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Financial Oversight and Management Board for Puerto Rico v. Centro de Periodismo Investigativo, Inc.

Issues

Does the Puerto Rico Oversight, Management, and Economic Stability Act abrogate the sovereign immunity of the Financial Oversight and Management Board for Puerto Rico by granting general jurisdiction to federal courts over claims against the Board?

This case asks the Supreme Court to consider whether the Puerto Rico Oversight, Management, and Economic Stability Act (“PROMESA”), which created the petitioner, the Financial Oversight and Management Board for Puerto Rico (“the Board”), abrogates the Board’s sovereign immunity by granting general jurisdiction to federal courts over claims against the Board. The Board argues that PROMESA does not abrogate its sovereign immunity, since the statutory language of PROMESA does not explicitly revoke its sovereign immunity. In contrast, the Centro de Periodismo Investigativo, Inc. (“CPI”) contends that PROMESA abrogates the Board’s sovereign immunity because the statutory language, read in conjunction with prior case law regarding the abrogation doctrine as well as the legislative history of PROMESA, implicitly revokes the Board’s sovereign immunity. The outcome of this case will profoundly impact the Board’s operations and public oversight of the Board’s financial decisions.

Questions as Framed for the Court by the Parties

Whether the Puerto Rico Oversight, Management, and Economic Stability Act’s general grant of jurisdiction to the federal courts over claims against the Financial Oversight and Management Board for Puerto Rico and claims otherwise arising under PROMESA abrogate the Board’s sovereign immunity with respect to all federal and territorial claims.

In 2016, Congress passed the Puerto Rico Oversight, Management, and Economic Stability Act (“PROMESA”) to facilitate Puerto Rico’s economic recovery and debt restructuring. Centro De Periodismo Investigativo, Inc. v. Fin. Oversight & Mgmt. Bd.

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