Judge Rejects Detroit’s $165M Deal with Creditors as ‘Just Too Much Money’January 17, 2014 – In The News
Michael Sweet was quoted in the Christian Science Monitor article "Judge Rejects Detroit’s $165M Deal with Creditors as ‘Just Too Much Money.’" While the full text can be found in the January 17, 2014, issue of Christian Science Monitor, a synopsis is noted below.
U.S. Bankruptcy Judge Steven Rhodes rejected a $165 million settlement between Detroit and some of the city’s largest creditors, suggesting the city could do better.
“It will be incumbent on parties to prove to him that the settlement is fair and equitable for everyone, including the non-settling parties,” said Michael Sweet. “It also shows that he is going to scrutinize settlements, even those brought to him and recommended by his own mediators.”
“I would think the next step would still be for them to go another round of mediation or settlement discussions,” Sweet said. “I don’t think this will result in an immediate firing up of the litigation machine.”