[Jack Black]

Why not just let them default on the bonds? Bonds have risks, which are balanced by rewards. PR bonds have been a highly rewarding investment, but the risk overtook that and now they are going to be defaulted on.

Why do any new laws need to be passed? If the bond-holders feel the terms of the bonds require things to happen in PR that are not happening (like selling assetts, or requiring higher taxes on residents) let them sue to enforce those terms.

[Vigilanteman]

That would work if it would alone solve the problem. But my understanding is the Puerto Rico, like certain far left states, got into their fiscal mess not just by borrowing and issuing excess bonds but also by making promises such as public employee pensions which they could not keep.

Think about it. Default on the bonds with no way to resolve the rest of the problems and all they have done is shut off access to any new borrowing, not addressing root causes.