“I’m very excited because I’m on the verge of getting out of Chapter 11 and we filed a plan of reorganization that pays everybody in full. Do I still need to file a disclosure statement?”

The short answer to that question is almost certainly going to be yes you do. Bankruptcy judges like to see the disclosure statement. They want to see the debtor make a real effort later in the bankruptcy case to pull everything together, to explain the history, how they got into the trouble they were in, the different aspects of their business, their projections, a balance sheet, a profit and loss, and these are the typical contents of a disclosure statement.

Even though you’re going to pay everybody in full the bankruptcy court is still going to want to see that disclosure statement as will the creditors.