[bliblah]

>Was Puerto Rico unaware of this when they took out the loans?

The fact that it went to the Supreme Court of the US [1] means that it is unprecedented and required the highest court in the land to interpret the law means that no parties were fully aware of how Bankruptcy would hold.

[1]https://www.oyez.org/cases/2015/15-233

[darawk]

I mean, sure, they tried to wriggle out of it any way they could, but the law was clear. And they had every reason to believe that this was a very likely outcome.

[thoughtstheseus]

Yes. Anyone who was involved with these bonds did or should have known. People loved that triple tax exemption too much.