Judge Extends Litigation Stay in Puerto Rico Utility Bankruptcy
- Swain continues a halt on litigation through Jan. 31
- Power utility wants to restructure $10 billion of obligations
The Puerto Rico Electric Authority Palo Seco Power Plant in Toa Baja, Puerto Rico.
Photographer: Xavier Garcia/BloombergThis article is for subscribers only.
The judge overseeing the bankruptcy of Puerto Rico’s electric utility extended a halt on litigation related to the case as the power provider negotiates with bondholders on how to reduce its debts.
US District Court Judge Laura Taylor Swain continued the stay through Jan. 31 and again instructed the parties, including principal members, to participate in restructuring talks, according to a court filing Tuesday. This is the third time that Swain has granted the mediation team’s request to delay lifting the stay.