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debtor in possession

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Debtor in Possession - DIP

A company that continues to operate while under the Chapter 11 bankruptcy process.

Investopedia Commentary

Chapter 11 gives the debtor a fresh start, subject to the debtor's fulfillment of its obligations under its plan of reorganization.

Related Links

An Overview Of Corporate Bankruptcy

See also: Bankruptcy, Chapter 11, Debtor, Debtor in Possession Financing

Also spelled: DIP

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Financial Dictionary

debtor in possession

A company that continues to operate while in Chapter 11 bankruptcy.

Wall Street Words: An A to Z Guide to Investment Terms by David L. Scott.
Copyright © 2003. Published by Houghton Mifflin.
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Legal Dictionary

Main Entry: debtor in possession
: a debtor who remains in possession of an estate during chapter 11 or 12 bankruptcy and has the same duties as a trustee in bankruptcy
Merriam-Webster's Dictionary of Law, © 1996 Merriam-Webster, Inc.
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