For the beleaguered company struggling for a profit and fighting
valiantly through costs, claims, and creditors to keep the ship afloat, a
“breathing spell” can be very attractive.
When a lender has a claim against a bankruptcy debtor, and the
claim is secured by a lien on property of the debtor, the Bankruptcy
Court
balances the interests of the lender and the borrower—debtor in the
property.