Bill > S2436

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 other attempts to collect debts owed by the Commonwealth of Puerto Rico. This stay is intended to provide breathing room for Puerto Rico and its creditors to address a severe fiscal emergency and liquidity crisis, which threatens essential public services. The stay is generally in effect until April 1, 2016, though it can be lifted by a court under specific circumstances, such as if a creditor can demonstrate a lack of adequate protection for their security interest 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 the "Commonwealth Government" to include its various subdivisions and agencies, and "Bond" as any debt issued by the Commonwealth prior to the bill's enactment.