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Detroit bankruptcy: The war shifts to the courts

State officials say they hope that Detroit will emerge from bankruptcy by September 2014, but labor unions and bondholders are gearing up for what is more likely to be a prolonged legal battle.

Detroit teeters on brink of bankruptcy as state takeover looms

To avoid the takeover of a state-issued emergency financial manager, Detroit Mayor Dave Bing and the City Council are assembling their own plan that would cede some control to the state government.