Sec. 303. Prohibition against special compensation payments
218 words·~1 min read·
/bill/116/hr/7370/ih/section-303·A research copy — for the controlling text, always check the official state or federal source. Not legal advice.
Section 363 of title 11, United States Code, is amended— in subsection (b), by adding at the end the following: No plan, program, or other transfer or obligation to, or for the benefit of, an insider of the debtor, a senior executive officer of the debtor, the 20 highest compensated employees of the debtor who are not insiders or senior executive officers, any department or division manager of the debtor, or any consultant providing services to the debtor shall be approved if the debtor has, on or after the date that is 1 year before the date of the filing of the petition— discontinued any plan, program, policy, or practice of paying severance pay to the nonmanagement workforce of the debtor; or modified any plan, program, policy, or practice described in subparagraph
(A)in order to reduce benefits under the plan, program, policy, or practice. ; and in subsection (c)— in paragraph (1), by striking If the business and inserting Except as provided in paragraph (5), if the business ; and by adding at the end the following: In the case of a transaction that is a transfer or obligation described in paragraphs
(1)through
(3)of section 503(c), the trustee shall obtain the prior approval of the court after notice and an opportunity for a hearing. .