Comments on: California: Judge Approves Bankruptcy Plan For One Of The Largest U.S. Cities

By: charliehall

charliehall — Fri, 31 Oct 2014 04:07:29 +0000

akuperma didn’t do his research. The California State Constitution as interpreted by the courts provides special protection for pensions. Those who lend money to California municipalities already take that into account — unless they are stupid.

By: kollel faker

kollel faker — Fri, 31 Oct 2014 00:42:31 +0000

No they are they are seeking relief

By: get involved

get involved — Fri, 31 Oct 2014 00:33:43 +0000

That is great

By: akuperma

akuperma — Thu, 30 Oct 2014 21:42:31 +0000

The 9th circuit will approve of stiffing bondholders in ordre to pay off the unions, but the Supreme Court may not. If Stockton wins, however, it will seriously hurt the credit rating of any municipality that might go bankrupty, since the bond prices will need to reflect the possibility they won’t be honored. If effect, Stockton is turning every city in the country into a potential Argentina.