arrow_back Back to App

ESOP Fairness Act: New Rules for Employee Stock Ownership Plans

This act modifies the rules for what types of securities can be included in Employee Stock Ownership Plans (ESOPs). It allows certain over-the-counter securities to be treated as readily tradable, potentially offering employees more flexibility in their retirement savings within these plans.
Key points
Expands the definition of "readily tradable" securities for ESOPs to include certain over-the-counter stocks.
Permits the inclusion of securities that are priced by at least two dealers and meet specific transparency and company stability requirements.
The changes apply to plan years beginning after the act's enactment, potentially impacting future ESOP investment choices.
article Official text account_balance Process page
Expired
Citizen Poll
No votes cast
Additional Information
Print number: 117_S_1559
Sponsor: Sen. Tillis, Thomas [R-NC]
Process start date: 2021-05-11
Lustra uses Artificial Intelligence. Verify details in source documents.
Summarized by: gemini-2.5-flash-preview-05-20
Source data: api.congress.gov
AI work logs for this document launch

OFFICIAL LEGAL TITLE

2021 ESOP Fairness Act

FREQUENTLY ASKED QUESTIONS

What is the official ID of this bill?

The official print number for this legislation is 117_S_1559.

Which chamber initiated this legislation?

This legislation was initiated in the Senate.

When did the legislative process begin?

The process officially started on 2021-05-11.

What are the main provisions?

Key points include:

  • Expands the definition of "readily tradable" securities for ESOPs to include certain over-the-counter stocks.
  • Permits the inclusion of securities that are priced by at least two dealers and meet specific transparency and company stability requirements.
  • The changes apply to plan years beginning after the act's enactment, potentially impacting future ESOP investment choices.
What is the specific legal status?

The current status is Expired.

Where can I read the full text of this legislation?

The full official text is available at: View full text

Who is the primary sponsor?

The primary sponsor is Sen. Tillis, Thomas [R-NC].

What is the latest detailed status?

The latest detailed status is: Introduced in Senate

Is this summary verified?

Yes. This content was analyzed by AI and verified by the Lustra Judge System on 2025-12-29.

CATEGORIES

Taxes Labor Economy