"The ESOP Association's model rule is intended to ensure ESOP fiduciaries, plan sponsors, service providers, and parties transacting with ESOPs are able to satisfy ERISA's obligations, thereby adequately protecting ESOP participants' interests while encouraging retirement security through new ESOP formation. This regulatory certainty will encourage companies and their shareholders to establish new ESOPs and reverse the years-long deceleration in the growth of employee ownership, which has been driven largely by the current nebulous statutory standard."

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