[quote=SD Squatter]CALPERS trying to rewrite city bankruptcy rules
Bloomberg:
“The California Public Employees’ Retirement System is trying to rewrite the rules for bankrupt cities, claiming that it should get paid before almost everyone else, including bondholders.”
That’s opinion that is not consistent with bankruptcy law. Chapter 9 is pretty unique, and there isn’t all that much in the way of precedent. But the rules regarding priorities of claims remains. And debts to employees are priority claims, even in chapter 9. Calpers is not trying to rewrite any existing law. The law simply does not exist.
