TITLE VII – Further Relief
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SERVICEMEMBERS CIVIL RELIEF ACT (“SCRA”)
Cite as 50 U.S.C.___
SUBCHAPTER VII—FURTHER RELIEF
§ 4021. Anticipatory relief
(a) Application for relief
A servicemember may, during military service or within 180 days of termination of or release from military service, apply to a court for relief—
(1) from any obligation or liability incurred by the servicemember before the servicemember’s military service; or
(2) from a tax or assessment falling due before or during the servicemember’s military service.
(b) Tax liability or assessment
In a case covered by subsection (a), the court may, if the ability of the servicemember to comply with the terms of such obligation or liability or pay such tax or assessment has been materially affected by reason of military service, after appropriate notice and hearing, grant the following relief:
(1) Stay of enforcement of real estate contracts
(A) In the case of an obligation payable in installments under a contract for the purchase of real estate, or secured by a mortgage or other instrument in the nature of a mortgage upon real estate, the court may grant a stay of the enforcement of the obligation—
(i) during the servicemember’s period of military service; and
(ii) from the date of termination of or release from military service, or from the date of application if made after termination of or release from military service.
(B) Any stay under this paragraph shall be—
(i) for a period equal to the remaining life of the installment contract or other instrument, plus a period of time equal to the period of military service of the servicemember, or any part of such combined period; and
(ii) subject to payment of the balance of the principal and accumulated interest due and unpaid at the date of termination or release from the applicant’s military service or from the date of application in equal installments during the combined period at the rate of interest on the unpaid balance prescribed in the contract or other instrument evidencing the obligation, and subject to other terms as may be equitable.
(2) Stay of enforcement of other contracts
(A) In the case of any other obligation, liability, tax, or assessment, the court may grant a stay of enforcement—
(i) during the servicemember’s military service; and
(ii) from the date of termination of or release from military service, or from the date of application if made after termination or release from military service.
(B) Any stay under this paragraph shall be—
(i) for a period of time equal to the period of the servicemember’s military service or any part of such period; and
(ii) subject to payment of the balance of principal and accumulated interest due and unpaid at the date of termination or release from military service, or the date of application, in equal periodic installments during this extended period at the rate of interest as may be prescribed for this obligation, liability, tax, or assessment, if paid when due, and subject to other terms as may be equitable.
(c) Affect 1 of stay on fine or penalty
When a court grants a stay under this section, a fine or penalty shall not accrue on the obligation, liability, tax, or assessment for the period of compliance with the terms and conditions of the stay.
(Oct. 17, 1940, ch. 888, title VII, §701, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2860.)
Codification
Section was formerly classified to section 591 of the former Appendix to this title prior to editorial reclassification and renumbering as this section.
Prior Provisions
A prior section 701 of act Oct. 17, 1940, ch. 888, art. VII, as added Pub. L. 92–540, title V, §504(2), Oct. 24, 1972, 86 Stat. 1098; amended Pub. L. 102–12, §3, Mar. 18, 1991, 105 Stat. 34, related to power of attorney, prior to the general amendment of this Act by Pub. L. 108–189. See section 4022 of this title.
Provisions similar to this section were contained in section 700 of act Oct. 17, 1940, ch. 888, art. VII, as added Oct. 6, 1942, ch. 581, §18, 56 Stat. 777, prior to the general amendment of this Act by Pub. L. 108–189.
1 So in original. Probably should be “Effect”.
§ 4022. Power of attorney
(a) Automatic extension
A power of attorney of a servicemember shall be automatically extended for the period the servicemember is in a missing status (as defined in section 551(2) of title 37) if the power of attorney—
(1) was duly executed by the servicemember—
(A) while in military service; or
(B) before entry into military service but after the servicemember—
(i) received a call or order to report for military service; or
(ii) was notified by an official of the Department of Defense that the person could receive a call or order to report for military service;
(2) designates the servicemember’s spouse, parent, or other named relative as the servicemember’s attorney in fact for certain, specified, or all purposes; and
(3) expires by its terms after the servicemember entered a missing status.
(b) Limitation on power of attorney extension
A power of attorney executed by a servicemember may not be extended under subsection (a) if the document by its terms clearly indicates that the power granted expires on the date specified even though the servicemember, after the date of execution of the document, enters a missing status.
(Oct. 17, 1940, ch. 888, title VII, §702, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2861.)
Codification
Section was formerly classified to section 592 of the former Appendix to this title prior to editorial reclassification and renumbering as this section.
Prior Provisions
A prior section 702 of act Oct. 17, 1940, ch. 888, art. VII, as added Pub. L. 102–12, §4, Mar. 18, 1991, 105 Stat. 34; amended Pub. L. 104–106, div. A, title XV, §1501(e)(3), Feb. 10, 1996, 110 Stat. 501, related to professional liability protection for certain persons ordered to active duty in armed forces, prior to the general amendment of this Act by Pub. L. 108–189. See section 4023 of this title.
§ 4023. Professional liability protection
(a) Applicability
This section applies to a servicemember who—
(1) after July 31, 1990, is ordered to active duty (other than for training) pursuant to sections 688, 12301(a), 12301(g), 12302, 12304, 12306, or 12307 of title 10 or who is ordered to active duty under section 12301(d) of such title during a period when members are on active duty pursuant to any of the preceding sections; and
(2) immediately before receiving the order to active duty—
(A) was engaged in the furnishing of health-care or legal services or other services determined by the Secretary of Defense to be professional services; and
(B) had in effect a professional liability insurance policy that does not continue to cover claims filed with respect to the servicemember during the period of the servicemember’s active duty unless the premiums are paid for such coverage for such period.
(b) Suspension of coverage
(1) Suspension
Coverage of a servicemember referred to in subsection (a) by a professional liability insurance policy shall be suspended by the insurance carrier in accordance with this subsection upon receipt of a written request from the servicemember by the insurance carrier.
(2) Premiums for suspended contracts
A professional liability insurance carrier—
(A) may not require that premiums be paid by or on behalf of a servicemember for any professional liability insurance coverage suspended pursuant to paragraph (1); and
(B) shall refund any amount paid for coverage for the period of such suspension or, upon the election of such servicemember, apply such amount for the payment of any premium becoming due upon the reinstatement of such coverage.
(3) Nonliability of carrier during suspension
A professional liability insurance carrier shall not be liable with respect to any claim that is based on professional conduct (including any failure to take any action in a professional capacity) of a servicemember that occurs during a period of suspension of that servicemember’s professional liability insurance under this subsection.
(4) Certain claims considered to arise before suspension
For the purposes of paragraph (3), a claim based upon the failure of a professional to make adequate provision for a patient, client, or other person to receive professional services or other assistance during the period of the professional’s active duty service shall be considered to be based on an action or failure to take action before the beginning of the period of the suspension of professional liability insurance under this subsection, except in a case in which professional services were provided after the date of the beginning of such period.
(c) Reinstatement of coverage
(1) Reinstatement required
Professional liability insurance coverage suspended in the case of any servicemember pursuant to subsection (b) shall be reinstated by the insurance carrier on the date on which that servicemember transmits to the insurance carrier a written request for reinstatement.
(2) Time and premium for reinstatement
The request of a servicemember for reinstatement shall be effective only if the servicemember transmits the request to the insurance carrier within 30 days after the date on which the servicemember is released from active duty. The insurance carrier shall notify the servicemember of the due date for payment of the premium of such insurance. Such premium shall be paid by the servicemember within 30 days after receipt of that notice.
(3) Period of reinstated coverage
The period for which professional liability insurance coverage shall be reinstated for a servicemember under this subsection may not be less than the balance of the period for which coverage would have continued under the insurance policy if the coverage had not been suspended.
(d) Increase in premium
(1) Limitation on premium increases
An insurance carrier may not increase the amount of the premium charged for professional liability insurance coverage of any servicemember for the minimum period of the reinstatement of such coverage required under subsection (c)(3) to an amount greater than the amount chargeable for such coverage for such period before the suspension.
(2) Exception
Paragraph (1) does not prevent an increase in premium to the extent of any general increase in the premiums charged by that carrier for the same professional liability coverage for persons similarly covered by such insurance during the period of the suspension.
(e) Continuation of coverage of unaffected persons
This section does not—
(1) require a suspension of professional liability insurance protection for any person who is not a person referred to in subsection (a) and who is covered by the same professional liability insurance as a person referred to in such subsection; or
(2) relieve any person of the obligation to pay premiums for the coverage not required to be suspended.
(f) Stay of civil or administrative actions
(1) Stay of actions
A civil or administrative action for damages on the basis of the alleged professional negligence or other professional liability of a servicemember whose professional liability insurance coverage has been suspended under subsection (b) shall be stayed until the end of the period of the suspension if—
(A) the action was commenced during the period of the suspension;
(B) the action is based on an act or omission that occurred before the date on which the suspension became effective; and
(C) the suspended professional liability insurance would, except for the suspension, on its face cover the alleged professional negligence or other professional liability negligence or other professional liability of the servicemember.
(2) Date of commencement of action
Whenever a civil or administrative action for damages is stayed under paragraph (1) in the case of any servicemember, the action shall have been deemed to have been filed on the date on which the professional liability insurance coverage of the servicemember is reinstated under subsection (c).
(g) Effect of suspension upon limitations period
In the case of a civil or administrative action for which a stay could have been granted under subsection (f) by reason of the suspension of professional liability insurance coverage of the defendant under this section, the period of the suspension of the coverage shall be excluded from the computation of any statutory period of limitation on the commencement of such action.
(h) Death during period of suspension
If a servicemember whose professional liability insurance coverage is suspended under subsection (b) dies during the period of the suspension—
(1) the requirement for the grant or continuance of a stay in any civil or administrative action against such servicemember under subsection (f)(1) shall terminate on the date of the death of such servicemember; and
(2) the carrier of the professional liability insurance so suspended shall be liable for any claim for damages for professional negligence or other professional liability of the deceased servicemember in the same manner and to the same extent as such carrier would be liable if the servicemember had died while covered by such insurance but before the claim was filed.
(i) Definitions
For purposes of this section:
(1) Active duty
The term “active duty” has the meaning given that term in section 101(d)(1) of title 10.
(2) Profession
The term “profession” includes occupation.
(3) Professional
The term “professional” includes occupational.
(Oct. 17, 1940, ch. 888, title VII, §703, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2862.)
Codification
Section was formerly classified to section 593 of the former Appendix to this title prior to editorial reclassification and renumbering as this section.
Prior Provisions
A prior section 703 of act Oct. 17, 1940, ch. 888, art. VII, as added Pub. L. 102–12, §5(b), Mar. 18, 1991, 105 Stat. 37, related to reinstatement of health coverage upon release from service, prior to the general amendment of this Act by Pub. L. 108–189. See section 4024 of this title.
§ 4024. Health insurance reinstatement
(a) Reinstatement of health insurance
A servicemember who, by reason of military service as defined in section 4023(a)(1) of this title, is entitled to the rights and protections of this chapter shall also be entitled upon termination or release from such service to reinstatement of any health insurance that—
(1) was in effect on the day before such service commenced; and
(2) was terminated effective on a date during the period of such service.
(b) No exclusion or waiting period
The reinstatement of health care insurance coverage for the health or physical condition of a servicemember described in subsection (a), or any other person who is covered by the insurance by reason of the coverage of the servicemember, shall not be subject to an exclusion or a waiting period, if—
(1) the condition arose before or during the period of such service;
(2) an exclusion or a waiting period would not have been imposed for the condition during the period of coverage; and
(3) in a case in which the condition relates to the servicemember, the condition has not been determined by the Secretary of Veterans Affairs to be a disability incurred or aggravated in the line of duty (within the meaning of section 105 of title 38).
(c) Exceptions
Subsection (a) does not apply to a servicemember entitled to participate in employer-offered insurance benefits pursuant to the provisions of chapter 43 of title 38.
(d) Time for applying for reinstatement
An application under this section must be filed not later than 120 days after the date of the termination of or release from military service.
(e) Limitation on premium increases
(1) Premium protection
The amount of the premium for health insurance coverage that was terminated by a servicemember and required to be reinstated under subsection (a) may not be increased, for the balance of the period for which coverage would have been continued had the coverage not been terminated, to an amount greater than the amount chargeable for such coverage before the termination.
(2) Increases of general applicability not precluded
Paragraph (1) does not prevent an increase in premium to the extent of any general increase in the premiums charged by the carrier of the health care insurance for the same health insurance coverage for persons similarly covered by such insurance during the period between the termination and the reinstatement.
(Oct. 17, 1940, ch. 888, title VII, §704, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2864; amended Pub. L. 109–233, title III, §302, June 15, 2006, 120 Stat. 406.)
Codification
Section was formerly classified to section 594 of the former Appendix to this title prior to editorial reclassification and renumbering as this section.
Prior Provisions
A prior section 704 of act Oct. 17, 1940, ch. 888, art. VII, as added Pub. L. 107–107, div. A, title XVI, §1603, Dec. 28, 2001, 115 Stat. 1276, related to guarantee of residency for military personnel, prior to the general amendment of this Act byPub. L. 108–189. See section 4025 of this title.
Amendments
2006—Subsec. (b)(3). Pub. L. 109–233, §302(b), substituted “in a case in which the” for “if the”.
Subsec. (e). Pub. L. 109–233, §302(a), added subsec. (e).
§ 4025. Guarantee of residency for military personnel and spouses of military personnel
(a) In general
For the purposes of voting for any Federal office (as defined in section 30101 of title 52) or a State or local office, a person who is absent from a State in compliance with military or naval orders shall not, solely by reason of that absence—
(1) be deemed to have lost a residence or domicile in that State, without regard to whether or not the person intends to return to that State;
(2) be deemed to have acquired a residence or domicile in any other State; or
(3) be deemed to have become a resident in or a resident of any other State.
(b) Spouses
For the purposes of voting for any Federal office (as defined in section 30101 of title 52) or a State or local office, a person who is absent from a State because the person is accompanying the person’s spouse who is absent from that same State in compliance with military or naval orders shall not, solely by reason of that absence—
(1) be deemed to have lost a residence or domicile in that State, without regard to whether or not the person intends to return to that State;
(2) be deemed to have acquired a residence or domicile in any other State; or
(3) be deemed to have become a resident in or a resident of any other State.
(Oct. 17, 1940, ch. 888, title VII, §705, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2865; amended Pub. L. 111–97, §2(a), Nov. 11, 2009, 123 Stat. 3007.)
Codification
Section was formerly classified to section 595 of the former Appendix to this title prior to editorial reclassification and renumbering as this section.
Amendments
2009—Pub. L. 111–97 inserted “and spouses of military personnel” after “military personnel” in section catchline, designated existing provisions as subsec.(a), inserted heading, and added subsec. (b).
Effective Date of 2009 Amendment
Pub. L. 111–97, §2(c), Nov. 11, 2009, 123 Stat. 3007, provided that: “Subsection (b) of section 705 of such Act [Servicemembers Civil Relief Act] (50 U.S.C. App. 595) [now 50 U.S.C. 4025], as added by subsection (a) of this section, shall apply with respect to absences from States described in such subsection (b) on or after the date of the enactment of this Act [Nov. 11, 2009], regardless of the date of the military or naval order concerned.”
§ 4026. Business or trade obligations
(a) Availability of non-business assets to satisfy obligations
If the trade or business (without regard to the form in which such trade or business is carried out) of a servicemember has an obligation or liability for which the servicemember is personally liable, the assets of the servicemember not held in connection with the trade or business may not be available for satisfaction of the obligation or liability during the servicemember’s military service.
(b) Relief to obligors
Upon application to a court by the holder of an obligation or liability covered by this section, relief granted by this section to a servicemember may be modified as justice and equity require.
(Oct. 17, 1940, ch. 888, title VII, §706, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2865.)
Codification
Section was formerly classified to section 596 of the former Appendix to this title prior to editorial reclassification and renumbering as this section.