Here’s the judge’s reasoning:
The state court judge in Michigans capital of Lansing ordered Orr to withdraw the bankruptcy petition because the state law that allowed Snyder to approve the bankruptcy violated the Michigan Constitution. The governor lacks the power to diminish or impair pension benefits, according to the ruling by Ingham County Circuit Court Judge Rosemarie Aquilina.
Maybe true, but this should be argued in Bankruptcy court. No way can this judge order all debt out of bankruptcy because of one class of creditors. This is why we have bankruptcy court. The retiree can argue the retirement plans are not part of the bankruptcy, in essence, claim the highest level of creditor protection.
This twit lacks the power to trump federal bankruptcy law, so her ruling should simply be ignored. However, just so she isn't left with the impression that her ruling was anywhere near correct, I'm sure the Michigan Court of Appeals with reverse her in a strongly worded opinion.