DETROIT (AP) — Detroit's huge debt, lack of cash to provide residents with some basic services, and the army of creditors demanding money are among the reasons a judge should allow the Motor City's bankruptcy to proceed, attorneys for the city argue in a court filing submitted late Friday.
The 135-page document, which was submitted in U.S. District Court in Detroit, is a response to efforts by more than 100 creditors to get Judge Steven Rhodes to dismiss the city's pursuit of bankruptcy protection. They contend that that emergency manager Kevyn Orr and his restructuring team didn't negotiate with creditors in good faith or seek alternatives to restructure Detroit's finances before filing for bankruptcy on July 18.
Rhodes is scheduled to hear objections to legal issues later this month. A multi-day hearing on objections to material facts was scheduled to start Oct. 23.