy court.

Cases can go on for years and years and years if there’s litigation involved in the bankruptcy case or if the debtor has an extended payout or has to work through a lease or a contract or some other aspect of its finances.

The Chapter 11 process is long and that is part of the reason why it can be such an expensive remedy for business debtors or for individuals who have sophisticated financial situations.