(Bankr. W.D. Ky. Issued May 30, 2014)
In this lengthy opinion, Judge Lloyd of the Bankruptcy Court for the Western District of Kentucky grants judgment in favor of debtor Seven Counties Services in this adversary proceeding brought against it by Kentucky Employees Retirement System (“KERS”). The Court also grants the debtor’s motion to reject its executory contract with KERS, permitting it to leave the state retirement system. The Court concludes that the debtor is not a governmental entity and thus may proceed with its Chapter 11 reorganization. Opinion below.