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Economic Continuity and Stability Act: Replacing LIBOR

This Act establishes a clear and uniform nationwide process for replacing the LIBOR benchmark in existing contracts that lack practicable replacement provisions. Its purpose is to preclude litigation resulting from the discontinuation of LIBOR and ensure contract continuity by designating a Board-selected benchmark replacement (based on SOFR).
Key points
Establishment of a SOFR-based rate as the replacement for LIBOR contracts lacking adequate fallback provisions.
Provision that contract modifications under this Act are not treated as a sale or exchange of property for Federal income tax purposes.
Safe harbor protection against claims for entities using the Board-selected benchmark replacement.
Amendment to the Higher Education Act of 1965 to adjust special allowance calculations for student loans in the event of LIBOR cessation.
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Expired
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Additional Information
Print number: 117_S_3844
Sponsor: Sen. Tester, Jon [D-MT]
Process start date: 2022-03-15
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Source data: api.congress.gov
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OFFICIAL LEGAL TITLE

Economic Continuity and Stability Act

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 117_S_3844.

Which chamber initiated this legislation?

This legislation was initiated in the Senate.

When did the legislative process begin?

The process officially started on 2022-03-15.

What are the main provisions?

Key points include:

  • Establishment of a SOFR-based rate as the replacement for LIBOR contracts lacking adequate fallback provisions.
  • Provision that contract modifications under this Act are not treated as a sale or exchange of property for Federal income tax purposes.
  • Safe harbor protection against claims for entities using the Board-selected benchmark replacement.
  • Amendment to the Higher Education Act of 1965 to adjust special allowance calculations for student loans in the event of LIBOR cessation.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Sen. Tester, Jon [D-MT].

What is the latest detailed status?

The latest detailed status is: Introduced in Senate

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2026-01-02.

CATEGORIES

Economy Courts and Law