A "work-out" is the common name given to a pre-bankruptcy arrangement among an insolvent company and its creditors. In a work-out, creditors may be persuaded to give up certain rights in connection with a partial payment and perhaps an infusion of additional equity capital into the insolvent company.      The success of a work-out will depend largely on the willingness of the creditors to cooperate and the persuasiveness of management. Typically, management must convince the creditors that they will be better off by cooperating than they would be vigorously pursuing their rights as creditors. Counsel can assist in this process by helping the parties understand what their rights are in relation to each other (who has priority) and crafting a solution that addresses the concerns of the various parties.