San Bernardino Workers Say City Didn’t Haggle With Creditors

Law360, New York (October 25, 2012, 2:59 PM EDT) -- An employees union for the City of San Bernardino, Calif., on Wednesday told a California bankruptcy court that the city can't restructure because it violated state law when it failed to negotiate with its creditors before filing for Chapter 9.

In a memo, the San Bernardino Public Employees Association ripped San Bernardino's claim that its fiscal emergency exempted it from prefiling negotiations, saying the city has been aware of its financial problems for years.

“Rather than attempting a good faith adjustment of its debts and obligations,...
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