ABSTRACT
The ritual of corporate reorganization performs the service for great enterprises in adversity. A corporate reorganization is a combination of a municipal election, a historical pageant, an antivice crusade, a graduate-school seminar, a judicial proceeding, and a series of horse trades, all rolled into one—thoroughly buttered with learning and frosted with distinguished names. When the large organizations, wearing the garments of rugged individuals, replaced actual individuals, the conflict of the ideals and the political practical techniques of organization created the law of corporate reorganization. The ethics of the group controlling reorganizations were no better or worse than the ethics of corporate's great municipal machines, like Tammany Hall. One common form of reorganization results in a new corporation owning and operating the property. Generally counsel fees in reorganizations constitute the largest single item for all services and usually exceed the compensation of the officers or groups which the attorney represents.
