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Hillview Files For Bankruptcy

Ervins Strauhmanis/Creative Commons

A suburban Kentucky city hit with an $11.4 million jury verdict in a dispute with a truck-driving school has filed for bankruptcy.

The city of Hillview made its Chapter 9 bankruptcy filing Thursday in Louisville. The Bullitt County city has about 9,000 residents.

The city's biggest creditor is Truck America Training, the truck-driving school that won the $11.4 million verdict in 2012.

Hillview city attorney Tammy Baker said the judgment has grown to about $15 million including interest. The bankruptcy petition stops interest from accruing, she said.

city services won't be cut due to the bankruptcy, she said.

The state Supreme Court has declined to review the city's appeal of the judgment.

The Kentucky League of Cities said it's not aware of another bankruptcy filing by a Kentucky city. WDRB reports that Hillview is the first U.S. city to file for bankruptcy since Detroit in 2013.