What does Preamble of Retire through Ownership Act do?

This bill amends the Employee Retirement Income Security Act of 1974. The amendment aims to provide a clear definition of adequate consideration for certain closely held stock.

What does SHORT TITLE. of Retire through Ownership Act do?

This bill is formally titled the Retire through Ownership Act.

What does AMENDING ADEQUATE CONSIDERATION DEFINITION. of Retire through Ownership Act do?

This section amends Section 3(18) of the Employee Retirement Income Security Act of 1974 (ERISA). The amendments redesignate existing clauses and subparagraphs within the definition of 'adequate consideration'. It allows fiduciaries of employee stock ownership plans to rely on valuations from independent experts using IRS Revenue Ruling 59-60. The section clarifies that the Secretary's regulatory authority regarding 'adequate consideration' will not expand beyond the authority existing before the Retire through Ownership Act. The amendments do not modify a fiduciary's obligations under section 404. The changes apply to determinations made on or after the date of enactment of this Act.

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Retire through Ownership Act

Last updated: 10/17/2025 · Introduced: 7/23/2025

Author: Roger Marshall (R-KS)

TL;DR (AI)

The Retire through Ownership Act amends ERISA to clarify the definition of 'adequate consideration' for employee stock ownership plans.
It permits fiduciaries to use independent expert valuations based on IRS Revenue Ruling 59-60 when determining adequate consideration.
The Act limits the Secretary's regulatory authority regarding 'adequate consideration' to existing levels and does not alter fiduciary obligations under section 404.

119th Congresspassed senateHR. 5169(In Committee)Official page

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Other Sections

Includes provisions on preamble, short title., and 1 more.

3 sections

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