On June 10, 2009, the sale of substantially all of Chrysler's assets closed, just 42 days after the country's third largest automaker filed for bankruptcy protection. The closing followed a contentious sale hearing before the Bankruptcy Court, an expedited appeal to the Second Circuit Court of Appeals and a brief stay imposed by the United States Supreme Court. The source of the contention: three Indiana state pension funds, arguing that the sale of Chrysler's assets constituted a sub rosa plan of reorganization that upended the priority scheme of the Bankruptcy Code.
USA, Insolvency & Restructuring, Litigation, Sheppard Mullin Richter & Hampton LLP, Bankruptcy, Debtor, Collateral (finance), Class action, Liability (financial accounting), Unsecured creditor, Troubled Asset Relief Program, Secured loan, United Automobile Workers, Chrysler, Emergency Economic Stabilization Act 2008 (USA), Supreme Court of the United States, Second Circuit, United States bankruptcy court