I wanted to add here that a Hired Diplomat will be able to remove the Hostility Penalty (as applied by a law) if Hostility is less than 75. The hostility penalty will be re-applied (automatically) at update if applicable. In this way, players will be able to buy some time till they can sort out the problem (debt in this case).
There is also a strong possibility that in the future, some law hostility penalties might only get removed with this card.