On Monday, U.S. Bankruptcy Judge Steven Rhodes, who has been assigned the bankruptcy case, said the pension issue will be decided in federal, not state court. And a three-judge panel of the state Court of Appeals on Tuesday granted a stay of Aquilina's rulings that Detroit's bankruptcy filing should be withdrawn because it violated the state's constitution.

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The panel's ruling also prohibits Aquilina from having any further proceedings on the matter until the appeal is resolved.