Detroit Judge's Ch. 9 Ruling Will Fire Up Pension Dispute

Law360, New York (December 3, 2013, 8:11 PM EST) -- A judge's Tuesday ruling that Detroit is eligible for bankruptcy relief came as no surprise, but his finding that public pensions can be reduced during a bankruptcy was an unexpected and forceful stand that is likely the start of a hotly contested appeals process.

U.S. Bankruptcy Judge Steven W. Rhodes said the pension funds, which are protected against cuts by Michigan's Constitution, can in fact be reduced under federal bankruptcy law. The decision is a blow to retirees, who have clung tightly to their stance that under state law, their pensions cannot be touched.

Attorneys are predicting that the matter could...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.

  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!


Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!