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Code · BILL · 116th Congress · S. 4089 (Introduced in Senate) — To amend title 11, United States Code, to improve protections for employees and retirees in business bankruptcies. · Sec. 203

Sec. 203. Protection of employee benefits in a sale of assets

209 words·~1 min read·/bill/116/s/4089/is/section-203

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Section 363 of title 11, United States Code, is amended by adding at the end the following: In approving a sale or lease of property of the estate under this section or a plan under chapter 11, the court shall give substantial weight to the extent to which a prospective purchaser or lessee of the property will— preserve the jobs of the employees of the debtor; maintain the terms and conditions of employment of the employees of the debtor; and assume or match the pension and health benefit obligations of the debtor to the retirees of the debtor.
If there are two or more offers to purchase or lease property of the estate under this section or a plan under chapter 11, the court shall approve the offer of the prospective purchaser or lessee that will best carry out the actions described in subparagraphs
(A)through
(C)of paragraph (1). . Section 1129(a) of title 11, United States Code is amended by adding at the end the following: If the plan provides for the sale of all or substantially all of the property of the estate, the plan requires the purchaser of the sale to carry out the actions described in subparagraphs
(A)through
(C)of section 363(q)(1). .
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