S. 2403 — Retire through Ownership Act

This section amends ERISA's definition of adequate consideration to establish a good faith reliance safe harbor permitting a fiduciary of an employee stock ownership plan (ESOP, as defined in ERISA section 407(d)(6)) to use a valuation of a non-market security provided by an independent valuation expert or business appraiser that applies the principles and methodologies of IRS Revenue Ruling 59-60 (as amplified or modified). The safe harbor does not (1) preclude the Secretary of Labor from issuing regulations interpreting the provision, (2) expand the Secretary's pre-enactment regulatory authority over adequate consideration, or (3) modify a fiduciary's duties under ERISA section 404. The amendments apply to valuations made on or after the date of enactment.