Washington — Congress faces decision on bankruptcy courts
Congress must reach a decision today on the operation of the nation's bankruptcy courts. Congress has passed several extensions to avoid a shutdown of the current system, which the Supreme Court ruled in 1982 was unconstitutional.
The options are to extend the current system once again, to devise a new permanent system, or to let the courts shut down.
The roadblock to a permanent solution has been in the Senate, which has been sharply divided over whether or not financially ailing companies may cancel union contracts by declaring bankruptcy.
A bill passed by the House would make such cancellations extremely difficult.