Sec. 305. Prohibition against special compensation payments
206 words·~1 min read·
/bill/116/s/2155/is/section-305A 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, or any of the 20 next most highly compensated employees of the debtor, department or division managers of the debtor, or consultants providing services to the debtor (regardless of whether the executive officer, employee, manager, or consultant is an insider) 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)(1), by inserting before the period at the end the following: , except that, for any transaction that constitutes a transfer or obligation subject to section 503(c), the trustee shall be required to obtain the prior approval of the court after notice and an opportunity for a hearing .