Michigan is objecting to the sale of Chrysler LLC assets to Italian automaker Fiat, claiming the new company won’t meet obligations to a state workers’ compensation fund.
State Attorney General Mike Cox filed papers in bankruptcy court in New York on behalf of the State of Michigan Workers’ Compensation Fund and Funds Administration.
The filing says that could leave Chrysler unable to make yearly $25 million payments. The state worries its Self-Insurers’ Security Fund could become insolvent and leave all eligible injured workers at larger companies without benefits.
Judge Arthur Gonzales said the objection could be resolved later if and when he is asked to rule on a final sale motion.
The filing says Chrysler can’t avoid regulatory requirements that apply to all Michigan employers.
Topics Talent Workers' Compensation Michigan
Was this article valuable?
Here are more articles you may enjoy.
Trump Says Illegal Immigration Increased Car Insurance but Experts Say Otherwise 
Appetite for Insurance M&A Remains as AI Enters the Chat, Says PwC 
Eli Lilly Wins Court Order in Fraud Allegations Against Florida, TN Pharmacy Groups 
Flood Insurance Gap Will Squeeze Local Governments and Homeowners, Moody’s Says 
