A chapter 11 Plan sets forth the terms of a global novation among a debtor, its creditors, and its equity holders. A novation, in turn, is the act of replacing an obligation to perform with another obligation. So, a chapter 11 plan—once confirmed—replaces all of a debtors’ preexisting obligations with a set of new obligations, which are contained in the plan. There are several different types of plans. These include traditional chapter 11 and subchapter V chapter 11.