I agree, based on what little I learned about bankruptcy to pass the CPA exam, that Supreme Court many have made the wrong decision. I believe that they may have done so for political reasons.
You have to remember that pensions are a liability to a company (ie Chrysler) just as bonds are. There is a secondary effect that what happens to the retirements of the line workers of a company should go BK and the execs had not properly funded the pension?
After saying California could tax foreign corporations on the foreign profits, the Supreme Court basically told Congress to pass a law to out law the practice and Congress did.
Supreme Court rules on what fits the letter of the law/constitution, not what is right.
