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Bill > HR4616


US HR4616

Adjustable Interest Rate (LIBOR) Act of 2021


summary

Introduced
07/22/2021
In Committee
07/29/2021
Crossed Over
12/09/2021
Passed
Dead
01/03/2023

Introduced Session

117th Congress

Bill Summary

AN ACT To deem certain references to LIBOR as referring to a replacement benchmark rate upon the occurrence of cer- tain events affecting LIBOR, and for other purposes.

AI Summary

This bill aims to establish a clear and uniform process for replacing LIBOR (the London Interbank Offered Rate) in existing contracts that do not provide for a clearly defined or practicable replacement benchmark rate. The bill designates the Secured Overnight Financing Rate (SOFR) as the replacement benchmark and provides for certain technical, administrative, and operational changes to facilitate the transition. The bill also includes provisions to preclude litigation related to existing LIBOR contracts and to allow existing contracts with defined fallback provisions to continue operating according to their terms. Additionally, the bill amends the Higher Education Act to address instances where the 1-month USD LIBOR ceases or becomes non-representative.

Committee Categories

Business and Industry, Housing and Urban Affairs

Sponsors (1)

Last Action

Committee on Banking, Housing, and Urban Affairs. Hearings held. (on 03/03/2022)

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