Hearing Date: December 14, 2022 at 9:30AM (Atlantic Standard Time)

 

IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF PUERTO RICO

In re:

THE FINANCIAL OVERSIGHT AND 

MANAGEMENT BOARD FOR PUERTO RICO,

as representative of

THE COMMONWEALTH OF PUERTO RICO, et

al.,

Debtors.1

PROMESA

Title III

No. 17-BK-3283-LTS

(Jointly Administered)

Re: ECF Nos. 22889, 22936, 

22951

NOTICE OF FILING OF (A) REVISED PROPOSED ORDER GRANTING MOTION OF 

THE FINANCIAL OVERSIGHT AND MANAGEMENT BOARD FOR 

PUERTO RICO TO AMEND ALTERNATIVE DISPUTE RESOLUTION PROCEDURES 

AND (B) SUPPLEMENTAL DOCUMENTATION

 

1 The Debtors in these Title III Cases, along with each Debtor’s respective Title III case number and the last four 

(4) digits of each Debtor’s federal tax identification number, as applicable, are the (i) Commonwealth of Puerto 

Rico (Bankruptcy Case No. 17-BK-3283-LTS) (Last Four Digits of Federal Tax ID: 3481); (ii) Puerto Rico Sales 

Tax Financing Corporation (“COFINA”) (Bankruptcy Case No. 17-BK-3284-LTS) (Last Four Digits of Federal 

Tax ID: 8474); (iii) Puerto Rico Highways and Transportation Authority (“HTA”) (Bankruptcy Case No. 17-BK3567-LTS) (Last Four Digits of Federal Tax ID: 3808); (iv) Employees Retirement System of the Government of 

the Commonwealth of Puerto Rico (“ERS”) (Bankruptcy Case No. 17-BK-3566-LTS) (Last Four Digits of Federal 

Tax ID: 9686); (v) Puerto Rico Electric Power Authority (“PREPA”) (Bankruptcy Case No. 17-BK-4780-LTS) 

(Last Four Digits of Federal Tax ID: 3747); and (vi) Puerto Rico Public Buildings Authority (“PBA”) (Bankruptcy 

Case No. 19-BK-5523-LTS) (Last Four Digits of Federal Tax ID: 3801) (Title III case numbers are listed as 

Bankruptcy Case numbers due to software limitations).

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PLEASE TAKE NOTICE that, on November 22, 2022, the Financial Oversight and 

Management Board for Puerto Rico (the “Oversight Board”), as the sole Title III representative of 

the Commonwealth of Puerto Rico (the “Commonwealth”), the Puerto Rico Highways and 

Transportation Authority (“HTA”), the Employees Retirement System of the Government of the 

Commonwealth of Puerto Rico (“ERS”), the Puerto Rico Electric Power Authority (“PREPA”), 

and the Puerto Rico Public Buildings Authority (“PBA,” and together with the Commonwealth, 

HTA, ERS, and PREPA, the “Debtors”) pursuant to Section 315(b) of the Puerto Rico Oversight, 

Management, and Economic Stability Act (“PROMESA”),2 filed the Motion of the Financial 

Oversight and Management Board for Puerto Rico to Amend Alternative Dispute Resolution 

Procedures [ECF No. 22899] (the “Motion”),3 which attached as Exhibit A the proposed Order 

Granting Motion of the Financial Oversight and Management Board for Puerto Rico to Amend 

Alternative Dispute Resolution Procedures (the “Proposed Order”).

PLEASE TAKE FURTHER NOTICE that, since the filing of the Motion, the Oversight 

Board received informal comments from certain parties.

PLEASE TAKE FURTHER NOTICE that attached hereto as Exhibit A is a revised 

proposed Order Granting Motion of the Financial Oversight and Management Board for Puerto 

Rico to Amend Alternative Dispute Resolution Procedures (the “Revised Proposed Order”), which 

reflects the comments received from certain parties. Specifically, the Revised Proposed Order (i) 

clarifies that professional fee and reimbursement claims (as set forth in Section 3.2 of the Plan4) 

 2 PROMESA is codified at 48 U.S.C. §§ 2101–2241.

3 Citing “wrong event,” the Clerk of the Court directed the Debtors to re-file the Motion. In accordance with the 

Clerk’s instructions, the Motion was re-filed without any modifications or alterations on November 29, 2022 at ECF 

No. 22936.

4 Capitalized terms used but not defined herein shall have the meanings ascribed to them in the Motion.

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shall not be submitted to the ADR Procedures, as amended, and (ii) modifies the proposed 

amendments to the ADR Procedures such that claimants who fail to respond to an Offer or a 

Further Offer (as defined in the ADR Procedures) shall proceed to Evaluative Mediation; however, 

if such claimants fail to timely participate in the Evaluative Mediation process, the Revised 

Proposed Order authorizes the Debtors to remove claims from the ADR Procedures, as amended,

and object on appropriate grounds.

PLEASE TAKE FURTHER NOTICE that attached hereto as Exhibit B is a redline

comparison of the Revised Proposed Order against the Proposed Order.

PLEASE TAKE FURTHER NOTICE that, on December 1, 2022, the Court entered the 

Order Setting Deadline for the Submission of Supplemental Documentation in Connection with 

the Financial Oversight and Management Board for the Puerto Rico’s Motion to Amend 

Alternative Dispute Resolution Procedures [ECF No. 22951] (the “December 1 Order”), in which 

it directed the Oversight Board to file: “(i) a redlined version of the ADR Procedures Order with 

the proposed amendments, and (ii) a proposed form of notice to be served on claimants whose 

claims are transferred into ADR pursuant to the proposed amended ADR Procedures Order.” Id. 

at 1-2.

PLEASE TAKE FURTHER NOTICE that, in compliance with the December 1 Order, 

the Oversight Board attaches to the Revised Proposed Order as Exhibit 1 a redlined version of the 

ADR Procedures Order reflecting the proposed amendments set forth in the Revised Proposed 

Order (the “Proposed Amended ADR Procedures Order”).

PLEASE TAKE FURTHER NOTICE that, in further compliance with the December 1 

Order, the Oversight Board attaches to the Revised Proposed Order as Exhibit 2 a proposed form 

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of notice to be served on claimants whose claims are transferred into ADR pursuant to the Proposed 

Amended ADR Procedures Order.

PLEASE TAKE FURTHER NOTICE that all documents filed in these Title III Cases

are available (a) free of charge by visiting https://cases.ra.kroll.com/puertorico or by calling +1 

(844) 822-9231, and (b) on the Court’s website at http://www.prd.uscourts.gov, subject to the 

procedures and fees set forth therein.

[Remainder of Page Left Intentionally Blank]

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Dated: December 7, 2022

San Juan, Puerto Rico

Respectfully submitted,

/s/ Brian S. Rosen 

Martin J. Bienenstock

Brian S. Rosen 

(Admission pro hac vice)

PROSKAUER ROSE LLP

Eleven Times Square

New York, NY 10036

Tel: (212) 969-3000

Fax: (212) 969-2900

Attorneys for the Financial Oversight and 

Management Board as representative for the 

Debtors

/s/ Hermann D. Bauer 

Hermann D. Bauer

USDC No. 215205

O’NEILL & BORGES LLC

250 Muñoz Rivera Ave., Suite 800

San Juan, PR 00918-1813

Tel: (787) 764-8181

Fax: (787) 753-8944

Co-Attorneys for the Financial Oversight and 

Management Board as representative for the 

Debtors

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EXHIBIT A

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IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF PUERTO RICO

In re:

THE FINANCIAL OVERSIGHT AND 

MANAGEMENT BOARD FOR PUERTO RICO,

as representative of

THE COMMONWEALTH OF PUERTO RICO, et

al.,

Debtors.1

PROMESA

Title III

No. 17-BK-3283-LTS

(Jointly Administered)

ORDER GRANTING MOTION OF THE FINANCIAL OVERSIGHT AND 

MANAGEMENT BOARD FOR PUERTO RICO TO AMEND 

ALTERNATIVE DISPUTE RESOLUTION PROCEDURES 

 1 The Debtors in these Title III Cases, along with each Debtor’s respective Title III case number and the last four 

(4) digits of each Debtor’s federal tax identification number, as applicable, are the (i) Commonwealth of Puerto 

Rico (Bankruptcy Case No. 17-BK-3283-LTS) (Last Four Digits of Federal Tax ID: 3481); (ii) Puerto Rico Sales 

Tax Financing Corporation (“COFINA”) (Bankruptcy Case No. 17-BK-3284-LTS) (Last Four Digits of Federal 

Tax ID: 8474); (iii) Puerto Rico Highways and Transportation Authority (“HTA”) (Bankruptcy Case No. 17-BK3567-LTS) (Last Four Digits of Federal Tax ID: 3808); (iv) Employees Retirement System of the Government of 

the Commonwealth of Puerto Rico (“ERS”) (Bankruptcy Case No. 17-BK-3566-LTS) (Last Four Digits of Federal 

Tax ID: 9686); (v) Puerto Rico Electric Power Authority (“PREPA”) (Bankruptcy Case No. 17-BK-4780-LTS) 

(Last Four Digits of Federal Tax ID: 3747); and (vi) Puerto Rico Public Buildings Authority (“PBA”) (Bankruptcy 

Case No. 19-BK-5523-LTS) (Last Four Digits of Federal Tax ID: 3801) (Title III case numbers are listed as 

Bankruptcy Case numbers due to software limitations).

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Upon the Motion of the Financial Oversight and Management Board for Puerto Rico to 

Amend Alternative Dispute Resolution Procedures, dated November 22, 2022 (the “Motion”),2 of 

the Debtors for entry of an order (this “Order”) authorizing amendment of the alternative dispute 

resolution procedures, and granting related relief as more fully described in the Motion; and this 

Court having jurisdiction over this matter pursuant to PROMESA section 306(a); and it appearing 

that venue is proper pursuant to PROMESA section 307(a); and the Court having found that the 

relief requested in the Debtors’ Motion is in the best interests of the Debtors, their creditors, and 

other parties in interest; and the Court having found that, based upon the relief requested by the 

Debtors’ Motion, no other or further notice is required; and the Court having determined that the 

legal and factual bases set forth in the Debtors’ Motion establish just cause for the relief granted 

herein; and any objections to the relief requested herein having been resolved as set forth herein, 

or withdrawn or overruled on the merits; and after due deliberation and sufficient cause appearing 

therefor,

IT IS HEREBY ORDERED THAT:

1. The Motion is granted to the extent set forth herein. 

2. Sections 3(f), 6(c), 7(b), and 7(c) of the ADR Procedures are hereby amended as 

follows:

3. Evaluative Mediation

f) If the Designated Claimant is deemed to have rejected an Offer or a 

Further Offer by failing to timely respond to an Offer or a Further 

Offer (as set forth in Section 2 above), and the Designated Claimant 

fails to timely engage in the Evaluative Mediation process as set forth 

in this Section, including, but not limited to, failure to timely submit a 

mediation statement or failure to timely respond to an email or 

 2 All capitalized terms used but not otherwise defined herein shall have the meanings ascribed to them in the Motion.

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telephone message from the mediator, such failure shall constitute noncompliance with the procedures set forth herein, and the Debtors are 

authorized to withdraw the Claim from the ADR process and object to 

the Claim, which may result in disallowance and expungement of the 

associated claim in whole or in part. In the event that a Designated Claim 

is not resolved through Offer Exchange or Evaluative Mediation 

notwithstanding timely response or submissions (an “Unresolved 

Claim”), such Designated Claim shall be resolved in accordance with the 

process outlined in Section 4 below. Within ten (10) days of the termination 

of Evaluative Mediation (as set forth in Section 3(e) above), the Debtor(s) 

shall serve upon the Designated Claimant a notice describing the 

opportunity to participate in binding arbitration and the opportunity for use 

of Commonwealth court procedures.

...

6. Commonwealth Court Litigation of Unresolved Claims

...

c) For purposes of the ADR Procedures, the The Commonwealth’s 

courts will only resolve the amount of a creditor’s general unsecured claim

or administrative expense priority claim (the latter of which shall not 

include professional and reimbursement claims as set forth in Section 

3.2 of the Modified Eighth Amended Title III Joint Plan of Adjustment of 

the Commonwealth of Puerto Rico, et al., [ECF No. 19784] (as amended, 

supplemented, or modified, the “Plan”)). Without limiting the foregoing, 

any other issue, including, without limitation, the priority or classification 

of a claim, distributions with respect thereto, and issues related to 

subordination thereof, shall not be subject to the Commonwealth court’s 

determination and shall be determined in connection with the provisions of 

an applicable plan of adjustment or as otherwise determined by the Title III 

Court.

...

7. General Provisions Regarding ADR Procedures

...

b) The ADR Procedures will only resolve the amount of a creditor’s general 

unsecured claim or administrative expense priority claim (the latter of 

which shall not include professional and reimbursement claims as set 

forth in Section 3.2 of the Plan). Without limiting the foregoing, any other 

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3

issue, including, without limitation, the priority or classification of a claim, 

distributions with respect thereto, and issues related to subordination 

thereof, shall not be subject to the ADR Procedures and shall be determined 

in connection with the provisions of an applicable plan of adjustment or as 

otherwise determined by the Title III Court. 

c) To the extent a holder of a general unsecured claim or administrative 

expense priority claim (the latter of which shall not include professional 

and reimbursement claims as set forth in Section 3.2 of the Plan) has 

filed, sought or seeks any relief related to a Claim that is subject to the ADR 

Procedure, including, without limitation, relief sought in any adversary 

proceeding or any other applicable court of law (collectively, the 

“Actions”), and such Designated Claimant has not elected to liquidate their 

Claim through the process outlined in Section 6 above, such Actions shall 

be stayed (including with respect to pending discovery) until the ADR 

Procedure with respect to such Claim has been completed. Within five (5) 

business days of entry of a final order with respect to the validity and 

amount of such Claim in the ADR Procedure, a motion shall be filed in the 

applicable forum to dismiss any corresponding portion of such Action, with 

prejudice, and to transfer any remaining portion of such Action, to the extent 

not pending or subject to the Debtors’ Title III cases, to the Title III Court 

presiding over the Debtors’ Title III cases. To the extent required, the 

automatic stay, extant pursuant to section 362 of the Bankruptcy Code, 

applicable herein in accordance with section 301 of PROMESA, shall be 

deemed modified solely for the purpose of determining the validity and 

amount of a claim pursuant to the ADR Procedure. 

3. The ADR Procedures, as amended (the “Amended ADR Procedures”), are 

attached hereto as Exhibit 1.3 

4. The Debtors’ proposed form of notice to be filed and served in connection with 

the Amended ADR Procedures, attached as Exhibit 2, is approved.

5. The Debtors are authorized to take any and all actions reasonably necessary or 

appropriate to effectuate the relief granted pursuant to this Order in accordance with the Motion.

6. The Debtors’ right to seek further amendment of the Amended ADR Procedures 

 3 The Amended ADR Procedures also include the edits set forth in the Court’s Order Amending Alternative Dispute 

Resolution Procedures [ECF No. 15505], dated December 29, 2020.

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is preserved.

7. This Order resolves docket entry No. ______

8. This Court retains exclusive jurisdiction with respect to all matters arising from 

or related to the implementation, interpretation, and enforcement of this Order.

SO ORDERED.

Dated: , 2022

 LAURA TAYLOR SWAIN

 United States District Judge

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EXHIBIT B

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IN THE UNITED STATES DISTRICT COURT

FOR THE DISTRICT OF PUERTO RICO

In re:

THE FINANCIAL OVERSIGHT AND 

MANAGEMENT BOARD FOR PUERTO RICO,

as representative of

THE COMMONWEALTH OF PUERTO RICO, et

al.,

Debtors.1

PROMESA

Title III

No. 17-BK-3283-LTS

(Jointly Administered)

ORDER GRANTING MOTION OF THE FINANCIAL OVERSIGHT AND 

MANAGEMENT BOARD FOR PUERTO RICO TO AMEND 

ALTERNATIVE DISPUTE RESOLUTION PROCEDURES 

 1 The Debtors in these Title III Cases, along with each Debtor’s respective Title III case number and the last four 

(4) digits of each Debtor’s federal tax identification number, as applicable, are the (i) Commonwealth of Puerto 

Rico (Bankruptcy Case No. 17-BK-3283-LTS) (Last Four Digits of Federal Tax ID: 3481); (ii) Puerto Rico Sales 

Tax Financing Corporation (“COFINA”) (Bankruptcy Case No. 17-BK-3284-LTS) (Last Four Digits of Federal 

Tax ID: 8474); (iii) Puerto Rico Highways and Transportation Authority (“HTA”) (Bankruptcy Case No. 17-BK3567-LTS) (Last Four Digits of Federal Tax ID: 3808); (iv) Employees Retirement System of the Government of 

the Commonwealth of Puerto Rico (“ERS”) (Bankruptcy Case No. 17-BK-3566-LTS) (Last Four Digits of Federal 

Tax ID: 9686); (v) Puerto Rico Electric Power Authority (“PREPA”) (Bankruptcy Case No. 17-BK-4780-LTS) 

(Last Four Digits of Federal Tax ID: 3747); and (vi) Puerto Rico Public Buildings Authority (“PBA”) (Bankruptcy 

Case No. 19-BK-5523-LTS) (Last Four Digits of Federal Tax ID: 3801) (Title III case numbers are listed as 

Bankruptcy Case numbers due to software limitations).

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Upon the Motion of the Financial Oversight and Management Board for Puerto Rico to 

Amend Alternative Dispute Resolution Procedures, dated November 22, 2022 (the “Motion”),2 of 

the Debtors for entry of an order (this “Order”) authorizing amendment of the alternative dispute 

resolution procedures, and granting related relief as more fully described in the Motion; and this 

Court having jurisdiction over this matter pursuant to PROMESA section 306(a); and it appearing 

that venue is proper pursuant to PROMESA section 307(a); and the Court having found that the 

relief requested in the Debtors’ Motion is in the best interests of the Debtors, their creditors, and 

other parties in interest; and the Court having found that, based upon the relief requested by the

Debtors’ Motion, no other or further notice is required; and the Court having determined that the 

legal and factual bases set forth in the Debtors’ Motion establish just cause for the relief granted 

herein; and any objections to the relief requested herein having been resolved as set forth herein, 

or withdrawn or overruled on the merits; and after due deliberation and sufficient cause appearing 

therefor,

IT IS HEREBY ORDERED THAT:

1. The Motion is granted to the extent set forth herein. 

2. Sections 2(c), 23(f), 3(a), 6(c), 7(b), and 7(c) of the ADR Procedures are hereby 

amended as follows:

2. Offer Exchange Procedures

c) Within twenty-five (25) days of service of an Offer via either an Offer 

Letter or an ADR Notice, the Designated Claimant must respond to such 

 2 All capitalized terms used but not otherwise defined herein shall have the meanings ascribed to them in the Motion.

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Offer by (1) accepting the Offer, by execution and delivery of a stipulation 

provided by the Commonwealth or such other Debtor in connection with 

the Offer or (2) submitting a counteroffer (the “Counteroffer”); provided, 

however, that any Counteroffer may only propose an amount that, if agreed 

upon, will fix the amount of the creditor’s claim; and, provided, further, that 

if the creditor fails to timely respond to the Offer Letter, the Offer shall be 

deemed rejected. If the Designated Claimant rejects, or is deemed to have 

rejected, the Offer, the Designated Claim will advance to the next step of 

the ADR Procedures, as set forth below. If the Designated Claimant is 

deemed to have rejected the Offer by failing to timely respond to the 

Offer Letter, it shall constitute non-compliance with the procedures set 

forth herein, and the Debtors are authorized to object to the Claim, 

which may result in disallowance and expungement of the associated 

claim in whole or in part.

...

f) Within thirty (30) days of receipt of any Counteroffer, the 

Commonwealth or such other Debtor, as the case may be, may (1) accept 

such Counteroffer, by delivery of a stipulation evidencing agreement to the 

proposed amount, or (2) reject such Counteroffer, by delivery of notice to 

such Designated Claimant that such Counteroffer is unacceptable. The 

Commonwealth or such other Debtor, as the case may be, may also submit 

its own counteroffer to the creditor, and the parties may exchange as many 

offers and counteroffers (each, a “Further Offer”) as they deem appropriate 

prior to a determination that an impasse has been reached. The Debtors or 

the Designated Claimant shall have thirty (30) days from receipt of each 

such Further Offer (1) to accept such Further Offer, by delivery of a 

stipulation evidencing agreement to the proposed amount, or (2) to reject 

such Further Offer, by delivery of notice that such Further Offer is 

unacceptable. Failure to respond to a Further Offer within thirty (30) days 

of receipt shall constitute non-compliance with the procedures set forth 

herein, and the Debtors are authorized to object to the Claim, which 

may result in disallowance and expungement of the associated claim in 

whole or in part be deemed rejection of such Further Offer. The 

Commonwealth or such other Debtor, as the case may be, may also request 

additional information or documentation (the “Information Request”) from 

the Designated Claimant. The Designated Claimant shall provide additional 

documentation or information in response to such Information Request 

within twenty-one (21) days following receipt of such Request. Within ten 

(10) days of either the Designated Claimant’s or the Debtor’s rejection of 

an Offer, Counteroffer, or Further Offer, the Debtor(s) shall file a notice of 

impasse (the “Offer Exchange Impasse Notice”) with the Title III Court. 

...

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3. Evaluative Mediation

a) In the event that a Claim is not resolved through the Offer Exchange 

process, the Claim will proceed to the next step of the ADR Procedures. If 

the Designated Claimant is deemed to have rejected the Offer or a 

Further Offer by failing to timely respond to the Offer Letter, it shall 

constitute non-compliance with the procedures set forth herein, and the 

Debtors are authorized to object the Claim, which may result in 

disallowance and expungement of the associated claim in whole or in 

part. If the Designated Claimant timely responds but rejects an Offer 

or a Further Offer, the Claim will proceed to an evaluation (“Evaluative 

Mediation”) of the Designated Claimant’s claim by a mediator (“Mediator”) 

identified by the Title III Court in its sole and absolute discretion, including 

a federal judge. The Purpose of the Evaluative Mediation phase of the ADR 

Procedures is to obtain a non-binding, confidential, monetary valuation of 

each Designated Claim that may assist in achieving settlement by serving 

as a focal point for further discussions between the parties. 

...

3. Evaluative Mediation

f) If the Designated Claimant is deemed to have rejected an Offer or a 

Further Offer by failing to timely respond to an Offer or a Further 

Offer (as set forth in Section 2 above), and the Designated Claimant 

fails to timely engage in the Evaluative Mediation process as set forth 

in this Section, including, but not limited to, failure to timely submit a 

mediation statement or failure to timely respond to an email or 

telephone message from the mediator, such failure shall constitute noncompliance with the procedures set forth herein, and the Debtors are 

authorized to withdraw the Claim from the ADR process and object to 

the Claim, which may result in disallowance and expungement of the 

associated claim in whole or in part. In the event that a Designated Claim 

is not resolved through Offer Exchange or Evaluative Mediation 

notwithstanding timely response or submissions (an “Unresolved 

Claim”), such Designated Claim shall be resolved in accordance with the 

process outlined in Section 4 below. Within ten (10) days of the termination 

of Evaluative Mediation (as set forth in Section 3(e) above), the Debtor(s) 

shall serve upon the Designated Claimant a notice describing the 

opportunity to participate in binding arbitration and the opportunity for use 

of Commonwealth court procedures.

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6. Commonwealth Court Litigation of Unresolved Claims

...

c) For purposes of the ADR Procedures, the The Commonwealth’s 

courts will only resolve the amount of a creditor’s general unsecured claim 

or administrative expense priority claim (the latter of which shall not 

include professional and reimbursement claims as set forth in Section 

3.2 of the Modified Eighth Amended Title III Joint Plan of Adjustment of 

the Commonwealth of Puerto Rico, et al., [ECF No. 19784] (as amended, 

supplemented, or modified, the “Plan”)). Without limiting the foregoing, 

any other issue, including, without limitation, the priority or classification 

of a claim, distributions with respect thereto, and issues related to 

subordination thereof, shall not be subject to the Commonwealth court’s 

determination and shall be determined in connection with the provisions of 

an applicable plan of adjustment or as otherwise determined by the Title III 

Court.

...

7. General Provisions Regarding ADR Procedures

...

b) The ADR Procedures will only resolve the amount of a creditor’s general 

unsecured claim or administrative expense priority claim (the latter of 

which shall not include professional and reimbursement claims as set 

forth in Section 3.2 of the Plan). Without limiting the foregoing, any other 

issue, including, without limitation, the priority or classification of a claim, 

distributions with respect thereto, and issues related to subordination 

thereof, shall not be subject to the ADR Procedures and shall be determined 

in connection with the provisions of an applicable plan of adjustment or as 

otherwise determined by the Title III Court. 

c) To the extent a holder of a general unsecured claim or administrative 

expense priority claim (the latter of which shall not include professional 

and reimbursement claims as set forth in Section 3.2 of the Plan) has 

filed, sought or seeks any relief related to a Claim that is subject to the ADR 

Procedure, including, without limitation, relief sought in any adversary 

proceeding or any other applicable court of law (collectively, the 

“Actions”), and such Designated Claimant has not elected to liquidate their 

Claim through the process outlined in Section 6 above, such Actions shall 

be stayed (including with respect to pending discovery) until the ADR 

Procedure with respect to such Claim has been completed. Within five (5) 

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business days of entry of a final order with respect to the validity and 

amount of such Claim in the ADR Procedure, a motion shall be filed in the 

applicable forum to dismiss any corresponding portion of such Action, with 

prejudice, and to transfer any remaining portion of such Action, to the extent 

not pending or subject to the Debtors’ Title III cases, to the Title III Court 

presiding over the Debtors’ Title III cases. To the extent required, the 

automatic stay, extant pursuant to section 362 of the Bankruptcy Code, 

applicable herein in accordance with section 301 of PROMESA, shall be 

deemed modified solely for the purpose of determining the validity and 

amount of a claim pursuant to the ADR Procedure. 

3. The ADR Procedures, as amended (the “Amended ADR Procedures”), are 

attached hereto as Exhibit 1.3

4. The Debtors’ proposed form of notice to be filed and served in connection with 

the Amended ADR Procedures, attached as Exhibit 2, is approved.

5. The Debtors are authorized to take any and all actions reasonably necessary or 

appropriate to effectuate the relief granted pursuant to this Order in accordance with the Motion, 

including but not limited to the implementation of necessary conforming edits to the ADR Notice 

(as defined in the ADR Procedures) to reflect the changes immediately above. 

6. The Debtors’ right to seek further amendment of the ADR Procedures is 

preserved;

7. This Order resolves docket entry No. ______

8. This Court retains exclusive jurisdiction with respect to all matters arising from 

or related to the implementation, interpretation, and enforcement of this Order.

3 The Amended ADR Procedures also include the edits set forth in the Court’s Order Amending Alternative Dispute Resolution 

Procedures [ECF No. 15505], dated December 29, 2020.

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SO ORDERED.

Dated: , 2022

 LAURA TAYLOR SWAIN

 United States District Judge

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EXHIBIT 1

Amended Alternative Dispute Resolution Procedures

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ALTERNATIVE DISPUTE RESOLUTION PROCEDURES

1. Claims Subject to the Alternative Dispute Resolution Procedures.

a) Commencing one hundred (100) days following approval of these procedures by the Court, and 

every forty-five (45) days thereafter, the Commonwealth, on behalf of itself and the other Debtors, 

shall file with the Court and serve on the claimants identified therein (the “Designated Claimants”), 

at the address listed on the claimants’ most recently filed proof of claim or amended proof of claim, 

a notice of intent to transfer to the ADR Procedure (the “ADR Notice”), and attaching as Exhibit 

A to the Notice a schedule of claims that the Debtors have identified to be eligible to participate 

in the ADR Procedure. The proposed form of the ADR Notice is annexed hereto as Exhibit 2. 

b) In the event that (i) the Debtors file an omnibus objection to Claims, (ii) a claimant objects to the 

relief requested in such omnibus objection, and (iii) the Court or the Debtors determine that further 

reconciliation of any such Claim is appropriate pursuant to the ADR Procedure, the Debtors shall 

file an ADR Notice with the Court and serve the ADR Notice upon the Claimant stating that such 

Claim has been removed from the omnibus objection and shall be subject to the ADR Procedure. 

If the Debtors make such determination, within ten (10) days of service of a claimant’s objection 

to the relief requested in the omnibus objection, and no later than seven (7) days prior to the hearing 

on the omnibus objection, the Debtors shall file an ADR Notice with the Court setting forth the 

Claims to which an omnibus objection has been interposed and responded to by the holder thereof 

as and to which the Debtors have determined are eligible for the ADR Procedure. In the event that 

the Court determines independently that further reconciliation of any such claim(s) is appropriate 

pursuant to the ADR Procedures, the Court will enter an order directing the Debtors to file an ADR 

Notice with the Court, specifying the claim(s), and serve the ADR Notice upon the relevant 

Claimant(s).

c) The ADR Notice (i) may request that the Designated Claimant verify, correct, clarify, or 

supplement certain information regarding their claim, and (ii) shall state (a) whether the Debtor 

consents to the adjudication of the Claim by binding arbitration, as set forth below, and (b) the 

costs of arbitration, if the Designated Claim is not resolved pursuant to the Offer Exchange 

Procedures (as defined below) or Evaluative Mediation (as defined below). 

d) Claims asserting liabilities arising from funded indebtedness, or from the Commonwealth’s 

clawback of revenues, shall not be subject to the ADR Procedure.

2. Offer Exchange Procedures

a) The initial step in the ADR Procedure shall be an exchange of settlement offers (the “Offer 

Exchange”), which exchange will provide the Debtors and the Designated Claimants the 

opportunity to resolve the underlying Claims on a consensual basis, without the need for further 

proceedings.

b) In the event that the ADR Notice does not include an offer from the Debtor(s) (the “Offer”) to 

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settle the validity and amount of such Designated Claimant’s proof of claim, within sixty (60) days 

of the ADR Notice being served upon the Designated Claimants, the Commonwealth or such other 

Debtor, as the case may be, shall serve upon the Designated Claimant, at the address set forth on 

such Designated Claimant’s proof of claim, an Offer (the “Offer Letter”). The Offer Letter or 

ADR Notice shall be accompanied by relevant documentation relied upon by the Debtor(s) in 

determining the amount of the offer. For the avoidance of doubt, however, the Debtor(s) shall not 

be obligated to provide with the Offer Letter or ADR Notice all documents on which it intends to 

rely in reconciling a creditor’s Claim. 

c) Within twenty-five (25) days of service of an Offer via either an Offer Letter or an ADR Notice, 

the Designated Claimant must respond to such Offer by (1) accepting the Offer, by execution and 

delivery of a stipulation provided by the Commonwealth or such other Debtor in connection with 

the Offer or (2) submitting a counteroffer (the “Counteroffer”); provided, however, that any 

Counteroffer may only propose an amount that, if agreed upon, will fix the amount of the creditor’s 

claim; and, provided, further, that, if the creditor fails to timely respond to the Offer Letter, the 

Offer shall be deemed rejected. If the Designated Claimant rejects, or is deemed to have rejected, 

the Offer, the Designated Claim will advance to the next step of the ADR Procedures, as set forth 

below. 

d) When the Designated Claimant responds to the Offer Letter, either by acceptance of the Offer or 

the submission of a Counteroffer, the Designated Claimant shall be required to notify the Debtors 

if (a) it consents to (and thereby opts into) or (b) does not consent to (and thereby opts out of) 

binding arbitration in the event that the Claim ultimately is not resolved through the Offer 

Exchange Procedures. If the Designated Claimant returns the Offer Letter without expressly 

notifying the Debtors that it consents to, and seeks to opt into, binding arbitration, the Designated 

Claimant shall be deemed to have opted out of binding arbitration. Any Designated Claimant that 

does not consent to binding arbitration in its response to the Offer Letter may later consent, in 

writing, to binding arbitration, provided that the Debtors also so consent. Consent to binding 

arbitration, once given, cannot subsequently be withdrawn. 

e) The Counteroffer may not exceed the amount or improve the priority set forth in the Designated 

Claimant’s most recent timely filed proof of claim or amended proof of claim (but may liquidate 

any unliquidated amounts expressly referenced in a proof of claim). 

f) Within thirty (30) days of receipt of any Counteroffer, the Commonwealth or such other Debtor, 

as the case may be, may (1) accept such Counteroffer, by delivery of a stipulation evidencing 

agreement to the proposed amount, or (2) reject such Counteroffer, by delivery of notice to such 

Designated Claimant that such Counteroffer is unacceptable. The Commonwealth or such other 

Debtor, as the case may be, may also submit its own counteroffer to the creditor, and the parties 

may exchange as many offers and counteroffers as they deem appropriate prior to a determination 

that an impasse has been reached. The Commonwealth or such other Debtor, as the case may be, 

may also request additional information or documentation (the “Information Request”) from the 

Designated Claimant. The Designated Claimant shall provide additional documentation or 

information in response to such Information Request within twenty-one (21) days following 

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receipt of such Request. 

g) All Offers, Counteroffers and other communication and information exchanged in connection 

therewith shall remain confidential, be subject to Rule 408 of the Federal Rules of Evidence, not 

be an admission of liability on anyone’s part, not be disclosed to any person, court or tribunal, and 

not be used other than in connection with the ADR Procedure. 

3. Evaluative Mediation 

a) In the event that a Claim is not resolved through the Offer Exchange process, the Claim will 

proceed to the next step of the ADR Procedures, an evaluation (“Evaluative Mediation”) of the 

Designated Claimant’s claim by a mediator (“Mediator”) identified by the Title III Court in its sole 

and absolute discretion, including a United States Magistrate Judge. The purpose of the Evaluative 

Mediation phase of the ADR Procedures is to obtain a non-binding, confidential, monetary 

valuation of each Designated Claim that may assist in achieving settlement by serving as a focal 

point for further discussions between the parties. 

b) During the Mediation phase, the Title III Court may design a process for assigning Mediators to 

Designated Claims, including a process to identify whether any individual Mediator may be 

conflicted from resolving a Designated Claim. 

c) During the Evaluative Mediation process, the Designated Claim shall be evaluated by the assigned 

Mediator. The Debtors shall provide notice to the Designated Claimant within a reasonable time 

following the assignment of a Mediator to a Designated Claim. Upon assignment of a Mediator 

to a Designated Claim, the Debtor shall provide the Mediator, with copy to the Designated 

Claimant, with all information exchanged during the Offer Exchange process. Within twenty-one 

(21) days of receipt of that information, the Mediator shall estimate the monetary value of the 

Designated Claim (the “Evaluation”). The Evaluation shall be limited to a determination of the 

monetary value, if any, of the Designated Claim, and shall not raise or purport to evaluate any 

issues relating to the potential treatment or priority of the Designated Claim pursuant to a plan of 

adjustment. If the Mediators fail to issue an Evaluation within twenty-one (21) days of receipt of 

the information, the Designated Claim shall proceed to binding arbitration, where both parties have 

consented to same. 

d) Within twenty-eight (28) days following the issuance of the Evaluation, each of the parties shall 

submit to the Mediator a written acceptance or rejection of the Evaluation. The failure to submit 

a written acceptance or rejection within twenty-eight (28) days shall constitute a rejection of the 

Evaluation. If both parties accept the Evaluation, then the Designated Claim shall be deemed 

settled and the amount set forth in the Evaluation shall constitute the liquidated amount of the 

Designated Claim and the Claims Register shall be updated accordingly. If one or both parties 

rejects the Evaluation, then the parties shall have an additional fourteen (14) days to negotiate a 

consensual settlement of the Designated Claim. The Debtor shall notify the Mediator immediately 

after the expiration of the 14-day period as to whether a consensual settlement has been reached.

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e) At any time during Evaluative Mediation, the Mediator may request that the parties participate in 

a settlement conference. The parties must participate in any settlement conference called by the 

Mediator. Such conference may take place in person or telephonically, in the Mediator’s sole 

discretion. The Evaluative Mediation process shall terminate upon the earlier of: (a) the 

Mediator’s filing of a notice that (i) the parties have reached an impasse (a “Mediator’s Impasse 

Notice”), or (ii) the parties have reached a settlement (such notice shall specify the settlement 

amount, which shall constitute the liquidated amount of the Designated Claim and the Claims 

Register shall be updated accordingly); and (b) 50 days after the issuance of the Evaluation.

f) If the Designated Claimant is deemed to have rejected an Offer or a Further Offer by failing to 

timely respond to an Offer or a Further Offer (as set forth in Section 2 above), and the Designated 

Claimant fails to timely engage in the Evaluative Mediation process as set forth in this Section, 

including, but not limited to, failure to timely submit a mediation statement or failure to timely 

respond to an email or telephone message from the mediator, such failure shall constitute noncompliance with the procedures set forth herein, and the Debtors are authorized to withdraw the 

Claim from the ADR process and object to the Claim, which may result in disallowance and 

expungement of the associated claim in whole or in part. In the event that a Designated Claim is 

not resolved through Offer Exchange or Evaluative Mediation (an “Unresolved Claim”), such 

Designated Claim shall be resolved in accordance with the process outlined in Section 4 below. 

Within ten (10) days of the termination of Evaluative Mediation (as set forth in Section 3(e) above), 

the Debtor(s) shall serve upon the Designated Claimant a notice describing the opportunity to 

participate in binding arbitration and the opportunity for use of Commonwealth court procedures.

4. Resolution of Unresolved Claims

a) The amount of an Unresolved Claim shall be resolved by either: (a) binding arbitration as set forth 

in Section 5 below, if the Designated Claimant and the Debtor consented in writing thereto; (b) 

litigation before the Commonwealth’s courts, as set forth in Section 6 below; or (c) if either party 

determines that the Designated Claim should not be resolved using state court procedures, and in 

the event that both parties have not consented to binding arbitration, the Designated Claim shall 

be resolved in accordance with the Litigation procedures set forth in Section 8 below. Designated 

Claimants may consent to binding arbitration OR to litigate before the Commonwealth’s courts, 

but not both. In the event that a Designated Claimant submits an ADR Notice that indicates 

consent to binding arbitration and litigation before the Commonwealth’s courts, they will be 

deemed to have consented to binding arbitration.

5. Binding Arbitration

a) If the Designated Claimant previously consented in writing to binding arbitration as a means to 

resolve its claim(s) as set forth above (either in its response to the Offer Letter or by the terms of 

a separate written agreement either before or after the Petition Date), and if the Debtors agree to 

binding arbitration, and such Designated Claim is not resolved in the Offer Exchange Procedures 

or in Evaluative Mediation, then the Designated Claim shall be subject to binding arbitration. If 

the Designated Claimant has not expressly consented to binding arbitration in its response to the 

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Offer Letter and has not otherwise expressly consented to binding arbitration, or if the Debtors 

have not consented to binding arbitration, at the conclusion of Evaluative Mediation, the Claim 

shall be resolved in accordance with the Commonwealth court procedures described below or the 

Litigation procedures described below.

b) If the Designated Claimant and the Debtors have agreed to binding arbitration, as soon as 

reasonably practicable following the Evaluation Termination Date with respect to any Designated 

Claim, the Debtors shall file and serve on the applicable Designated Claimant (or their counsel if 

known), a notice of arbitration (an “Arbitration Notice”).

c) The Debtors shall retain an arbitration services provider (the “Provider”), with a panel of 

arbitrators (“Arbitrators,” and each, an “Arbitrator”), to assist in evaluating Designated Claims. 

The Debtors shall consult with the Official Committee of Unsecured Creditors prior to selecting 

the Provider. During the Arbitration phase, each Designated Claim shall be evaluated by a single 

Arbitrator from the Provider of arbitration services selected by the Debtor(s) as described in 

subsection (d) below. Each Arbitrator on the panel shall be assigned a number. Upon the filing 

of an Arbitration Notice with respect to a particular Designated Claim, such Designated Claim 

shall be assigned to the next available Arbitrator, in numerical order. In the event an individual 

Arbitrator identifies a conflict in resolving a Designated Claim that has been assigned to such 

Arbitrator, the Designated Claim shall be re-assigned to the next available Arbitrator, in numerical 

order. 

d) All costs for an Arbitrator’s services shall be divided evenly between the Debtor(s) and the 

Designated Claimant. To ensure transparency in the costs of proceeding through binding 

arbitration, the Debtors shall solicit pricing proposals from at least two (2) potential Providers of 

arbitration services. The Debtors shall file an informative motion with the Court submitting such 

pricing proposals and identifying the Provider of arbitration services the Debtor has selected. Once 

a Provider of arbitration services has been selected, that provider’s pricing proposals shall govern 

all binding arbitrations conducted pursuant to the process outlined in this Section 5. 

e) All arbitration hearings (each, an “Arbitration Hearing”) shall be scheduled by the Arbitrator, in 

consultation with the parties. The Debtors shall provide the Designated Claimant with notice of 

the date, time and place of the Arbitration Hearing. In the event that the Arbitrator assigned to 

resolve a particular Claim is not located in San Juan, Puerto Rico, appropriate video-conferencing 

services shall be made available. 

f) Pre-Hearing. Any pre-hearing issues, matters or disputes (other than with respect to merits issues) 

shall be presented to the Arbitrator telephonically (or by such other method agreed to by the 

Arbitrator and the parties) for expeditious, final and binding resolution. All pre-hearing issues, 

matters or disputes (other than with respect to merits issues) must be presented to the Arbitrator 

not later than twenty-one (21) days prior to the Arbitration Hearing so as to permit the Arbitrator

to review and rule upon the requests by telephonic or email communication at least five (5) days 

prior to the Arbitration Hearing.

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g) Limited Discovery. Unless the parties agree otherwise, discovery shall be limited to ten (10) 

requests for production of documents, electronically stored information and things (“Document 

Requests”), ten (10) requests for admission, and ten (10) hours of depositions. Any such Document 

Requests, requests for admission, and notices of deposition shall be made in writing and shall be 

served by electronic mail and overnight mail no later than by 5:00 p.m., Atlantic Time, on a 

weekday that is not a legal holiday, no fewer than thirty-five (35) days before the Arbitration 

Hearing. Responses and objections to Document Requests, requests for admission, and notices of 

deposition, if any, must be served within seven (7) days after service of such Document Requests, 

requests for admission, and notices of deposition. Items requested in Document Requests must be 

produced within fourteen (14) days after service of the Document Requests, unless the parties 

agree otherwise. Fact or expert witness affidavits, to the extent needed, must be submitted at least 

fourteen (14) days prior to the scheduled Arbitration Hearing. All documents and affidavits from 

discovery shall be confidential and shall not be either (i) disclosed to any person or party not 

participating in the arbitration proceeding or (ii) used for any purpose other than in connection 

with the arbitration proceeding, except as provided herein. By accepting binding arbitration, the 

parties agree that no interrogatories shall be posited. Notwithstanding anything to the contrary in 

this paragraph, the Arbitrator may modify any provisions regarding discovery for good cause 

shown. 

h) Pre-Arbitration Statement. On or before fourteen (14) days prior to the scheduled Arbitration 

Hearing, each party shall submit to the arbitrator and serve on the other party or parties by 

electronic mail and overnight mail a pre-arbitration statement (the “Pre-Arbitration Statement”). 

The Pre-Arbitration Statement shall not exceed twenty (20) pages, double spaced, exclusive of 

attachments. Quotations and footnotes may be single spaced. At least one-inch margins shall be 

used, and printing shall not be smaller than 12-point font.

i) Arbitration Hearing. Unless otherwise agreed by the parties and the arbitrator, the Arbitration 

Hearing must be held no later than seventy-five (75) days following assignment of the Arbitrator 

to the Designated Claim. Direct testimony shall be submitted in the form of affidavits. Cross 

examination shall be conducted via live testimony. Each party shall have a maximum of two hours, 

including any rebuttal and cross-examination, within which to present its position at the Arbitration 

Hearing. The Arbitration Hearing shall be open only to the parties, their counsel and any witnesses. 

Non-party witnesses shall be sequestered. No reply briefs or post-hearing briefs may be filed, 

unless the arbitrator requests such briefs, in which case, such briefing shall be subject to the issues, 

timing and page limitations the arbitrator imposes. 

j) Arbitration Awards. The Arbitrator shall issue a short written opinion and award (the “Arbitration 

Award”) within fifteen (15) days after the last day of the Arbitration Hearing; provided, however, 

that the arbitrator may extend such period once for an additional fifteen (15) days. Any Arbitration 

Award shall only determine the amount of the Claim and shall not raise or determine any issues 

relating to the treatment or priority of the Designated Claim. 

k) Finality of Arbitration Awards. All Arbitration Awards shall be final and binding. Any application 

to vacate must be limited to the grounds specified in 9 U.S.C. § 10(a) and must be filed with the 

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Title III Court within thirty (30) days of issuance of the Arbitration Award. The Federal 

Arbitration Act, which has been codified at 9 U.S.C. §§ 1-307, shall apply to such applications. 

Once the Arbitration Award is issued, the Claims Registry shall be updated to reflect the liquidated 

amount of the Designated Claim, as determined by the Arbitration Award.

6. Commonwealth Court Litigation of Unresolved Claims

a) The Debtors shall indicate in the ADR Notice whether they consent to liquidate any portion of a 

Claim through the Commonwealth’s courts. For the avoidance of doubt, the Debtors do not 

consent to liquidation of any claims or causes of action relating to PROMESA or other federal 

laws before the Commonwealth’s court. 

b) In the event that a Designated Claimant elects to liquidate their Claim before the Commonwealth’s 

courts, and the Debtors have consented to such liquidation, the Title III stay shall be modified 

solely (1) to permit the continuation of those matters that have been initiated in the 

Commonwealth’s courts and that the Designated Claimant has alleged in their Claim give rise to 

liabilities owed by the Debtors, or (2) to permit the Designated Claimant to commence a new 

action in the Commonwealth’s courts, provided, however, that any such new action shall be limited 

to causes of action giving rise to the exact same liabilities asserted in their Claim. To the extent 

any Designated Claimant raises additional claims or causes of action beyond those giving rise to 

liabilities asserted in their Claim, or raises any claims or causes of action relating to PROMESA 

or other questions of federal law, the Title III stay shall not be lifted as to such claims or causes of 

action. Any statute of limitations applicable to such causes of action shall be deemed tolled as of 

the date of filing of the Debtors’ Title III petitions. Claimants shall retain all existing appeal rights 

to which they are entitled under Commonwealth law. 

c) For purposes of the ADR Procedures, the The Commonwealth’s courts will only resolve the 

amount of a creditor’s general unsecured claim or administrative expense priority claim (the latter 

of which shall not include professional and reimbursement claims as set forth in Section 3.2 of the 

Modified Eighth Amended Title III Joint Plan of Adjustment of the Commonwealth of Puerto Rico, 

et al., [ECF No. 19784] (as amended, supplemented, or modified, the “Plan”)). Without limiting 

the foregoing, any other issue, including, without limitation, the priority or classification of a 

claim, distributions with respect thereto, and issues related to subordination thereof, shall not be 

subject to the Commonwealth court’s determination and shall be determined in connection with 

the provisions of an applicable plan of adjustment or as otherwise determined by the Title III Court. 

d) Litigation before the Commonwealth’s courts with respect to any Unresolved Claim shall proceed 

in accordance with all applicable local procedural rules. Each party shall bear their own costs with 

respect to any litigation before the Commonwealth’s courts, unless local procedural rules dictate 

otherwise. 

e) Nothing herein shall limit the rights of any defendant in an action brought in the Commonwealth’s 

courts to remove such action pursuant to 28 U.S.C. § 1441, or of any plaintiff to contest such 

removal. Any modifications of the automatic stay, as set forth in and pursuant to the limitations 

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described in Section 6.b, will remain in effect if an action is removed to the United States District 

Court for the District of Puerto Rico. The applicable federal procedural rules shall govern any 

such removed action. 

f) Once a final judgment (the “Commonwealth Final Judgment”) has been reached with respect to 

the amount of an Unresolved Claim litigated in the Commonwealth courts, as the term “final 

judgment” is interpreted under Commonwealth law, the Claims Registry shall be updated to reflect 

the liquidated amount of the Designated Claim, as determined by the Commonwealth Final 

Judgment. 

7. General Provisions Regarding ADR Procedures

a) In the event that a claimant elects not to participate in Arbitration or to have their Unresolved 

Claim liquidated by the Commonwealth’s courts, (a) such claim, the allowance of which has been 

or may be objected to by the Commonwealth, such other Title III Debtor as appropriate, or another 

party in interest, shall be subject to the jurisdiction of the Title III Court and the determination 

regarding, among other things, the validity and amount thereof, shall be made by the Court, (b) 

holders shall retain their rights to have their claims adjudicated by the Title III Court, including 

their rights to evidentiary proceedings and to an appeal of the Title III Court’s determinations with 

respect to their claims, and (c) nothing herein shall affect the right of the Creditors’ Committee, 

under section 502(a) of the Bankruptcy Code, to file objections to claims and the Debtors and the 

Oversight Board to oppose any such right to the extent that the Creditors’ Committee files an 

objection to a claim. 

b) The ADR Procedures will only resolve the amount of a creditor’s general unsecured claim or 

administrative expense priority claim (the latter of which shall not include professional and 

reimbursement claims as set forth in Section 3.2 of the Plan). Without limiting the foregoing, any 

other issue, including, without limitation, the priority or classification of a claim, distributions with 

respect thereto, and issues related to subordination thereof, shall not be subject to the ADR 

Procedures and shall be determined in connection with the provisions of an applicable plan of 

adjustment or as otherwise determined by the Title III Court. 

c) To the extent a holder of a general unsecured claim or administrative expense priority claim (the 

latter of which shall not include professional and reimbursement claims as set forth in Section 3.2 

of the Plan) has filed, sought or seeks any relief related to a Claim that is subject to the ADR 

Procedure, including, without limitation, relief sought in any adversary proceeding or any other 

applicable court of law (collectively, the “Actions”), and such Designated Claimant has not elected 

to liquidate their Claim through the process outlined in Section 6 above, such Actions shall be 

stayed (including with respect to pending discovery) until the ADR Procedure with respect to such 

Claim has been completed. Within five (5) business days of entry of a final order with respect to 

the validity and amount of such Claim in the ADR Procedures, a motion shall be filed in the 

applicable forum to dismiss any corresponding portion of such Action, with prejudice, and to 

transfer any remaining portion of such Action, to the extent not pending or subject to the Debtors’ 

Title III cases, to the Title III Court presiding over the Debtors’ Title III cases. To the extent 

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required, the automatic stay, extant pursuant to section 362 of the Bankruptcy Code, applicable 

herein in accordance with section 301 of PROMESA, shall be deemed modified solely for the 

purpose of determining the validity and amount of a claim pursuant to the ADR Procedures. 

d) Report to Court of Status of Claims Referred to ADR Procedures. Within sixty (60) days of filing 

the first ADR Notice, and every sixty (60) days thereafter, the Debtors shall file with the Court a 

notice (an “ADR Status Notice”) setting forth those claims since the filing of the prior ADR Status 

Notice that (a) have been resolved through the Offer Exchange or the Evaluative Mediation Process 

(the “Offer Exchange Resolved Claims” and the “Evaluative Mediation Resolved Claims”); (b) 

have been resolved through Arbitration (the “Arbitration Resolved Claims”); (c) have been 

resolved through litigation before the Commonwealth’s courts (the “Commonwealth Court 

Resolved Claims”); and (d) are currently in the Offer Exchange process, the Evaluative Mediation 

process, the Arbitration process, litigation before the Commonwealth’s courts (or the United States 

District Court for the District of Puerto Rico, if the action was removed), or litigation before the 

Title III Court. 

e) With respect to any Resolved Claims, the Debtors shall file with the Title III Court an informative 

motion, attaching the form of Stipulation, to be so ordered by the Title III Court. The Debtors 

shall file such informative motion within two weeks of the resolution of the Claim, or in 

conjunction with the next status report, whichever is later. All Resolved Claims and Arbitration 

Resolved Claims shall be noted on the Claims Registry of the Title III Cases and distributions with 

respect thereto shall be made in accordance with the provisions of the Commonwealth plan of 

adjustment or such other plan of adjustment as may be appropriate. To the extent feasible, and to 

assist the Title III Court in managing its docket, the Debtors shall provide an update to the Title 

III Court regarding any common legal issues shared amongst the Unresolved Claims, to the extent 

such common legal issues exist. 

8. Litigation of Unresolved Claims

a) Where there has been no consent, under Section 4.B above, to binding arbitration or litigation 

before the Commonwealth’s courts, within one hundred and twenty (120) days of the filing of a 

Mediator’s Impasse Notice, the Commonwealth or such other Title III Debtor, as the case may be, 

shall initiate litigation against the holder of the Unresolved Claim by the filing of a claim objection, 

which may be either an individual or an omnibus objection. Each party shall bear their own costs 

with respect to litigation of any Unresolved Claim. The Court will provide notice pursuant to 28 

U.S.C. § 636 by which all parties can agree to resolve an Unresolved Claim before a United States 

Magistrate Judge (the “Claims Adjudication Judges”). If all parties voluntarily so consent, a 

Claims Adjudication Judge may conduct all proceedings and order the entry of a final judgment 

with respect to an Unresolved Claim. Such final judgment may then be appealed directly to the 

United States Court of Appeals for the First Circuit. 

b) The Title III Court may also, in its discretion, refer such Unresolved Claims to Claims 

Adjudication Judges for general pre-trial management and preparation of a Report and 

Recommendation pursuant to 28 U.S.C. § 636(b). If a claimant has not voluntarily consented to 

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the resolution of their Unresolved Claim by the Claims Adjudication Judges, the Claims

Adjudication Judge shall make a Report and Recommendation to the Title III Court. Such Report 

and Recommendation will be reviewed by the Title III Court pursuant to Federal Rule of Civil 

Procedure 72, and claimants will have an opportunity to object to the Report and Recommendation 

pursuant to 28 U.S.C. § 636(b) and Federal Rule of Civil Procedure 72(b). Upon reviewing the 

Report and Recommendation, the Title III Court will enter a final determination, which will be 

subject to appeal to the United States Court of Appeals for the First Circuit. 

c) No individual who has served as a Mediator with respect to a particular Unresolved Claim may 

also serve as a Claim Adjudication Judge with respect to the same Unresolved Claim. 

d) Litigation before the Title III Court with respect to any Unresolved Claim shall proceed in 

accordance with the Federal Rules of Bankruptcy Procedure, made applicable to this Title III Case 

pursuant to PROMESA § 310, the Local Rules for the District of Puerto Rico, and this Court’s 

standing and case management orders.

e) Any order/decision entered by the Claims Adjudication Judges shall not provide for any amounts 

already disallowed by the Title III Court, specific performance or any other form of equitable 

remedy or any other relief impermissible under PROMESA or such other applicable law. To the 

extent a Claim requests such relief, those requests for relief will be determined by the Title III 

Court. Nothing in this paragraph shall preclude the Title III Court from separately referring such 

requests to Magistrate Judges pursuant to 28 U.S.C. § 636 for general pretrial management and/or 

Report and Recommendation.

9. Translation and Interpretation Services

a) The Debtors shall provide certified translation and/or interpretation services in connection with 

Evaluative Mediation and/or proceedings before the Title III or District Court, and Magistrate 

Judges, as specified in orders of the Court, but shall not be obligated to provide such services in 

connection with binding arbitration.

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EXHIBIT 2

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UNITED STATES DISTRICT COURT 

FOR THE DISTRICT OF PUERTO RICO

In re:

THE FINANCIAL OVERSIGHT AND

MANAGEMENT BOARD FOR PUERTO RICO,

as representative of

THE COMMONWEALTH OF PUERTO RICO, et al.,

Debtors.8

PROMESA

Title III

No. 17-BK-3283-LTS

(Jointly Administered)

ALTERNATIVE DISPUTE RESOLUTION NOTICE

Service Date:

Designated Claimant(s):

Address:

Designated Claim Number(s):

Amount(s) Stated in Proof(s) of Claim:

RESPONSE DEADLINE:

This Notice only applies to the Designated Claim Number listed above. You should 

read the Notice carefully and discuss it with your attorney. If you do not have an 

attorney, you may wish to consult one.

 8

 The Debtors in these Title III Cases, along with each Debtor’s respective Title III case number 

and the last four (4) digits of each Debtor’s federal tax identification number, as applicable, are 

the (i) Commonwealth of Puerto Rico (the “Commonwealth”) (Bankruptcy Case No. 17-BK3283-LTS) (Last Four Digits of Federal Tax ID: 3481); (ii) Puerto Rico Sales Tax Financing 

Corporation (“COFINA”) (Bankruptcy Case No. 17-BK-3284-LTS) (Last Four Digits of Federal 

Tax ID: 8474); (iii) Puerto Rico Highways and Transportation Authority (“HTA”) (Bankruptcy 

Case No. 17-BK-3567-LTS) (Last Four Digits of Federal Tax ID: 3808); (iv) Employees 

Retirement System of the Government of the Commonwealth of Puerto Rico (“ERS”) 

(Bankruptcy Case No. 17 BK 3566-LTS) (Last Four Digits of Federal Tax ID: 9686); (v) Puerto 

Rico Electric Power Authority (“PREPA”) (Bankruptcy Case No. 17-BK-4780-LTS) (Last Four 

Digits of Federal Tax ID: 3747); and (vi) Puerto Rico Public Buildings Authority (“PBA”, and 

together with the Commonwealth, COFINA, HTA, ERS, and PREPA, the “Debtors”) 

(Bankruptcy Case No. 19-BK-5532-LTS) (Last Four Digits of Federal Tax ID: 3801) (Title III 

case numbers are listed as Bankruptcy Case numbers due to software limitations). 

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If you have any questions, please contact Kroll at (844) 822-9231 (toll free for U.S. 

and Puerto Rico) or (646) 486-7944 (for international callers), available 10:00 a.m. 

to 7:00 p.m. (Atlantic Standard Time) (Spanish available).

By this ADR Notice, the [Debtor] hereby submits the above-identified claim(s) (the 

“Designated Claim(s)”) in the [Debtor’s] Title III case to alternative dispute resolution, pursuant 

to the procedures (the “ADR Procedures”) established by the Order (A) Authorizing Alternative 

Dispute Resolution Procedures, (B) Approving Additional Form of Notice, and (C) Granting 

Related Relief, as amended by set forth in Exhibit 1 to the Order Granting Motion to Amend 

Alternative Dispute Resolution Procedures, entered by the United States District Court for the 

District of Puerto Rico (the “Title III Court”) on [DATE]. A copy of the ADR Procedures is 

enclosed for your reference.

Settlement Offer. The [Debtor] has reviewed your Designated Claim(s) and, pursuant to 

the ADR Procedures, offers the amount(s) set forth in Section I below as a [general unsecured 

nonpriority/administrative expense] claim in full and final settlement of your Designated 

Claim(s) (the “Settlement Offer”). Please note that, if your claim is a general unsecured claim,

the amount of the settlement offer is NOT the amount you will receive under a confirmed 

plan of adjustment. The treatment of your claim will be determined by the plan of 

adjustment. Allowed administrative expense claims will be paid pursuant to the terms of 

any confirmed plan of adjustment.

You must return this ADR Notice [to Kroll] with a Permitted Response (as defined below) 

to the Settlement Offer by no later than the Response Deadline listed above. 

In addition, to the extent your most recent proof(s) of claim does not: (a) state the correct 

amount of our Designated Claim(s); (b) expressly identify each and every cause of action and 

legal theory on which you base your Designated Claim(s); (c) include current, correct and 

complete contact information of your counsel or other representative; or (d) provide all 

documents on which you rely in support of your Designated Claim(s), you MUST provide all 

such information and documentation with your Permitted Response. 

IF YOU DO NOT RETURN THIS ADR NOTICE WITH THE REQUESTED 

INFORMATION AND A PERMITTED RESPONSE TO THE SETTLEMENT OFFER [TO 

KROLL] SO THAT IT IS RECEIVED BY THE DEADLINE TO RESPOND, YOU WILL BE 

DEEMED TO HAVE REJECTED THE SETTLEMENT OFFER AND THE LIQUIDATION 

OF YOUR DESIGNATED CLAIM(S) WILL ADVANCE TO THE EVALUATIVE 

MEDIATION PHASE OF THE ADR PROCEDURES, AS SET FORTH IN SECTION [__] OF 

THE ADR PROCEDURES. IF YOU FAIL TO TIMELY ENGAGE IN THE EVALUATIVE 

MEDIATION PROCESS, INCLUDING, BUT NOT LIMITED TO, FAILURE TO TIMELY 

SUBMIT A MEDIATION STATEMENT OR FAILURE TO TIMELY RESPOND TO AN 

EMAIL OR TELEPHONE MESSAGE FROM THE MEDIATOR, SUCH FAILURE SHALL 

CONSTITUTE NON-COMPLIANCE WITH THE ADR PROCEDURES, AND THE DEBTOR

IS AUTHORIZED TO WITHDRAW THE CLAIM FROM THE ADR PROCESS AND 

OBJECT TO THE CLAIM, WHICH MAY RESULT IN DISALLOWANCE AND 

EXPUNGEMENT OF THE ASSOCIATED CLAIM IN WHOLE OR IN PART.

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Binding Arbitration or Commonwealth Court Litigation. YOU ARE REQUIRED 

TO INDICATE EXPRESSLY WHETHER YOU CONSENT TO BINDING ARBITRATION

OF YOUR DESIGNATED CLAIM(S). PLEASE NOTE THAT IF YOU ELECT TO 

PARTICIPATE IN BINDING ARBITRATION, YOU WILL BE REQUIRED TO PAY 

50% OF THE COST FOR THE ARBITRATOR’S SERVICES. If you elect to participate 

in binding arbitration, you will be required to pay [$__] for the Arbitrator’s services.

The Debtor(s) [have/have not] consented to submit your Designated Claim(s) listed 

above to binding arbitration. IN SECTION II BELOW, PLEASE COMPLETE THE BOX TO 

INDICATE WHETHER YOU DO OR DO NOT CONSENT TO BINDING ARBITRATION. 

IF YOU DO NOT COMPLETE THE BOX BELOW, YOU WILL BE DEEMED TO HAVE 

REJECTED BINDING ARBITRATION WITH RESPECT TO YOUR DESIGNATED 

CLAIM. PLEASE NOTE THAT ONCE YOU HAVE CONSENTED TO PARTICIPATE IN 

BINDING ARBITRATION, YOUR CONSENT TO BINDING ARBITRATION CANNOT

SUBSEQUENTLY BE WITHDRAWN. Note that binding arbitration will only take place if 

all parties, including [Debtor], agree to submit the dispute to arbitration.

In addition, if you have previously consented in writing, either before or after [Debtor’s] 

Title III case was filed, to binding arbitration as a means to resolve your claim(s) against 

[Debtor], any attempt to opt out of binding arbitration in response to this Notice shall be 

ineffective. 

Details regarding the arbitration process are set forth in Section [__] of the ADR 

Procedures. 

[The Debtor(s) will consent to liquidate your claim before the Commonwealth’s courts, 

subject to the restrictions set forth in the ADR Procedures. If you do not elect to participate in 

binding arbitration, you may instead elect to liquidate your claim before the Commonwealth’s 

courts. If you wish to liquidate your claim before the Commonwealth’s courts, you should so 

indicate in Section II of this form. 

IF YOU HAVE ALREADY CONSENTED TO BINDING ARBITRATION, YOU 

MAY NOT ALSO ELECT TO LIQUIDATE YOUR CLAIM BEFORE THE 

COMMONWEALTH’S COURT. IF YOU INDICATE BOTH CONSENT TO BINDING 

ARBITRATION AND CONSENT TO LIQUIDATE YOUR CLAIM BEFORE THE 

COMMONWEALTH’S COURTS, YOU WILL BE DEEMED TO HAVE ELECTED 

BINDING ARBITRATION.

Details regarding liquidation before the Commonwealth’s courts are set forth in Section 

[__] of the ADR Procedures.]

Section I: Settlement Offer. [Debtor] offers you an allowed [general unsecured 

nonpriority/administrative expense] claim in the amount of [$___] against [Debtor] in full 

satisfaction of your Designated Claim(s), to be satisfied in accordance with any plan of 

adjustment of debts confirmed and implemented in [Debtor’s] Title III case. 

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The only permitted responses (“Permitted Responses”) to the Settlement Offer are (a) 

acceptance of the Settlement Offer, (b) rejection of the Settlement Offer, or (c) rejection of the 

Settlement Offer coupled with a counteroffer (a “Counteroffer”). Information regarding 

Counteroffers is available in Section __ of the ADR Procedures. 

Please select your Permitted Response in the box below. YOU MUST RESPOND TO 

THE SETTLEMENT OFFER.

RESPONSE TO SETTLEMENT OFFER

_____ I/we agree to and accept the terms of the Settlement Offer.

OR

_____ I/we reject the Settlement Offer. 

OR

_____ I/we reject the Settlement Offer. However, I/we will accept an allowed [general 

unsecured nonpriority/administrative expense] claim against [Debtor] in the amount of $___ 

in full satisfaction of the Designated Claim(s), to be satisfied in accordance with any plan of 

adjustment of debts confirmed and implemented in the [Debtor’s] Title III case. 

SECTION [__] OF THE ADR PROCEDURES SETS FORTH

THE RESTRICTIONS ON COUNTEROFFERS. YOUR COUNTEROFFER

MAY NOT INCLUDE UNKNOWN, UNLIQUIDATED OR SIMILAR

AMOUNTS AND MAY NOT EXCEED THE AMOUNT OR IMPROVE THE

PRIORITY SET FORTH IN YOUR MOST RECENT TIMELY FILED OR

AMENDED PROOF OF CLAIM. YOU MAY NOT AMEND YOUR PROOF OF

CLAIM SOLELY FOR THE PURPOSE OF PROPOSING A COUNTEROFFER

OF A HIGHER AMOUNT OR A BETTER PRIORITY. IF YOU RETURN THIS

FORM WITH A COUNTEROFFER THAT DOES NOT COMPLY WITH THE

TERMS OF THE ADR PROCEDURES YOU WILL BE DEEMED TO HAVE

REJECTED THE SETTLEMENT OFFER AND THE LIQUIDATION OF YOUR 

DESIGNATED CLAIMS WILL ADVANCE TO EVALUATIVE MEDIATION 

AS SET FORTH IN SECTION [__] OF THE ADR PROCEDURES.

Section II: Binding Arbitration or Commonwealth Court Liquidation.

A. CONSENT TO BINDING ARBITRATION

Please indicate below whether you consent to binding arbitration with respect to the 

Designated Claim(s):

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_____ I/we CONSENT to Binding Arbitration.

OR

_____ I/we DO NOT CONSENT to Binding Arbitration.

I acknowledge that my/our consent, once given, cannot be withdrawn.

B. CONSENT TO COMMONWEALTH COURT LIQUIDATION

Please indicate below whether you consent to liquidation before the Commonwealth’s courts 

with respect to the Designated Claim(s):

_____ I/we CONSENT to liquidation before the Commonwealth’s courts.

OR

_____ I/we DO NOT CONSENT to liquidation before the Commonwealth’s courts.

[Signature of the Designated

Claimant’s Authorized Representative]

By: ______________________________

[Printed Name]

[N.B. – Additional Signature Lines

as Needed.]

[Signature of the Designated

Claimant's Authorized Representative]

By: ______________________________

[Printed Name]

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TRIBUNAL DE DISTRITO DE LOS ESTADOS UNIDOS

PARA EL DISTRITO DE PUERTO RICO

En el caso:

LA JUNTA DE SUPERVISIÓN Y

ADMINISTRACIÓN FINANCIERA PARA PUERTO

RICO,

como representante del

ESTADO LIBRE ASOCIADO DE PUERTO RICO, y

otros,

Deudores.9

PROMESA

Título III

No. 17 BK 3283-LTS

(Administrados en forma

conjunta)

AVISO DE RESOLUCIÓN DE CONFLICTO ALTERNATIVA

Fecha de Servicio:

Reclamante(s) designados:

Dirección: 

Numero(s) de reclamo designados:

Cantidad(es) indicado en la(s) prueba(s) de reclamo:

FECHA LÍMITE DE REPUESTA:

 9 Los Deudores en estos casos iniciados al amparo del Título III, junto con el número de caso respectivo 

de cada Deudor y los últimos cuatro (4) dígitos del número de identificación tributaria federal de cada 

Deudor, según corresponda, son (i) El Estado Libre Asociado de Puerto Rico (el “ Estado Libre Asociado 

“)(Caso de quiebra No. 17BK 3283-LTS) (últimos cuatro dígitos del número de identificación tributaria 

federal: 3481); (ii) la Corporación del Fondo de Interés Apremiante de Puerto Rico (“COFINA”) (Caso de 

quiebra No. 17 BK 3284-LTS) (últimos cuatro dígitos del número de identificación tributaria federal: 

8474); (iii) la Autoridad de Carreteras y Transportación de Puerto Rico (“HTA”) (Caso de quiebra No. 17 

BK 3567-LTS) (últimos cuatro dígitos del número de identificación tributaria federal: 3808); (iv) Sistema 

de Retiro de los Empleados del Gobierno del Estado Libre Asociado de Puerto Rico (“ERS”) (Caso de 

quiebra No. 17 BK 3566-LTS) (últimos cuatro dígitos del número de identificación tributaria federal: 

9686); y (v) Autoridad de Energía Eléctrica de Puerto Rico (“PREPA”) y junto con el Estado Libre 

Asociado, COFINA, HTA y ERS, los “Deudores”) (Caso de quiebra No. 17 BK 4780-LTS) (últimos 

cuatro dígitos del número de identificación tributaria federal: 3747) (los casos al amparo del Título III 

figuran como números el Caso de Quiebra debido a limitaciones del software).

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Este aviso solo se aplica a los números de reclamo designados mencionados 

anteriormente. Debe leer el aviso detenidamente y discutirlo con su abogado. Si 

no tiene un abogado, puede consultar a uno.

Si tiene alguna pregunta, comuníquese con Kroll al (844) 822-9231 (llamada gratis 

para EE. UU. y Puerto Rico) o (646) 486-7944 (para llamadas internacionales), 

disponible de 10:00 a.m. a 7:00 p.m. (Hora estándar del Atlántico) (español 

disponible).

Mediante este Aviso de ADR, el [Deudor] por la presente presenta los reclamos 

identificados anteriormente (los “Reclamo(s) Designado(s)”) en el caso de Título III a una 

resolución alternativa de disputas, de conformidad con los procedimientos (el los

“Procedimientos de ADR”) establecidos por la Orden (A) Autorizando Procedimientos

Alternativos de Resolución de Disputas, (B) Autorizando la Reconciliación Administrativo de 

Reclamos, (c) Aprobando Forma Adicional de Aviso, y (D) Otorgando Alivio Relacionado

establecidos en el Anexo 1 de la Orden Autorizando la Moción para Modificar los 

Procedimientos Alternativos de Resolución de Disputas, ingresadao por el Tribunal de Distrito 

de los Estados Unidos para el Distrito de Puerto Rico (el “Tribunal del Título III”) el [FECHA]. 

Se adjunta una copia de los Procedimientos de ADR para su referencia. 

Oferta de acuerdo. El [Deudor] ha revisado su(s) Reclamo(s) Designado(s) y, de 

conformidad con los Procedimientos de ADR, ofrece la(s) cantidad(es) establecida(s) en la 

Sección I a continuación como un reclamo [general no prioritario sin garantía/gasto 

administrativo] en la liquidación completa y final de su(s) Reclamo(s) Designado(s) (la “Oferta 

de Acuerdo”). Si su reclamo es un reclamo general no prioritario sin garantía, tTenga en cuenta 

que la cantidad de la oferta de acuerdo NO es la cantidad que recibirá bajo un plan de 

ajuste confirmado. El tratamiento de su reclamo será determinado por el plan de ajuste. 

Reclamos permitidos de gasto administrativo serán pagados de acuerdo con las condiciones 

del plan de ajuste confirmado. 

Debe devolver este Aviso de ADR [a Kroll] con una Respuesta Permitida (como se define 

a continuación) a la oferta de acuerdo antes de la Fecha Límite de respuesta indicada 

anteriormente.

Además, en la medida en que su(s) prueba(s) de reclamo más reciente no: (a) indique la 

cantidad correcta de su(s) Reclamo(s) Designado(s); (b) identifique expresamente todas y cada 

una de las causad de acción y teoría legal en las que base su(s) Reclamo(s) Designado(s); (c) 

incluya información de contacto actual, correcta y completa de su abogado u otro representante; 

o (d) proporcionar todos los documentos en los que confía para apoyar su(s) Reclamo(s) 

Designado(s), DEBE proporcionar toda esa información y documentación con su Respuesta 

Permitida.

SI NO DEVUELVE ESTE AVISO DE ADR CON LA INFORMACIÓN SOLICITADA 

Y UNA RESPUESTA PERMITIDA A LA OFERTA DE ACUERDO [A KROLL] PARA QUE 

SEA RECIBIDO POR LA FECHA LÍMITE DE REPUESTA, SEA CONSIDERADO QUE 

USTED HA RECHAZADO LA OFERTA DE ACUERDO Y LA LIQUIDACIÓN DE SU(S) 

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RECLAMO(S) DESIGNADO(S) AVANZARÁN A LA FASE DE EVALUACIÓN Y 

MEDIACIÓN DE LOS PROCEDIMIENTOS DE ADR, SEGÚN SE ESTABLECE EN LA 

SECCIÓN [__] DE LOS PROCEDIMIENTOS DE ADR. SI NO PARTICIPA 

OPORTUNAMENTE EN EL PROCESO DE EVALUACIÓN Y MEDIACIÓN, CUAL 

INCLUYE, PERO NO SE LIMITA A, NO ENVIAR OPORUNAMENTE UNA 

DECLARACIÓN DE MEDIACIÓN O, NO RESPONDER OPORTUNAMENTE A UN 

CORREO ELECTRÓNICO O MENSAJE TELEFÓNICO DEL MEDIADOR, DICHA FALLA 

CONSTITUIRÁ INCLUMPLIMENTO DE LOS PROCEDIMIENTOS DE ADR, Y EL 

DEUDOR ESTÁ AUTROIZADO A RETIRAR LA RECLAMACIÓN DEL PROCESO DE 

ADR Y OPONERSE A LA RECLAMACIÓN, LO CUAL PUEDE RESULTAR EN EL 

RECHAZO Y ELIMINACIÓN DE LA RECLAMACIÓN ASOCIADA EN SU TOTALIDAD O 

EN PARTE.

Arbitraje Vinculante o Litigios en Tribunales del Estado Libre Asociado. 

TAMBIÉN DEBE INDICAR SI ACEPTA UN ARBITRAJE VINCULANTE DE SU(S) 

RECLAMO(S) DESIGNADO(S). TENGA EN CUENTA QUE, SI ELIGE PARTICIPAR 

EN ARBITRAJE VINCULANTE, TENDRÁS QUE PAGAR EL 50% DEL COSTO POR 

LOS SERVICIOS DEL ÁRBITRO. Si elige participar en arbitraje vinculante, tendrás que 

pagar [$__] por los servicios del Árbitro.

El (los) Deudor(es) [no han/ han] dado su consentimiento para presentar su(s) 

Reclamo(s) Designado(s) mencionado anteriormente a un arbitraje vinculante. EN LA 

SECCIÓN II A CONTINUACIÓN, POR FAVOR COMPLETE LA CAJA PARA INDICAR SI 

ACEPTA O NO ACEPTA UN ARBITRAJE VINCULANTE. SI NO COMPLETA LA CAJA 

A CONTINUACIÓN, SEA CONSIDERADO QUE USTED HA RECHAZADO UN 

ARBITRAJE VINCULANTE RESPECTO A SU RECLAMO DESIGNADO. TENGA EN 

CUENTA QUE UNA VEZ QUE HAYA CONSENTIDO EN PARTICIPAR EN UN JUICIO 

ACELERADO, SU CONSENTIMIENTO A UN JUICIO ACELERADO NO PUEDE

RETIRARSE POSTERIORMENTE. Tenga en cuenta que un arbitraje vinculante solo tendrá 

lugar si todas las partes, incluido [Deudor], acuerdan someter la disputa a un arbitraje vinculante.

Además, si previamente ha dado su consentimiento por escrito, ya sea antes o después de 

que se presentó el caso del Título III [del Deudor], al arbitraje vinculante como un medio para 

resolver su(s) reclamo(s) contra [Deudor], cualquier intento de optar por no participar en el 

arbitraje vinculante en respuesta a este aviso será ineficaz.

Los detalles sobre el proceso de arbitraje se establecen en la Sección [__] de los 

Procedimientos de ADR.

[El (los) Deudor(es) consentirá(n) en liquidar su reclamo ante los tribunales del Estado 

Libre Asociado, sujeto a las restricciones establecidas en los Procedimientos de ADR. Si no 

elige participar en un arbitraje vinculante, puede optar por liquidar su reclamo ante de los 

tribunales del Estado Libre Asociado. Si desea liquidar su reclamo ante los tribunales del Estado 

Libre Asociado, debe indicarlo en la Sección II de este formulario.

SI YA HAZ CONSENTIDO EN EL ARBITRAJE VINCULANTE, TAMBIÉN NO 

PUEDE ELEGIR LIQUIDAR SU RECLAMO ANTES DEL TRIBUNAL DEL ESTADO 

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LIBRE ASOCIADO. SI INDICA AMBOS CONSENTIMIENTOS PARA ARBITRAJE 

VINCULANTE Y CONSENTIMIENTO PARA LIQUIDAR SU RECLAMO ANTES DE 

LOS TRIBUNALES DEL ESTADO LIBRE ASOCIADO, SERA DEMANDADO A 

HABER ELEGIDO EL ARBITRAJE VINCULANTE.

Los detalles sobre la liquidación ante de los tribunales del Estado Libre Asociado se 

establecen en la Sección [__] de los Procedimientos de ADR.]

Sección I: Oferta de Acuerdo. [Deudor] le ofrece un reclamo [general no prioritario sin 

garantía/gasto administrativo] no garantizado permitido por la cantidad de [$__] contra [Deudor] 

en plena satisfacción de su(s) Reclamo(s) Designado(s), que deberá satisfacer de acuerdo con 

cualquier plan de ajuste de deudas confirmado e implementado en [Deudor] Caso del Título III. 

Las únicas respuestas permitidas (“Respuestas Permitidas”) a la Oferta de Acuerdo son 

(a) la aceptación de la Oferta de Acuerdo o (b) el rechazo de la Oferta de Acuerdo junto con una 

contraoferta (una “Contraoferta”). La información sobre las contraofertas está disponible en la 

Sección __ de los Procedimientos de ADR.

Seleccione su Respuesta Permitida en el cuadro a continuación. DEBE 

RESPONDER A LA OFERTA DE ACUERDO.

RESPUESTA A LA OFERTA DE ACUERDO

_____ Yo/nosotros aceptamos los términos de la Oferta de Acuerdo.

O

_____ Yo/nosotros rechazamos la Oferta de Acuerdo. 

O

_____ Yo/nosotros rechazamos la Oferta de Acuerdo. Sin embargo, 

aceptaré/aceptaremos un reclamo [general no prioritario sin garantía/gasto 

administrativo] contra [Deudor] por una cantidad de $__ en total satisfacción del (de 

los) Reclamo(s) Designado(s), para ser satisfecho de acuerdo con cualquier plan de 

ajuste de deudas confirmado e implementado en el [Deudor] Caso del Título III. 

LA SECCIÓN [__] DE LOS PROCEDIMIENTOS DE ADR ESTABLECE LAS 

RESTRICCIONES A LAS OFERTAS. SU CONTRAOFERTA NO PUEDE INCLUIR 

DESCONOCIDO, NO LIQUIDADO O SIMILAR CANTIDADES Y NO PUEDEN SUPERAR 

LA CANTIDAD O MEJORAR LA PRIORIDAD ESTABLECIDA EN SU MÁS RECIENTE 

PRESENTADO O ENMENDADA PRUEBA DE RECLAMO. NO PUEDE ENMENDAR SU 

PRUEBA DE RECLAMO SOLO AL PROPÓSITO DE PROPONER UNA CONTRA OFERTA 

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DE UNA MAYOR CANTIDAD O UNA MEJOR PRIORIDAD. SI DEVUELVE ESTE 

FORMULARIO CON UNA CONTRAOFERTA QUE NO CUMPLE CON LOS TÉRMINOS 

DE LOS PROCEDIMIENTOS DE ADR SERA CONSIDERADO QUE USTED HA 

RECHAZADO LA OFERTA DE ACUERDO Y LA LIQUIDACIÓN DE SUS RECLAMOS 

DESIGNADOS AVANZARA A LA EVALUACIÓN SEGÚN SE ESTABLECE EN LA 

SECCIÓN [__] DE LOS PROCEDIMIENTOS DE ADR.

Sección II: Arbitraje Vinculante o Litigios en Tribunales del Estado Libre Asociado. 

A. CONSENTIMIENTO A UN JUICIO ACELERADO

Indique a continuación si acepta un juicio acelerado con respecto a su(s) Reclamo(s) 

Designado(s): 

_____ Yo/nosotros CONSENTIMOS a un Arbitraje Vinculante.

O

_____ Yo/nosotros NO CONSENTIMOS a un Arbitraje Vinculante. 

Reconozco que mi/nuestro consentimiento, una vez dado, no se puede retirar.

B. CONSENTIMIENTO PARA LA LIQUIDACIÓN EN EL TRIBUNAL DEL ESTADO 

LIBRE ASOCIADO

Indique a continuación si acepta la liquidación ante los tribunales del Estado Libre 

Asociado con respecto al (los) Reclamo(s) Designado(s):

_____ Yo/nosotros CONSENTIMOS la liquidación ante los tribunales del Estado Libre 

Asociado.

O

_____ Yo/nosotros NO CONSENTIMOS la liquidación ante los tribunales del Estado 

Libre Asociado.

[Firma del Designado Represéntate

Autorizado del Reclamante]

Por: _________________________

[Nombre impreso] 

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[Firma del Designado Represéntate

Autorizado del Reclamante]

Por: _________________________

[Nombre impreso] 

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