50 U.S.C. § 3933 — Fines and penalties under contracts
submitted 86 years ago by Pub. L. 108-189 to r/title-50-WAR-AND-NATIONAL-DEFENSE · 116 words · no verdicts yet
Fines and penalties under contracts. (a) Prohibition of penalties When an action for compliance with the terms of a contract is stayed under this chapter, a penalty may not accrue for failure to comply with the terms of the contract during the period of the stay. The remaining provisions state related rules, conditions, exceptions, or definitions.
(a) Prohibition of penalties When an action for compliance with the terms of a contract is stayed under this chapter, a penalty may not accrue for failure to comply with the terms of the contract during the period of the stay. (b) Reduction or waiver of fines or penalties If a servicemember* fails to perform an obligation arising under a contract and a penalty is incurred arising from that nonperformance, a court* may reduce or waive the fine or penalty if— (1) the servicemember was in military service* at the time the fine or penalty was incurred; and (2) the ability of the servicemember to perform the obligation was materially affected by such military service.
When an action for compliance with the terms of a contract is stayed pursuant to this chapter, a penalty shall not accrue for failure to comply with the terms of the contract during the period of the stay.
If a servicemember* fails to perform an obligation arising under a contract and a penalty is incurred arising from that nonperformance, a court* may reduce or waive the fine or penalty if—
the servicemember was in military service* at the time the fine or penalty was incurred; and
the ability of the servicemember to perform the obligation was materially affected by such military service.
Source credit: (Oct. 17, 1940, ch. 888, title II, § 203, as added Pub. L. 108–189, § 1, Dec. 19, 2003, 117 Stat. 2843.)
- 1940Enacted · Pub. L. 108-189 · 117 Stat. 2843
A history note hasn’t been published yet. The record shows enactment by Pub. L. 108-189 on 1940-10-17.
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