DETROIT (CBSDETROIT/AP) – Banks, bond insurers, employee pension systems and others who believe they are owed money by the city of Detroit are up against the clock to legally voice opposition to the largest municipal bankruptcy filing in U.S. history.

Monday is the eligibility objection deadline in the bankruptcy petition by Detroit Emergency Manager Kevyn Orr.

It’s one step in a process that could take months or years to complete if Detroit is approved for bankruptcy protection.

If a federal judge declares the city insolvent, Detroit’s creditors stand to lose big. Detroit emergency manager Kevyn Orr stopped payment on $2.5 billion in debt in June … and asked more than 100 creditor representatives to take pennies on the dollar.

Monday’s filing deadline will mark the start of legal challenges for those hoping to recoup all or most of what the city owes them. The city has until September 6th to file its responses to objections by creditors, which number in the thousands.

Copyright 2013 by STATS LLC and The Associated Press. Any commercial use or distribution without the express written consent of STATS LLC and The Associated Press is strictly prohibited.

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