,i  #aafth ,,congress  #b;d ,session    
,h4 ,r4 #fgij  ,,in ,,the ,,house ,,of  
,,representatives  ,may #h1 #bjbj,mr4   
,sherman 7for himself and ,ms4 ,waters7 
introduced the following bill2 which was
 referred to the ,committee on          
,financial ,services  ,a ,,bill  ,to    
prohibit the enforcement of certain loan
 covenants during the ,,covid-#ai       
national emergency1 and for other       
purposes4  #a4 ,short title ,this ,act  
may be cited as the ,business ,borrowers
 ,protection ,act4  #b4 ,enforcement of 
loan covenants  7a7 ,loans received     
under ,,covid-#ai relief programs ,any  
loan that a borrower receives under a   
,,covid-#ai relief program may not be   
taken into account-- 7#a7 in determining
 whether-- 7,a7 the borrower is in      
violation of any loan covenant of a     
covered loan2 or  7,b7 a lender may     
accelerate the due date of any covered  
loan agreement2 or  7#b7 in calculating 
the debts or liabilities of the borrower
 for purposes of determining whether    

such borrower is in conformity with any 
covered loan agreement4  7b7 ,loan      
covenants not enforceable during        
,,covid-#ai national emergency  7#a7 ,in
 general ,a lender may not enforce any  
loan covenant during the period         
beginning on the date of enactment of   
this ,act and ending on the day that is 
#a year after the termination of the    
national emergency declared by the      
,president on ,march #ac1 #bjbj1 under  
the ,national ,emergencies ,act 7#ej    
,u4,s4,c4 #afja et seq47 relating to the
 ,,covid-#ai pandemic4  7#b7 ,rulemaking
 ,not later than the end of the #fj-;day
 period beginning on the date of        
enactment of this ,act1 the ,secretary  
of the ,treasury shall issue such       
regulations and guidance as may be      
necessary to ensure that any lender who 
complies with the requirements described
 in paragraph 7#a7 is not deemed to be  
in violation of any law or regulation   
relating to the enforcement of loan     
covenants4  7c7 ,trustee or person with 

fiduciary duty not liable  7#a7 ,in     
general ,no trustee or other person with
 a fiduciary duty to the holders of any 
debt security shall be liable for any   
decision made not to enforce a loan     
covenant related to such debt security4 
7#b7 ,applicability ,paragraph 7#a7     
shall only apply during the period      
beginning on ,march #ab1 #bjbj1 and     
ending on ,march #ac1 #bjbb4  7d7       
,definitions ,in this ,act1 the         
following definitions apply3 7#a7       
,covered loan ,the term covered loan    
means a loan entered into on or before  
the date of the enactment of this ,act4 
7#b7 ,,covid-#ai relief program ,the    
term ,,covid-#ai relief program means   
any program created by-- 7,a7 the       
,coronavirus ,preparedness and ,response
 ,supplemental ,appropriations ,act1    
#bjbj 7,public ,law #aaf-abc72  7,b7 the
 ,families ,first ,coronavirus ,response
 ,act 7,public ,law #aaf-abg72  7,c7 the
 ,,cares ,act 7,public ,law #aaf-acf72  
or  7,d7 the ,federal ,government or any

 ,state1 local1 ,tribal1 or territorial 
government for the purpose of reducing  
the financial losses of businesses      
caused by the spread of ,,covid-#ai4    
7#c7 ,loan covenant ,the term loan      
covenant means any provision in a       
covered loan agreement that allows or   
requires the acceleration of repayments 
due under any loan agreement or that    
reduces the availability of funds under 
a line of credit-- 7,a7 due to any act  
or omission of a borrower or any entity 
related to the borrower2 or  7,b7       
because the total liabilities or current
 liabilities of a borrower exceed-- 7i7 
any benchmark2 or  7ii7 any percentage  
of the assets of the borrower1 revenues1
 equity1 or any other benchmark4