(1) Insolvency proceedings may not be opened for the assets owned by
1. the Federation or a Land;
2. a legal entity under public law under the supervision of a Land if the law
of the Land exempts such legal entity from insolvency proceedings.
(2) If the law of a Land exempts the assets of a legal entity from insolvency proceedings under subsection (1) no. 2, the employees of such legal entity in the case of its insolvency or overindebtedness, may apply to the Land for benefits which they could claim from the institution providing insolvency insurance in the case of insolvency proceedings being opened under the provisions of the Third Book of the Social Code (Sozialgesetzbuch III) governing insolvency substitute benefits from the Employment Agency and under the provisions of the Act to Improve Occupational Pensions (Gesetz zur Verbesserung der betrieblichen Altersversorgung).