Bill > HR4290

This bill, the Puerto Rico Emergency Financial Stability Act of 2015, establishes a temporary halt, known as an "automatic stay," on any legal actions, liens, or collection efforts aimed at recovering debts owed by the Commonwealth of Puerto Rico and its government. This stay is intended to provide breathing room for Puerto Rico, its creditors, and Congress to address the island's severe fiscal and liquidity crisis, which threatens essential public services. The stay is set to expire on April 1, 2016, but creditors can seek relief from it in specific circumstances, such as if they lack adequate protection for their security interests or if the property in question is not essential for the Commonwealth to provide services and the debtor has no equity in it. The bill defines "Commonwealth" as Puerto Rico and "Commonwealth Government" broadly to include its subdivisions and agencies, and specifies that the United States District Court for the District of Puerto Rico will handle any proceedings related to the stay.