Judge Lets Stockton, Calif., Proceed With Ch. 9 Filing

Law360, Los Angeles (April 1, 2013, 8:00 PM EDT) -- A California federal judge on Monday ruled that creditors couldn’t stop the city of Stockton from seeking Chapter 9 relief, saying bond insurers didn’t negotiate in good faith, green-lighting the city for one of the largest-ever U.S. municipal bankruptcies.

The decision comes less than a week after the end of a three-day trial and U.S. Bankruptcy Judge Christopher Klein's decision to schedule an oral ruling on Stockton’s eligibility as a debtor.

Judge Klein on Monday found that Stockton was eligible to pursue Chapter 9 bankruptcy and...
To view the full article, register now.




Case Information

Case Title

City of Stockton, California

Case Number



California Eastern

Nature of Suit

Date Filed

June 28, 2012

Law Firms


Government Agencies

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.