system
Given the following post, respond as if you're commenting on Reddit:
human
ELI5: How do bankrupt companies still operate?

I read all the time about major companies filing for bankruptcy, but still operating. Do they not have to close their doors and attempt to liquidate assets to pay back debts?
gpt
There are different types of bankrupcy, usually denoted by the chapter of the code that governs the process.

Some types require total liquidation and would cause the company to fold, but others allow the company to keep running and restructure their debts.  It is up to the company and the courts to decide what the right path forward is.