495
credit described in paragraph (2) has on the rate of
cases filed under title 11 of the United States Code.
(2) EXTENSION OF CREDIT.—The extension of
credit described in this paragraph is the extension of
credit to individuals who are—
(A) claimed as dependents for purposes of
the Internal Revenue Code of 1986; and
(B) enrolled within 1 year of successfully
completing all required secondary education re-
quirements and on a full-time basis, in postsec-
ondary educational institutions.
(b) REPORT.—Not later than 1 year after the date
of enactment of this Act, the Board shall submit to the
Senate and the House of Representatives a report summa-
rizing the results of the study conducted under subsection
(a).
SEC. 1309. CLARIFICATION OF CLEAR AND CONSPICUOUS.
(a) REGULATIONS.—Not later than 6 months after
the date of enactment of this Act, the Board, in consulta-
tion with the other Federal banking agencies (as defined
in section 3 of the Federal Deposit Insurance Act), the
National Credit Union Administration Board, and the
Federal Trade Commission, shall promulgate regulations
to provide guidance regarding the meaning of the term
‘‘clear and conspicuous’’, as used in subparagraphs (A),
496
(B), and (C) of section 127(b)(11) and clauses (ii) and
(iii) of section 127(c)(6)(A) of the Truth in Lending Act.
(b) EXAMPLES.—Regulations promulgated under
subsection (a) shall include examples of clear and con-
spicuous model disclosures for the purposes of disclosures
required by the provisions of the Truth in Lending Act
referred to in subsection (a).
(c) STANDARDS.—In promulgating regulations under
this section, the Board shall ensure that the clear and con-
spicuous standard required for disclosures made under the
provisions of the Truth in Lending Act referred to in sub-
section (a) can be implemented in a manner which results
in disclosures which are reasonably understandable and
designed to call attention to the nature and significance
of the information in the notice.
TITLE 
XIV—GENERAL 
EFFEC-
TIVE DATE; APPLICATION OF
AMENDMENTS
SEC. 1401. EFFECTIVE DATE; APPLICATION OF AMEND-
MENTS.
(a) EFFECTIVE DATE.—Except as otherwise provided
in this Act, this Act and the amendments made by this
Act shall take effect 180 days after the date of enactment
of this Act.
(b) APPLICATION OF AMENDMENTS.—
497
(1) IN
GENERAL.—Except as otherwise pro-
vided in this Act and paragraph (2), the amend-
ments made by this Act shall not apply with respect
to cases commenced under title 11, United States
Code, before the effective date of this Act.
(2) CERTAIN
LIMITATIONS
APPLICABLE
TO
DEBTORS.—The amendments made by sections 308,
322, and 330 shall apply with respect to cases com-
menced under title 11, United States Code, on or
after the date of the enactment of this Act.
TITLE 
XV—PREVENTING 
COR-
PORATE BANKRUPTCY ABUSE
SEC. 1501. EMPLOYEE WAGE AND BENEFIT PRIORITIES.
Section 507(a) of title 11, United States Code, is
amended—
(1) in paragraph (3) by striking ‘‘90’’ and in-
serting ‘‘180’’, and
(2) in paragraphs (3) and (4) by striking
‘‘$4,000’’ and inserting ‘‘$10,000’’.
SEC. 1502. FRAUDULENT TRANSFERS AND OBLIGATIONS.
Section 548 of title 11, United States Code, is
amended—
(1) in subsections (a) and (b) by striking ‘‘one
year’’ and inserting ‘‘2 years’’,
(2) in subsection (a)—
498
(A) by inserting ‘‘(including any transfer
to or for the benefit of an insider under an em-
ployment contract)’’ after ‘‘transfer’’ the 1st
place it appears, and
(B) by inserting ‘‘(including any obligation
to or for the benefit of an insider under an em-
ployment contract)’’ after ‘‘obligation’’ the 1st
place it appears, and
(3) in subsection (a)(1)(B)(ii)—
(A) in subclause (II) by striking ‘‘or’’ at
the end,
(B) in subclause (III) by striking the pe-
riod at the end and inserting ‘‘; or’’, and
(C) by adding at the end the following:
‘‘(IV) made such transfer to or for the benefit
of an insider, or incurred such obligation to or for
the benefit of an insider, under an employment con-
tract and not in the ordinary course of business.’’.
SEC. 1503. PAYMENT OF INSURANCE BENEFITS TO RETIRED
EMPLOYEES.
Section 1114 of title 11, United States Code, is
amended—
(1) by redesignating subsection (l) as subsection
(m), and
499
(2) by inserting after subsection (k) the fol-
lowing:
‘‘(l) If the debtor, during the 180-day period ending
on the date of the filing of the petition—
‘‘(1) modified retiree benefits; and
‘‘(2) was insolvent on the date such benefits
were modified;
the court, on motion of a party in interest, and after notice
and a hearing, shall issue an order reinstating as of the
date the modification was made, such benefits as in effect
immediately before such date unless the court finds that
the balance of the equities clearly favors such modifica-
tion.’’.
SEC. 1504. EFFECTIVE DATE; APPLICATION OF AMEND-
MENTS.
(a) EFFECTIVE DATE.—Except as provided in sub-
section (b), this Act and the amendments made by this
Act shall take effect on the date of the enactment of this
Act.
(b) APPLICATION OF AMENDMENTS.—
(1) IN GENERAL.—Except as provided in para-
graph (2), the amendments made by this Act shall
apply only with respect to cases commenced under
title 11 of the United States Code on or after the
date of the enactment of this Act.
500
(2) 
AVOIDANCE
PERIOD.—The 
amendment
made by section 3(1) shall apply only with respect
to cases commenced under title 11 of the United
States Code more than 1 year after the date of the
enactment of this Act.
Passed the House of Representatives March 19,
2003.
Attest:
Clerk.