A procedure under Section 363(b) of the US Bankruptcy Code that allows a company to sell its assets outside the ordinary course of its business during US bankruptcy proceedings such as Chapter 11.

Section 363 sales require the approval of the US bankruptcy court, and are typically conducted by public auction under its supervision. A main advantage of a section 363 sale is the ability to sell assets free and clear of any security interests or liens, although the process includes certain protections for security or lien holders.

For more information, see Practice note, Corporate restructuring under the US Bankruptcy Code: overview: Selling the assets of an insolvent US company and Article, US bankruptcy sales: new strategies for investors, PLC Magazine 2009.