Macdonald | Fernandez LLP


221 Sansome Street
San Francisco, CA 94104
Telephone: (415) 362-0449
Facsimile: (415) 394-5544
914 Thirteenth Street
Modesto, CA 95354
Telephone: (209)549-7949
Facsimile: (209) 236-0172

Detroit Retirees and Unions Say Municipal Bankruptcy Unconstitutional

A line in the Michigan state constitution provides that public worker pensions cannot be undone.  Detroit unions have joined a committee of retirees seeking to end Detroit's bankruptcy case on these and other grounds.  They intend to depose Michigan's governor Rick Snyder as to his role in authorizing the bankruptcy.  It will be interesting to see how tensions between federal preemption and state sovereignty are resolved in the context of a Chapter 9 bankruptcy.