Trial Seen As Likely Next Step in Stockton BankruptcyFebruary 26, 2013 – In The News
It might not happen at today’s court hearing, but Michael Sweet believes that ultimately a judge will rule that Stockton has made a good case for bankruptcy protection despite creditors’ loud objections.
“Certainly, the city should have done things differently one year ago or five years ago” Sweet said. “It didn’t.”
At today’s hearing, U.S. Bankruptcy Judge Christopher Klein of Sacramento will lead a discussion on what to do next to resolve the question of Stockton’s eligibility.
A short trial lasting a few days is likely in the city’s future according to Sweet.
Sweet also noted that out of an abundance of caution, Judge Klein will likely set a trial to let the attorneys make their last-ditch arguments before making his ruling.
The trial will consist of attorneys cross-examining witnesses, Sweet said, adding that the city won’t get its wish that Klein declare Stockton eligible for bankruptcy today.
“Given the weight of the issues,” Sweet said, “I think it’s unlikely that he just rules on it (immediately).”