31 U.S.C. § 3728 — Setoff against judgment

(a) The Secretary of the Treasury must withhold paying that part of a judgment against the United States Government presented to the Secretary that is equal to a debt^* the plaintiff owes the Government. (b) The Secretary must— (1) discharge the debt if the plaintiff agrees to the setoff and discharges a part of the judgment equal to the debt; or (2) (A) withhold payment of an additional amount the Secretary decides will cover legal costs of bringing a civil action for the debt if the plaintiff denies the debt or does not agree to the setoff; and (B) have a civil action brought if one has not already been brought. (c) If the Government loses a civil action to recover a debt or recovers less than the amount the Secretary withholds under this section, the Secretary must pay the plaintiff the balance and interest of 6 percent for the time the money is withheld.