Retention Plan
Definition
In a chapter 11 bankruptcy reorganization, a plan that pays incentives to the debtor’s insiders to encourage them to remain employed with the debtor. Retention plans must meet the requirements of § 503(c)(1) to be approved.
In a chapter 11 bankruptcy reorganization, a plan that pays incentives to the debtor’s insiders to encourage them to remain employed with the debtor. Retention plans must meet the requirements of § 503(c)(1) to be approved.