Calif. City Retirees Sue To Block Health Care Cuts

Law360, New York (July 12, 2012, 12:28 PM EDT) -- A putative class of retired Stockton, Calif., public workers filed suit Tuesday to block the bankrupt city’s request to cut health benefits, calling the proposal a flagrant contract violation with potentially grim consequences for Stockton’s elderly.

The suit comes on the heels of Stockton’s historic plunge into Chapter 9 protection June 28. The petition, prompted by a $26 million budget hole, made the city the largest ever in the country to file for bankruptcy. In efforts to slash costs and balance its budget, Stockton announced after...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.