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'A troubling precedent': Businesses ask Senate to kill a plan to limit stock buybacks and dividends

  • Trump’s proposal to ban dividend payments and stock buybacks by defense contractors could be folded into the National Defense Authorization Act as “Section 815,” a move that already rattled defense stocks earlier this year.
  • More than 40 business and industry groups — including the U.S. Chamber of Commerce and American Bankers Association — are urging senators to strip the provision, warning it would hurt retirees and everyday investors.
  • The debate pits critics who say buybacks divert money from production against supporters who argue buybacks deliver real returns to retail investors and retirement accounts (the Chamber cites roughly $4.2B saved over 17 years).
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