S. 2472 — Introduced in Senate

II 117th CONGRESS 1st Session S. 2472 IN THE SENATE OF THE UNITED STATES July 26, 2021Mr. Blumenthal (for himself and Ms. Warren) introduced the following bill; which was read twice and referred to the Committee on the Judiciary A BILL To prohibit the non-consensual release of claims by States, municipalities, federally recognized Tribes, or the United States against non-debtors, and for other purposes. 1. Short title This Act may be cited as the Stop shielding Assets from Corporate Known Liability by Eliminating non-debtor Releases Act or the SACKLER Act. 2. Non-debtor releases (a) Prohibition on certain non-Debtor releases Section 105(b) of title 11, United States Code, is amended by striking a court may not and all that follows, and inserting the following: a court may not— (1) appoint a receiver in a case under this title; or (2) except as provided by section 524(g) of this title, enjoin or release a claim against a non-debtor by a State, municipality, federally recognized Tribe, or the United States. . (b) Temporary stay on actions against non-Debtors Section 105 of title 11, United States Code, is amended by adding at the end the following: (e) Notwithstanding subsection (b)(2), a court may issue an order staying, for a period not to exceed 90 days, the commencement or continuation, including the issuance or employment of process, of a judicial, administrative, or other action or proceeding by a State, municipality, federally recognized Tribe, or the United States against a non-debtor that was or could have been commenced before the commencement of the case under this title, or to recover a claim against a non-debtor that arose before the commencement of the case under this title. .