judges' guide to the servicemembers civil relief act 597b. preservation of remedies. 597a....

ServiceMembersCivilReliefAct.com

AMENDMENTS1985—Pub. L. 99–145 substituted “Subject to section 2683(c) of title 10, United States Code, the” for

“The”.

EFFECTIVE DATE OF 1985 AMENDMENTAmendment by Pub. L. 99–145 effective 90 days after Nov. 8, 1985, see section 1224(d) of Pub. L. 99–145,

set out as a note under section 2683 of Title 10, Armed Forces.

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Insurance rights and protections.542.Definitions.541.

Extension of protections to dependents.538.Enforcement of storage liens.537.Protection of life insurance policy.536.Termination of telephone service contracts.535a.Termination of residential or motor vehicle leases.535.Settlement of stayed cases relating to personal property.534.Mortgages and trust deeds.533.Protection under installment contracts for purchase or lease.532.Evictions and distress.531.

Maximum rate of interest on debts incurred before military service.527.Statute of limitations.526.Duration and term of stays; codefendants not in service.525.Stay or vacation of execution of judgments, attachments, and garnishments.524.Fines and penalties under contracts.523.Stay of proceedings when servicemember has notice.522.Protection of servicemembers against default judgments.521.

Legal representatives.519.Exercise of rights under Act not to affect certain future financial transactions.518.Waiver of rights pursuant to written agreement.517.

Extension of rights and protections to reserves ordered to report for military service andto persons ordered to report for induction.

516.

Information for members of the Armed Forces and their dependents on rights andprotections of the Servicemembers Civil Relief Act.

515a.Notification of benefits.515.Extension of protections to citizens serving with allied forces.514.Protection of persons secondarily liable.513.Jurisdiction and applicability of Act.512.Definitions.511.

Purpose.502.Short title.501.

Sec.

SERVICEMEMBERS CIVIL RELIEF ACT

ACT OCT. 17, 1940, CH. 888, 54 STAT. 1178

TITLE I—GENERAL PROVISIONS

TITLE II—GENERAL RELIEF

TITLE III—RENT, INSTALLMENT CONTRACTS, MORTGAGES, LIENS, ASSIGNMENT,LEASES

TITLE IV—LIFE INSURANCE


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Preservation of remedies.597b.Private right of action.597a.Enforcement by the Attorney General.597.Business or trade obligations.596.Guarantee of residency for military personnel and spouses of military personnel.595.Health insurance reinstatement.594.Professional liability protection.593.Power of attorney.592.Anticipatory relief.591.

Interlocutory orders.583.Certificates of service; persons reported missing.582.Inappropriate use of Act.581.

Residence for tax purposes.571.Income taxes.570.Regulations.569.Land rights of servicemembers.568.Distribution of information concerning benefits of title.567.Perfection or defense of rights.566.Mineral permits and leases.565.Mining claims.564.Desert-land entries.563.Rights in public lands.562.Taxes respecting personal property, money, credits, and real property.561.

Review of findings of fact and conclusions of law.549.Regulations.548.Premiums and interest guaranteed by United States.547.Deduction of unpaid premiums.546.Policy restrictions.545.Policies entitled to protection and lapse of policies.544.Application for insurance protection.543.

TITLE V—TAXES AND PUBLIC LANDS

TITLE VI—ADMINISTRATIVE REMEDIES

TITLE VII—FURTHER RELIEF

CODIFICATIONThe Servicemembers Civil Relief Act, comprising sections 501 to 515 and 516 to 597b of this Appendix,

was originally enacted as act Oct. 17, 1940, ch. 888, 54 Stat. 1178, known as the Soldiers’ and Sailors’ CivilRelief Act of 1940, and amended by acts Oct. 6, 1942, ch. 581, 56 Stat. 769; July 3, 1944, ch. 397, 58 Stat.722; Apr. 3, 1948, ch. 170, 62 Stat. 160; June 23, 1952, ch. 450, 66 Stat. 151; July 11, 1956, ch. 570, 70 Stat.528; Pub. L. 85–857, Sept. 2, 1958, 72 Stat. 1105; Pub. L. 86–721, Sept. 8, 1960, 74 Stat. 820; Pub. L.87–771, Oct. 9, 1962, 76 Stat. 768; Pub. L. 89–358, Mar. 3, 1966, 80 Stat. 12; Pub. L. 92–540, Oct. 24, 1972,86 Stat. 1074; Pub. L. 102–12, Mar. 18, 1991, 105 Stat. 34; Pub. L. 104–106, Feb. 10, 1996, 110 Stat. 186;Pub. L. 107–107, Dec. 28, 2001, 115 Stat. 1012; Pub. L. 107–330, Dec. 6, 2002, 116 Stat. 2820. Sections ofthe act Oct. 17, 1940, are shown herein, however, as having been added by Pub. L. 108–189, §1, Dec. 19,2003, 117 Stat. 2835, without reference to the intervening amendments listed above because of the extensiverevision of act Oct. 17, 1940, by Pub. L. 108–189.

SOLDIERS’ AND SAILORS’ CIVIL RELIEF ACT OF 1918Former provisions on this subject were contained in act Mar. 8, 1918, ch. 20, 40 Stat. 440, known as the

Soldiers’ and Sailors’ Civil Relief Act of 1918, section 101 et seq. of this Appendix.

§501. Short titleThis Act [sections 501 to 515 and 516 to 597b of this Appendix] may be cited as the

“Servicemembers Civil Relief Act”.ServiceMembersCivilReliefAct.com

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(Oct. 17, 1940, ch. 888, §1(a), as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2835.)

PRIOR PROVISIONSA prior section 501, act Oct. 17, 1940, ch. 888, §1, 54 Stat. 1178, provided that this Act could be cited as

the Soldiers’ and Sailors’ Relief Act of 1940, prior to the general amendment of this Act by Pub. L. 108–189.

EFFECTIVE DATEPub. L. 108–189, §3, Dec. 19, 2003, 117 Stat. 2866, provided that: “The amendment made by section 1

[enacting sections 501 to 515 and 516 to 596 of this Appendix] shall apply to any case that is not final beforethe date of the enactment of this Act [Dec. 19, 2003].”

SHORT TITLE OF 2010 AMENDMENTPub. L. 111–346, §1, Dec. 29, 2010, 124 Stat. 3622, provided that: “This Act [amending provisions set out

as a note under section 533 of this Appendix] may be cited as the ‘Helping Heroes Keep Their Homes Act of2010’.”

SHORT TITLE OF 2009 AMENDMENTPub. L. 111–97, §1, Nov. 11, 2009, 123 Stat. 3007, provided that: “This Act [amending sections 568, 571,

and 595 of this Appendix and enacting provisions set out as notes under sections 568, 571, and 595 of thisAppendix] may be cited as the ‘Military Spouses Residency Relief Act’.”

SHORT TITLE OF 1991 AMENDMENTPub. L. 102–12, §1, Mar. 18, 1991, 105 Stat. 34, provided that: “This Act [enacting sections 518, 592, and

593 of this Appendix, amending sections 511 to 513, 515, 516, 525, 526, 530 to 532, 534, 535, 540 to 545,547, 564 to 567, 570, 574, 580, 581, 584, and 591 of this Appendix and sections 2021 and 2024 of Title 38,Veterans’ Benefits, repealing section 548 of this Appendix, and enacting provisions set out as notes undersections 521 and 530 of this Appendix and sections 2021 and 2024 of Title 38] may be cited as the ‘Soldiers’and Sailors’ Civil Relief Act Amendments of 1991’.”

SHORT TITLE OF 1942 AMENDMENTAct Oct. 6, 1942, ch. 581, §1, 56 Stat. 769, provided: “That this Act [enacting sections 514 to 517, 526, 533

to 536, 574, and 590 of this Appendix and amending sections 513, 525, 530 to 532, 540 to 548, 560, 569, and572 of this Appendix] may be cited as the ‘Soldiers’ and Sailors’ Civil Relief Act Amendments of 1942’.”

§502. PurposeThe purposes of this Act [sections 501 to 515 and 516 to 597b of this Appendix] are—

(1) to provide for, strengthen, and expedite the national defense through protection extended bythis Act to servicemembers of the United States to enable such persons to devote their entireenergy to the defense needs of the Nation; and

(2) to provide for the temporary suspension of judicial and administrative proceedings andtransactions that may adversely affect the civil rights of servicemembers during their militaryservice.

(Oct. 17, 1940, ch. 888, §2, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2836.)

TITLE I—GENERAL PROVISIONS

PRIOR PROVISIONSA prior section 510, act Oct. 17, 1940, ch. 888, art. I, §100, 54 Stat. 1179, stated purpose of this Act, prior

to the general amendment of this Act by Pub. L. 108–189.

§511. DefinitionsFor the purposes of this Act [sections 501 to 515 and 516 to 597b of this Appendix]:

ServiceMembersCivilReliefAct.com 3

(1) ServicememberThe term “servicemember” means a member of the uniformed services, as that term is defined

in section 101(a)(5) of title 10, United States Code.

(2) Military serviceThe term “military service” means—

(A) in the case of a servicemember who is a member of the Army, Navy, Air Force, MarineCorps, or Coast Guard—

(i) active duty, as defined in section 101(d)(1) of title 10, United States Code, and(ii) in the case of a member of the National Guard, includes service under a call to active

service authorized by the President or the Secretary of Defense for a period of more than 30consecutive days under section 502(f) of title 32, United States Code, for purposes ofresponding to a national emergency declared by the President and supported by Federalfunds;

(B) in the case of a servicemember who is a commissioned officer of the Public HealthService or the National Oceanic and Atmospheric Administration, active service; and

(C) any period during which a servicemember is absent from duty on account of sickness,wounds, leave, or other lawful cause.

(3) Period of military serviceThe term “period of military service” means the period beginning on the date on which a

servicemember enters military service and ending on the date on which the servicemember isreleased from military service or dies while in military service.

(4) DependentThe term “dependent”, with respect to a servicemember, means—

(A) the servicemember's spouse;(B) the servicemember's child (as defined in section 101(4) of title 38, United States Code);

or(C) an individual for whom the servicemember provided more than one-half of the

individual's support for 180 days immediately preceding an application for relief under this Act.

(5) CourtThe term “court” means a court or an administrative agency of the United States or of any State

(including any political subdivision of a State), whether or not a court or administrative agency ofrecord.

(6) StateThe term “State” includes—

(A) a commonwealth, territory, or possession of the United States; and(B) the District of Columbia.

(7) Secretary concernedThe term “Secretary concerned”—

(A) with respect to a member of the armed forces, has the meaning given that term in section101(a)(9) of title 10, United States Code;

(B) with respect to a commissioned officer of the Public Health Service, means the Secretaryof Health and Human Services; and

(C) with respect to a commissioned officer of the National Oceanic and AtmosphericAdministration, means the Secretary of Commerce.

(8) Motor vehicleThe term “motor vehicle” has the meaning given that term in section 30102(a)(6) of title 49,

United States Code.


(9) JudgmentThe term “judgment” means any judgment, decree, order, or ruling, final or temporary.

(Oct. 17, 1940, ch. 888, title I, §101, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2836;amended Pub. L. 108–454, title VII, §701, Dec. 10, 2004, 118 Stat. 3624.)

PRIOR PROVISIONSA prior section 511, acts Oct. 17, 1940, ch. 888, art. I, §101, 54 Stat. 1179; Pub. L. 92–540, title V, §504(1),

Oct. 24, 1972, 86 Stat. 1098; Pub. L. 102–12, §9(1), Mar. 18, 1991, 105 Stat. 38; Pub. L. 107–330, title III,§305, Dec. 6, 2002, 116 Stat. 2826, related to definitions, prior to the general amendment of this Act by Pub.L. 108–189.

AMENDMENTS2004—Par. (9). Pub. L. 108–454 added par. (9).

§512. Jurisdiction and applicability of Act(a) Jurisdiction

This Act [sections 501 to 515 and 516 to 597b of this Appendix] applies to—(1) the United States;(2) each of the States, including the political subdivisions thereof; and(3) all territory subject to the jurisdiction of the United States.

(b) Applicability to proceedingsThis Act [sections 501 to 515 and 516 to 597b of this Appendix] applies to any judicial or

administrative proceeding commenced in any court or agency in any jurisdiction subject to this Act.This Act does not apply to criminal proceedings.

(c) Court in which application may be madeWhen under this Act [sections 501 to 515 and 516 to 597b of this Appendix] any application is

required to be made to a court in which no proceeding has already been commenced with respect tothe matter, such application may be made to any court which would otherwise have jurisdiction overthe matter.

(Oct. 17, 1940, ch. 888, title I, §102, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2837.)

PRIOR PROVISIONSA prior section 512, acts Oct. 17, 1940, ch. 888, art. I, §102, 54 Stat. 1179; Pub. L. 102–12, §9(2), Mar. 18,

1991, 105 Stat. 39, related to territorial application, jurisdiction of courts, and form of procedure, prior to thegeneral amendment of this Act by Pub. L. 108–189.

§513. Protection of persons secondarily liable(a) Extension of protection when actions stayed, postponed, or suspended

Whenever pursuant to this Act [sections 501 to 515 and 516 to 597b of this Appendix] a courtstays, postpones, or suspends (1) the enforcement of an obligation or liability, (2) the prosecution ofa suit or proceeding, (3) the entry or enforcement of an order, writ, judgment, or decree, or (4) theperformance of any other act, the court may likewise grant such a stay, postponement, or suspensionto a surety, guarantor, endorser, accommodation maker, comaker, or other person who is or may beprimarily or secondarily subject to the obligation or liability the performance or enforcement ofwhich is stayed, postponed, or suspended.

(b) Vacation or set-aside of judgmentsWhen a judgment or decree is vacated or set aside, in whole or in part, pursuant to this Act

[sections 501 to 515 and 516 to 597b of this Appendix], the court may also set aside or vacate, as the


case may be, the judgment or decree as to a surety, guarantor, endorser, accommodation maker,comaker, or other person who is or may be primarily or secondarily liable on the contract or liabilityfor the enforcement of the judgment or decree.

(c) Bail bond not to be enforced during period of military serviceA court may not enforce a bail bond during the period of military service of the principal on the

bond when military service prevents the surety from obtaining the attendance of the principal. Thecourt may discharge the surety and exonerate the bail, in accordance with principles of equity andjustice, during or after the period of military service of the principal.

(d) Waiver of rights

(1) Waivers not precludedThis Act [sections 501 to 515 and 516 to 597b of this Appendix] does not prevent a waiver in

writing by a surety, guarantor, endorser, accommodation maker, comaker, or other person(whether primarily or secondarily liable on an obligation or liability) of the protections providedunder subsections (a) and (b). Any such waiver is effective only if it is executed as an instrumentseparate from the obligation or liability with respect to which it applies.

(2) Waiver invalidated upon entrance to military serviceIf a waiver under paragraph (1) is executed by an individual who after the execution of the

waiver enters military service, or by a dependent of an individual who after the execution of thewaiver enters military service, the waiver is not valid after the beginning of the period of suchmilitary service unless the waiver was executed by such individual or dependent during the periodspecified in section 106 [section 516 of this Appendix].


PRIOR PROVISIONSA prior section 513, acts Oct. 17, 1940, ch. 888, art. I, §103, 54 Stat. 1179; Oct. 6, 1942, ch. 581, §§2, 3, 56

Stat. 769; Pub. L. 102–12, §9(3), Mar. 18, 1991, 105 Stat. 39, related to protection of persons secondarilyliable, prior to the general amendment of this Act by Pub. L. 108–189.

§514. Extension of protections to citizens serving with allied forcesA citizen of the United States who is serving with the forces of a nation with which the United

States is allied in the prosecution of a war or military action is entitled to the relief and protectionsprovided under this Act [sections 501 to 515 and 516 to 597b of this Appendix] if that service withthe allied force is similar to military service as defined in this Act. The relief and protectionsprovided to such citizen shall terminate on the date of discharge or release from such service.


PRIOR PROVISIONSA prior section 514, act Oct. 17, 1940, ch. 888, art. I, §104, as added Oct. 6, 1942, ch. 581, §4, 56 Stat. 770,

related to extension of benefits to citizens serving with forces of war allies, prior to the general amendment ofthis Act by Pub. L. 108–189.

§515. Notification of benefitsThe Secretary concerned shall ensure that notice of the benefits accorded by this Act [sections 501

to 515 and 516 to 597b of this Appendix] is provided in writing to persons in military service and topersons entering military service.


PRIOR PROVISIONSA prior section 515, act Oct. 17, 1940, ch. 888, art. I, §105, as added Oct. 6, 1942, ch. 581, §4, 56 Stat. 770;


amended Pub. L. 102–12, §9(4), Mar. 18, 1991, 105 Stat. 39, related to notice of benefits to persons in andpersons entering military service, prior to the general amendment of this Act by Pub. L. 108–189.

§515a. Information for members of the Armed Forces and their dependents onrights and protections of the Servicemembers Civil Relief Act

(a) Outreach to membersThe Secretary concerned shall provide to each member of the Armed Forces under the jurisdiction

of the Secretary pertinent information on the rights and protections available to members and theirdependents under the Servicemembers Civil Relief Act (50 U.S.C. App. 501 et seq.).

(b) Time of provisionThe information required to be provided under subsection (a) to a member shall be provided at the

following times:(1) During the initial orientation training of the member.(2) In the case of a member of a reserve component, during the initial orientation training of the

member and when the member is mobilized or otherwise individually called or ordered to activeduty for a period of more than one year.

(3) At such other times as the Secretary concerned considers appropriate.

(c) Outreach to dependentsThe Secretary concerned may provide to the adult dependents of members under the jurisdiction of

the Secretary pertinent information on the rights and protections available to members and theirdependents under the Servicemembers Civil Relief Act.

(d) DefinitionsIn this section, the terms “dependent” and “Secretary concerned” have the meanings given such

terms in section 101 of the Servicemembers Civil Relief Act (50 U.S.C. App. 511).

(Pub. L. 109–163, div. A, title VI, §690, Jan. 6, 2006, 119 Stat. 3337.)

REFERENCES IN TEXTThe Servicemembers Civil Relief Act, referred to in subsecs. (a) and (c), is act Oct. 17, 1940, ch. 888, 54

Stat. 1178, as amended, which is classified to section 501 et seq. of this Appendix. For complete classificationof this Act to the Code, see section 501 of this Appendix and Tables.

CODIFICATIONSection was enacted as part of the National Defense Authorization Act for Fiscal Year 2006, and not as part

of the Servicemembers Civil Relief Act which comprises sections 501 to 515 and 516 to 597b of thisAppendix.

§516. Extension of rights and protections to reserves ordered to report formilitary service and to persons ordered to report for induction

(a) Reserves ordered to report for military serviceA member of a reserve component who is ordered to report for military service is entitled to the

rights and protections of this title and titles II and III [sections 511 to 515, 516 to 519, 521 to 527,and 531 to 538 of this Appendix] during the period beginning on the date of the member's receipt ofthe order and ending on the date on which the member reports for military service (or, if the order isrevoked before the member so reports, or the date on which the order is revoked).

(b) Persons ordered to report for inductionA person who has been ordered to report for induction under the Military Selective Service Act

(50 U.S.C. App. 451 et seq.) is entitled to the rights and protections provided a servicemember underthis title and titles II and III [sections 511 to 515, 516 to 519, 521 to 527, and 531 to 538 of this


Appendix] during the period beginning on the date of receipt of the order for induction and endingon the date on which the person reports for induction (or, if the order to report for induction isrevoked before the date on which the person reports for induction, on the date on which the order isrevoked).


REFERENCES IN TEXTThe Military Selective Service Act, referred to in subsec. (b), is act June 24, 1948, ch. 625, 62 Stat. 604, as

amended, which is classified principally to section 451 et seq. of this Appendix. For complete classification ofthis Act to the Code, see References in Text note set out under section 451 of this Appendix and Tables.

PRIOR PROVISIONSA prior section 516, act Oct. 17, 1940, ch. 888, art. I, §106, as added Oct. 6, 1942, ch. 581, §4, 56 Stat. 770;

amended Pub. L. 102–12, §9(5), Mar. 18, 1991, 105 Stat. 39, related to extension of benefits to personsordered to report for induction or military service, prior to the general amendment of this Act by Pub. L.108–189.

§517. Waiver of rights pursuant to written agreement(a) In general

A servicemember may waive any of the rights and protections provided by this Act [sections 501to 515 and 516 to 597b of this Appendix]. Any such waiver that applies to an action listed insubsection (b) of this section is effective only if it is in writing and is executed as an instrumentseparate from the obligation or liability to which it applies. In the case of a waiver that permits anaction described in subsection (b), the waiver is effective only if made pursuant to a writtenagreement of the parties that is executed during or after the servicemember's period of militaryservice. The written agreement shall specify the legal instrument to which the waiver applies and, ifthe servicemember is not a party to that instrument, the servicemember concerned.

(b) Actions requiring waivers in writingThe requirement in subsection (a) for a written waiver applies to the following:

(1) The modification, termination, or cancellation of—(A) a contract, lease, or bailment; or(B) an obligation secured by a mortgage, trust, deed, lien, or other security in the nature of a

mortgage.

(2) The repossession, retention, foreclosure, sale, forfeiture, or taking possession of propertythat—

(A) is security for any obligation; or(B) was purchased or received under a contract, lease, or bailment.

(c) Prominent display of certain contract rights waiversAny waiver in writing of a right or protection provided by this Act [sections 501 to 515 and 516 to

597b of this Appendix] that applies to a contract, lease, or similar legal instrument must be in at least12 point type.

(d) Coverage of periods after orders receivedFor the purposes of this section—

(1) a person to whom section 106 [section 516 of this Appendix] applies shall be considered tobe a servicemember; and

(2) the period with respect to such a person specified in subsection (a) or (b), as the case maybe, of section 106 [section 516 of this Appendix] shall be considered to be a period of militaryservice.

(Oct. 17, 1940, ch. 888, title I, §107, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2839;


amended Pub. L. 108–454, title VII, §702, Dec. 10, 2004, 118 Stat. 3624.)

PRIOR PROVISIONSA prior section 517, act Oct. 17, 1940, ch. 888, art. I, §107, as added Oct. 6, 1942, ch. 581, §4, 56 Stat. 770,

related to effect on rights and remedies pursuant to written agreements entered after commencement ofmilitary service, prior to the general amendment of this Act by Pub. L. 108–189.

AMENDMENTS2004—Subsec. (a). Pub. L. 108–454, §702(1), inserted after first sentence: “Any such waiver that applies to

an action listed in subsection (b) of this section is effective only if it is in writing and is executed as aninstrument separate from the obligation or liability to which it applies.”

Subsecs. (c), (d). Pub. L. 108–454, §702(2), (3), added subsec. (c) and redesignated former subsec. (c) as(d).

§518. Exercise of rights under Act not to affect certain future financialtransactions

Application by a servicemember for, or receipt by a servicemember of, a stay, postponement, orsuspension pursuant to this Act [sections 501 to 515 and 516 to 597b of this Appendix] in thepayment of a tax, fine, penalty, insurance premium, or other civil obligation or liability of thatservicemember shall not itself (without regard to other considerations) provide the basis for any ofthe following:

(1) A determination by a lender or other person that the servicemember is unable to pay the civilobligation or liability in accordance with its terms.

(2) With respect to a credit transaction between a creditor and the servicemember—(A) a denial or revocation of credit by the creditor;(B) a change by the creditor in the terms of an existing credit arrangement; or(C) a refusal by the creditor to grant credit to the servicemember in substantially the amount

or on substantially the terms requested.

(3) An adverse report relating to the creditworthiness of the servicemember by or to a personengaged in the practice of assembling or evaluating consumer credit information.

(4) A refusal by an insurer to insure the servicemember.(5) An annotation in a servicemember's record by a creditor or a person engaged in the practice

of assembling or evaluating consumer credit information, identifying the servicemember as amember of the National Guard or a reserve component.

(6) A change in the terms offered or conditions required for the issuance of insurance.


PRIOR PROVISIONSA prior section 518, act Oct. 17, 1940, ch. 888, art. I, §108, as added Pub. L. 102–12, §7, Mar. 18, 1991,

105 Stat. 38, related to the effect of certain future financial transactions on the exercise of rights, prior to thegeneral amendment of this Act by Pub. L. 108–189.

§519. Legal representatives(a) Representative

A legal representative of a servicemember for purposes of this Act [sections 501 to 515 and 516 to597b of this Appendix] is either of the following:

(1) An attorney acting on the behalf of a servicemember.(2) An individual possessing a power of attorney.

(b) ApplicationWhenever the term “servicemember” is used in this Act [sections 501 to 515 and 516 to 597b of


this Appendix], such term shall be treated as including a reference to a legal representative of theservicemember.


TITLE II—GENERAL RELIEF

PRIOR PROVISIONSA prior section 520, acts Oct. 17, 1940, ch. 888, art. II, §200, 54 Stat. 1180; Pub. L. 86–721, §§1, 2, Sept. 8,

1960, 74 Stat. 820, related to default judgments, affidavits, bonds, and attorneys for persons in service, prior tothe general amendment of this Act by Pub. L. 108–189. See section 521 of this Appendix.

§521. Protection of servicemembers against default judgments(a) Applicability of section

This section applies to any civil action or proceeding, including any child custody proceeding, inwhich the defendant does not make an appearance.

(b) Affidavit requirement

(1) Plaintiff to file affidavitIn any action or proceeding covered by this section, the court, before entering judgment for the

plaintiff, shall require the plaintiff to file with the court an affidavit—(A) stating whether or not the defendant is in military service and showing necessary facts to

support the affidavit; or(B) if the plaintiff is unable to determine whether or not the defendant is in military service,

stating that the plaintiff is unable to determine whether or not the defendant is in militaryservice.

(2) Appointment of attorney to represent defendant in military serviceIf in an action covered by this section it appears that the defendant is in military service, the

court may not enter a judgment until after the court appoints an attorney to represent thedefendant. If an attorney appointed under this section to represent a servicemember cannot locatethe servicemember, actions by the attorney in the case shall not waive any defense of theservicemember or otherwise bind the servicemember.

(3) Defendant's military status not ascertained by affidavitIf based upon the affidavits filed in such an action, the court is unable to determine whether the

defendant is in military service, the court, before entering judgment, may require the plaintiff tofile a bond in an amount approved by the court. If the defendant is later found to be in militaryservice, the bond shall be available to indemnify the defendant against any loss or damage thedefendant may suffer by reason of any judgment for the plaintiff against the defendant, should thejudgment be set aside in whole or in part. The bond shall remain in effect until expiration of thetime for appeal and setting aside of a judgment under applicable Federal or State law or regulationor under any applicable ordinance of a political subdivision of a State. The court may issue suchorders or enter such judgments as the court determines necessary to protect the rights of thedefendant under this Act [sections 501 to 515 and 516 to 597b of this Appendix].

(4) Satisfaction of requirement for affidavitThe requirement for an affidavit under paragraph (1) may be satisfied by a statement,

declaration, verification, or certificate, in writing, subscribed and certified or declared to be trueunder penalty of perjury.

(c) Penalty for making or using false affidavit


A person who makes or uses an affidavit permitted under subsection (b) (or a statement,declaration, verification, or certificate as authorized under subsection (b)(4)) knowing it to be false,shall be fined as provided in title 18, United States Code, or imprisoned for not more than one year,or both.

(d) Stay of proceedingsIn an action covered by this section in which the defendant is in military service, the court shall

grant a stay of proceedings for a minimum period of 90 days under this subsection upon applicationof counsel, or on the court's own motion, if the court determines that—

(1) there may be a defense to the action and a defense cannot be presented without the presenceof the defendant; or

(2) after due diligence, counsel has been unable to contact the defendant or otherwise determineif a meritorious defense exists.

(e) Inapplicability of section 202 proceduresA stay of proceedings under subsection (d) shall not be controlled by procedures or requirements

under section 202 [section 522 of this Appendix].

(f) Section 202 protectionIf a servicemember who is a defendant in an action covered by this section receives actual notice

of the action, the servicemember may request a stay of proceeding under section 202 [section 522 ofthis Appendix].

(g) Vacation or setting aside of default judgments

(1) Authority for court to vacate or set aside judgmentIf a default judgment is entered in an action covered by this section against a servicemember

during the servicemember's period of military service (or within 60 days after termination of orrelease from such military service), the court entering the judgment shall, upon application by oron behalf of the servicemember, reopen the judgment for the purpose of allowing theservicemember to defend the action if it appears that—

(A) the servicemember was materially affected by reason of that military service in making adefense to the action; and

(B) the servicemember has a meritorious or legal defense to the action or some part of it.

(2) Time for filing applicationAn application under this subsection must be filed not later than 90 days after the date of the

termination of or release from military service.

(h) Protection of bona fide purchaserIf a court vacates, sets aside, or reverses a default judgment against a servicemember and the

vacating, setting aside, or reversing is because of a provision of this Act [sections 501 to 515 and 516to 597b of this Appendix], that action shall not impair a right or title acquired by a bona fidepurchaser for value under the default judgment.

(Oct. 17, 1940, ch. 888, title II, §201, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2840;amended Pub. L. 110–181, div. A, title V, §584(a), Jan. 28, 2008, 122 Stat. 128.)

PRIOR PROVISIONSA prior section 521, act Oct. 17, 1940, ch. 888, art. II, §201, 54 Stat. 1181, related to stay of proceedings

where military service affects conduct thereof, prior to the general amendment of this Act by Pub. L. 108–189.See section 522 of this Appendix.

AMENDMENTS2008—Subsec. (a). Pub. L. 110–181 inserted “, including any child custody proceeding,” after

“proceeding”.


§522. Stay of proceedings when servicemember has notice(a) Applicability of section

This section applies to any civil action or proceeding, including any child custody proceeding, inwhich the plaintiff or defendant at the time of filing an application under this section—

(1) is in military service or is within 90 days after termination of or release from militaryservice; and

(2) has received notice of the action or proceeding.

(b) Stay of proceedings

(1) Authority for stayAt any stage before final judgment in a civil action or proceeding in which a servicemember

described in subsection (a) is a party, the court may on its own motion and shall, upon applicationby the servicemember, stay the action for a period of not less than 90 days, if the conditions inparagraph (2) are met.

(2) Conditions for stayAn application for a stay under paragraph (1) shall include the following:

(A) A letter or other communication setting forth facts stating the manner in which currentmilitary duty requirements materially affect the servicemember's ability to appear and stating adate when the servicemember will be available to appear.

(B) A letter or other communication from the servicemember's commanding officer statingthat the servicemember's current military duty prevents appearance and that military leave is notauthorized for the servicemember at the time of the letter.

(c) Application not a waiver of defensesAn application for a stay under this section does not constitute an appearance for jurisdictional

purposes and does not constitute a waiver of any substantive or procedural defense (including adefense relating to lack of personal jurisdiction).

(d) Additional stay

(1) ApplicationA servicemember who is granted a stay of a civil action or proceeding under subsection (b) may

apply for an additional stay based on continuing material affect of military duty on theservicemember's ability to appear. Such an application may be made by the servicemember at thetime of the initial application under subsection (b) or when it appears that the servicemember isunavailable to prosecute or defend the action. The same information required under subsection(b)(2) shall be included in an application under this subsection.

(2) Appointment of counsel when additional stay refusedIf the court refuses to grant an additional stay of proceedings under paragraph (1), the court

shall appoint counsel to represent the servicemember in the action or proceeding.

(e) Coordination with section 201A servicemember who applies for a stay under this section and is unsuccessful may not seek the

protections afforded by section 201 [section 521 of this Appendix].

(f) Inapplicability to section 301The protections of this section do not apply to section 301 [section 531 of this Appendix].

(Oct. 17, 1940, ch. 888, title II, §202, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2842;amended Pub. L. 108–454, title VII, §703, Dec. 10, 2004, 118 Stat. 3624; Pub. L. 110–181, div. A,title V, §584(b), Jan. 28, 2008, 122 Stat. 128.)

PRIOR PROVISIONSA prior section 522, act Oct. 17, 1940, ch. 888, art. II, §202, 54 Stat. 1181, related to fines and penalties on

contracts, prior to the general amendment of this Act by Pub. L. 108–189. See section 523 of this Appendix.


AMENDMENTS2008—Subsec. (a). Pub. L. 110–181 inserted “, including any child custody proceeding,” after “civil action

or proceeding” in introductory provisions.2004—Subsec. (a). Pub. L. 108–454 inserted “plaintiff or” before “defendant” in introductory provisions.

STAY OF JUDICIAL PROCEEDINGSPub. L. 102–12, §6, Mar. 18, 1991, 105 Stat. 37, provided that:“(a) .—In any judicial action or proceeding (other than a criminalSTAY OF ACTION OR PROCEEDING

proceeding) in which a member of the Armed Forces described in subsection (b) is involved (either as plaintiffor defendant), the court shall, upon application by such member (or some other person on the member'sbehalf) at any stage before final judgment is entered, stay the action or proceeding until a date after June 30,1991.

“(b) .—A member of the Armed Forces is covered by subsection (a) if at the timeMEMBERS COVEREDof application for the stay of a judicial action or proceeding the member—

“(1) is on active duty; and“(2) is serving outside the State in which the court having jurisdiction over the action or proceeding is

located.“(c) .—For purposes of this section, the term ‘State’ includes the District of Columbia, theDEFINITION

Commonwealth of Puerto Rico, the Virgin Islands, and Guam.”

§523. Fines and penalties under contracts(a) Prohibition of penalties

When an action for compliance with the terms of a contract is stayed pursuant to this Act [sections501 to 515 and 516 to 597b of this Appendix], a penalty shall not accrue for failure to comply withthe terms of the contract during the period of the stay.

(b) Reduction or waiver of fines or penaltiesIf 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.

(Oct. 17, 1940, ch. 888, title II, §203, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2843.)

PRIOR PROVISIONSA prior section 523, act Oct. 17, 1940, ch. 888, art. II, §203, 54 Stat. 1181, related to stay or vacation of

execution of judgments and attachments, prior to the general amendment of this Act by Pub. L. 108–189. Seesection 524 of this Appendix.

§524. Stay or vacation of execution of judgments, attachments, and garnishments(a) Court action upon material affect determination

If a servicemember, in the opinion of the court, is materially affected by reason of military servicein complying with a court judgment or order, the court may on its own motion and shall onapplication by the servicemember—

(1) stay the execution of any judgment or order entered against the servicemember; and(2) vacate or stay an attachment or garnishment of property, money, or debts in the possession

of the servicemember or a third party, whether before or after judgment.

(b) ApplicabilityThis section applies to an action or proceeding commenced in a court against a servicemember

before or during the period of the servicemember's military service or within 90 days after suchservice terminates.



PRIOR PROVISIONSA prior section 524, act Oct. 17, 1940, ch. 888, art. II, §204, 54 Stat. 1181, related to duration and term of

stays and codefendants not in service, prior to the general amendment of this Act by Pub. L. 108–189. Seesection 525 of this Appendix.

§525. Duration and term of stays; codefendants not in service(a) Period of stay

A stay of an action, proceeding, attachment, or execution made pursuant to the provisions of thisAct [sections 501 to 515 and 516 to 597b of this Appendix] by a court may be ordered for the periodof military service and 90 days thereafter, or for any part of that period. The court may set the termsand amounts for such installment payments as is considered reasonable by the court.

(b) CodefendantsIf the servicemember is a codefendant with others who are not in military service and who are not

entitled to the relief and protections provided under this Act [sections 501 to 515 and 516 to 597b ofthis Appendix], the plaintiff may proceed against those other defendants with the approval of thecourt.

(c) Inapplicability of sectionThis section does not apply to sections 202 and 701 [sections 522 and 591 of this Appendix].


PRIOR PROVISIONSA prior section 525, acts Oct. 17, 1940, ch. 888, art. II, §205, 54 Stat. 1181; Oct. 6, 1942, ch. 581, §5, 56

Stat. 770; Pub. L. 102–12, §9(6), Mar. 18, 1991, 105 Stat. 39, related to statutes of limitations as affected byperiod of service, prior to the general amendment of this Act by Pub. L. 108–189. See section 526 of thisAppendix.

§526. Statute of limitations(a) Tolling of statutes of limitation during military service

The period of a servicemember's military service may not be included in computing any periodlimited by law, regulation, or order for the bringing of any action or proceeding in a court, or in anyboard, bureau, commission, department, or other agency of a State (or political subdivision of aState) or the United States by or against the servicemember or the servicemember's heirs, executors,administrators, or assigns.

(b) Redemption of real propertyA period of military service may not be included in computing any period provided by law for the

redemption of real property sold or forfeited to enforce an obligation, tax, or assessment.

(c) Inapplicability to internal revenue lawsThis section does not apply to any period of limitation prescribed by or under the internal revenue

laws of the United States.


REFERENCES IN TEXTThe internal revenue laws of the United States, referred to in subsec. (c), are classified generally to Title 26,

Internal Revenue Code.

PRIOR PROVISIONS


A prior section 526, act Oct. 17, 1940, ch. 888, art. II, §206, as added Oct. 6, 1942, ch. 581, §6, 56 Stat.771; amended Pub. L. 102–12, §9(7), Mar. 18, 1991, 105 Stat. 39, related to maximum rate of interest, prior tothe general amendment of this Act by Pub. L. 108–189. See section 527 of this Appendix.

§527. Maximum rate of interest on debts incurred before military service(a) Interest rate limitation

(1) Limitation to 6 percentAn obligation or liability bearing interest at a rate in excess of 6 percent per year that is incurred

by a servicemember, or the servicemember and the servicemember's spouse jointly, before theservicemember enters military service shall not bear interest at a rate in excess of 6 percent—

(A) during the period of military service and one year thereafter, in the case of an obligationor liability consisting of a mortgage, trust deed, or other security in the nature of a mortgage; or

(B) during the period of military service, in the case of any other obligation or liability.

(2) Forgiveness of interest in excess of 6 percentInterest at a rate in excess of 6 percent per year that would otherwise be incurred but for the

prohibition in paragraph (1) is forgiven.

(3) Prevention of acceleration of principalThe amount of any periodic payment due from a servicemember under the terms of the

instrument that created an obligation or liability covered by this section shall be reduced by theamount of the interest forgiven under paragraph (2) that is allocable to the period for which suchpayment is made.

(b) Implementation of limitation

(1) Written notice to creditorIn order for an obligation or liability of a servicemember to be subject to the interest rate

limitation in subsection (a), the servicemember shall provide to the creditor written notice and acopy of the military orders calling the servicemember to military service and any orders furtherextending military service, not later than 180 days after the date of the servicemember'stermination or release from military service.

(2) Limitation effective as of date of order to active dutyUpon receipt of written notice and a copy of orders calling a servicemember to military service,

the creditor shall treat the debt in accordance with subsection (a), effective as of the date on whichthe servicemember is called to military service.

(c) Creditor protectionA court may grant a creditor relief from the limitations of this section if, in the opinion of the

court, the ability of the servicemember to pay interest upon the obligation or liability at a rate inexcess of 6 percent per year is not materially affected by reason of the servicemember's militaryservice.

(d) DefinitionsIn this section:

(1) InterestThe term “interest” includes service charges, renewal charges, fees, or any other charges (except

bona fide insurance) with respect to an obligation or liability.

(2) Obligation or liabilityThe term “obligation or liability” includes an obligation or liability consisting of a mortgage,

trust deed, or other security in the nature of a mortgage.

(e) Penalty


Whoever knowingly violates subsection (a) shall be fined as provided in title 18, United StatesCode, imprisoned for not more than one year, or both.

(Oct. 17, 1940, ch. 888, title II, §207, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2844;amended Pub. L. 110–289, div. B, title II, §2203(b), July 30, 2008, 122 Stat. 2849; Pub. L. 110–389,title VIII, §807, Oct. 10, 2008, 122 Stat. 4189; Pub. L. 111–275, title III, §303(b)(1), Oct. 13, 2010,124 Stat. 2877.)

PRIOR PROVISIONSA prior section 527, act Oct. 17, 1940, ch. 888, art. II, §207, as added Oct. 21, 1942, ch. 619, title V,

§507(b)(2)(B), 56 Stat. 964, related to limitations prescribed by internal revenue laws as affected by period ofservice, prior to the general amendment of this Act by Pub. L. 108–189. See section 526 of this Appendix.

AMENDMENTS2010—Subsec. (f). Pub. L. 111–275 struck out subsec. (f). Text read as follows: “The penalties provided

under subsection (e) are in addition to and do not preclude any other remedy available under law to a personclaiming relief under this section, including any award for consequential or punitive damages.”

2008—Subsec. (a)(1). Pub. L. 110–289, §2203(b)(1), substituted “in excess of 6 percent—” for “in excessof 6 percent per year during the period of military service.” and added subpars. (A) and (B).

Subsec. (d). Pub. L. 110–289, §2203(b)(2), added subsec. (d) and struck out former subsec. (d). Prior toamendment, text read as follows: “As used in this section, the term ‘interest’ includes service charges, renewalcharges, fees, or any other charges (except bona fide insurance) with respect to an obligation or liability.”

Subsecs. (e), (f). Pub. L. 110–389 added subsecs. (e) and (f).

TITLE III—RENT, INSTALLMENT CONTRACTS, MORTGAGES, LIENS,ASSIGNMENT, LEASES, TELEPHONE SERVICE CONTRACTS

PRIOR PROVISIONSA prior section 530, acts Oct. 17, 1940, ch. 888, art. III, §300, 54 Stat. 1181; Oct. 6, 1942, ch. 581, §8, 56

Stat. 771; Pub. L. 89–358, §10, Mar. 3, 1966, 80 Stat. 28; Pub. L. 102–12, §§2(a), (b), 9(8), Mar. 18, 1991,105 Stat. 34, 39, related to eviction or distress during military service, prior to the general amendment of thisAct by Pub. L. 108–189. See section 531 of this Appendix.

AMENDMENTS2010—Pub. L. 111–275, title III, §302(b), Oct. 13, 2010, 124 Stat. 2876, inserted “, TELEPHONE

SERVICE CONTRACTS” after “LEASES” in heading.

§531. Evictions and distress(a) Court-ordered eviction

(1) In generalExcept by court order, a landlord (or another person with paramount title) may not—

(A) evict a servicemember, or the dependents of a servicemember, during a period of militaryservice of the servicemember, from premises—

(i) that are occupied or intended to be occupied primarily as a residence; and(ii) for which the monthly rent does not exceed $2,400, as adjusted under paragraph (2) for

years after 2003; or

(B) subject such premises to a distress during the period of military service.

(2) Housing price inflation adjustment(A) For calendar years beginning with 2004, the amount in effect under paragraph (1)(A)(ii)

shall be increased by the housing price inflation adjustment for the calendar year involved.


(B) For purposes of this paragraph—(i) The housing price inflation adjustment for any calendar year is the percentage change (if

any) by which—(I) the CPI housing component for November of the preceding calendar year, exceeds(II) the CPI housing component for November of 1984.

(ii) The term “CPI housing component” means the index published by the Bureau of LaborStatistics of the Department of Labor known as the Consumer Price Index, All UrbanConsumers, Rent of Primary Residence, U.S. City Average.

(3) Publication of housing price inflation adjustmentThe Secretary of Defense shall cause to be published in the Federal Register each year the

amount in effect under paragraph (1)(A)(ii) for that year following the housing price inflationadjustment for that year pursuant to paragraph (2). Such publication shall be made for a year notlater than 60 days after such adjustment is made for that year.

(b) Stay of execution

(1) Court authorityUpon an application for eviction or distress with respect to premises covered by this section, the

court may on its own motion and shall, if a request is made by or on behalf of a servicememberwhose ability to pay the agreed rent is materially affected by military service—

(A) stay the proceedings for a period of 90 days, unless in the opinion of the court, justiceand equity require a longer or shorter period of time; or

(B) adjust the obligation under the lease to preserve the interests of all parties.

(2) Relief to landlordIf a stay is granted under paragraph (1), the court may grant to the landlord (or other person

with paramount title) such relief as equity may require.

(c) MisdemeanorExcept as provided in subsection (a), a person who knowingly takes part in an eviction or distress

described in subsection (a), or who knowingly attempts to do so, shall be fined as provided in title18, United States Code, or imprisoned for not more than one year, or both.

(d) Rent allotment from pay of servicememberTo the extent required by a court order related to property which is the subject of a court action

under this section, the Secretary concerned shall make an allotment from the pay of a servicememberto satisfy the terms of such order, except that any such allotment shall be subject to regulationsprescribed by the Secretary concerned establishing the maximum amount of pay of servicemembersthat may be allotted under this subsection.

(e) Limitation of applicabilitySection 202 [section 522 of this Appendix] is not applicable to this section.

(Oct. 17, 1940, ch. 888, title III, §301, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2845;amended Pub. L. 111–275, title III, §303(b)(2), Oct. 13, 2010, 124 Stat. 2877.)

PRIOR PROVISIONSA prior section 531, acts Oct. 17, 1940, ch. 888, art. III, §301, 54 Stat. 1182; Oct. 6, 1942, ch. 581, §9(a),

(c), (d), 56 Stat. 771; Pub. L. 102–12, §9(9), Mar. 18, 1991, 105 Stat. 40, related to installment contracts forpurchase of property, prior to the general amendment of this Act by Pub. L. 108–189. See section 532 of thisAppendix.

AMENDMENTS2010—Subsec. (c). Pub. L. 111–275 amended subsec. (c) generally. Prior to amendment, subsec. (c) related

to penalties.


§532. Protection under installment contracts for purchase or lease(a) Protection upon breach of contract

(1) Protection after entering military serviceAfter a servicemember enters military service, a contract by the servicemember for—

(A) the purchase of real or personal property (including a motor vehicle); or(B) the lease or bailment of such property,

may not be rescinded or terminated for a breach of terms of the contract occurring before or duringthat person's military service, nor may the property be repossessed for such breach without a courtorder.

(2) ApplicabilityThis section applies only to a contract for which a deposit or installment has been paid by the

servicemember before the servicemember enters military service.

(b) MisdemeanorA person who knowingly resumes possession of property in violation of subsection (a), or in

violation of section 107 of this Act [section 517 of this Appendix], or who knowingly attempts to doso, shall be fined as provided in title 18, United States Code, or imprisoned for not more than oneyear, or both.

(c) Authority of courtIn a hearing based on this section, the court—

(1) may order repayment to the servicemember of all or part of the prior installments or depositsas a condition of terminating the contract and resuming possession of the property;

(2) may, on its own motion, and shall on application by a servicemember when theservicemember's ability to comply with the contract is materially affected by military service, staythe proceedings for a period of time as, in the opinion of the court, justice and equity require; or

(3) may make other disposition as is equitable to preserve the interests of all parties.


PRIOR PROVISIONSA prior section 532, acts Oct. 17, 1940, ch. 888, art. III, §302, 54 Stat. 1182; Oct. 6, 1942, ch. 581, §§9(b),

(c), 10, 56 Stat. 771, 772; June 23, 1952, ch. 450, 66 Stat. 151; Pub. L. 102–12, §9(9), (10), Mar. 18, 1991,105 Stat. 40, related to mortgages and trust deeds, prior to the general amendment of this Act by Pub. L.108–189. See section 533 of this Appendix.

AMENDMENTS2010—Subsec. (b). Pub. L. 111–275 amended subsec. (b) generally. Prior to amendment, subsec. (b) related

to penalties.

§533. Mortgages and trust deeds(a) Mortgage as security

This section applies only to an obligation on real or personal property owned by a servicememberthat—

(1) originated before the period of the servicemember's military service and for which theservicemember is still obligated; and

(2) is secured by a mortgage, trust deed, or other security in the nature of a mortgage.

(b) Stay of proceedings and adjustment of obligationIn an action filed during, or within one year after, a servicemember's period of military service to


enforce an obligation described in subsection (a), the court may after a hearing and on its ownmotion and shall upon application by a servicemember when the servicemember's ability to complywith the obligation is materially affected by military service—

(1) stay the proceedings for a period of time as justice and equity require, or(2) adjust the obligation to preserve the interests of all parties.

(c) Sale or foreclosureA sale, foreclosure, or seizure of property for a breach of an obligation described in subsection (a)

shall not be valid if made during, or within one year after, the period of the servicemember's militaryservice except—

(1) upon a court order granted before such sale, foreclosure, or seizure with a return made andapproved by the court; or

(2) if made pursuant to an agreement as provided in section 107 [section 517 of this Appendix].

(d) MisdemeanorA person who knowingly makes or causes to be made a sale, foreclosure, or seizure of property

that is prohibited by subsection (c), or who knowingly attempts to do so, shall be fined as provided intitle 18, United States Code, or imprisoned for not more than one year, or both.

(Oct. 17, 1940, ch. 888, title III, §303, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2847;amended Pub. L. 110–289, div. B, title II, §2203(a), July 30, 2008, 122 Stat. 2849; Pub. L. 111–275,title III, §303(b)(4), Oct. 13, 2010, 124 Stat. 2878; Pub. L. 112–154, title VII, §710(a), (b), (d)(3),Aug. 6, 2012, 126 Stat. 1208.)

AMENDMENT OF SUBSECTIONS (B) AND (C)For termination of amendment and revival of prior provisions by section 710(d)(1), (3) of Pub. L.

112–154, see Effective and Termination Dates of 2012 Amendment; Revival notes below.

PRIOR PROVISIONSA prior section 533, act Oct. 17, 1940, ch. 888, art. III, §303, as added Oct. 6, 1942, ch. 581, §12, 56 Stat.

772, related to settlement of cases involving stayed proceedings to foreclose mortgage on, resume possessionof, or terminate contract for purchase of, personal property, prior to the general amendment of this Act by Pub.L. 108–189. See section 534 of this Appendix.

Another prior section 533, act Oct. 17, 1940, ch. 888, art. III, §303, 54 Stat. 1183, related to stay of actionto resume possession of motor vehicle, tractor, or their accessories, encumbered by purchase money mortgage,conditional sales contract, etc., prior to repeal by act Oct. 6, 1942, ch. 581, §11, 56 Stat. 772.

AMENDMENTS2012—Subsecs. (b), (c). Pub. L. 112–154, §710(d)(3), revived the provisions of subsecs. (b) and (c) as in

effect on July 29, 2008. Effective Jan. 1, 2015, “within 90 days” is substituted for “within one year” inintroductory provisions. See Effective and Termination Dates of 2012 Amendment; Revival note below.

Pub. L. 112–154, §710(a), (b), (d)(1), temporarily substituted “within one year” for “within 9 months” inintroductory provisions. See Effective and Termination Dates of 2012 Amendment; Revival note below.

2010—Subsec. (d). Pub. L. 111–275 amended subsec. (d) generally. Prior to amendment, subsec. (d) relatedto penalties.

2008—Subsecs. (b), (c). Pub. L. 110–289 substituted “9 months” for “90 days” in introductory provisions.

EFFECTIVE AND TERMINATION DATES OF 2012 AMENDMENT; REVIVALPub. L. 112–154, title VII, §710(c), Aug. 6, 2012, 126 Stat. 1208, provided that: “The amendments made by

subsections (a) and (b) [amending this section] shall take effect on the date that is 180 days after the date ofthe enactment of this Act [Aug. 6, 2012].”

Pub. L. 112–154, title VII, §710(d)(1), Aug. 6, 2012, 126 Stat. 1208, provided that: “The amendments madeby subsections (a) and (b) [amending this section] shall expire on December 31, 2014.”

Pub. L. 112–154, title VII, §710(d)(3), Aug. 6, 2012, 126 Stat. 1208, provided that: “Effective January 1,2015, the provisions of subsections (b) and (c) of section 303 of the Servicemembers Civil Relief Act (50U.S.C. App. 533), as in effect on July 29, 2008, are hereby revived.”

EFFECTIVE DATE OF 2008 AMENDMENT


Pub. L. 110–289, div. B, title II, §2203(c), July 30, 2008, 122 Stat. 2850, as amended by Pub. L. 111–346,§2, Dec. 29, 2010, 124 Stat. 3622; Pub. L. 112–154, title VII, §710(d)(2), Aug. 6, 2012, 126 Stat. 1208,provided that: “The amendments made by subsection (a) [amending this section] shall take effect on the dateof the enactment of this Act [July 30, 2008].”

§534. Settlement of stayed cases relating to personal property(a) Appraisal of property

When a stay is granted pursuant to this Act [sections 501 to 515 and 516 to 597b of this Appendix]in a proceeding to foreclose a mortgage on or to repossess personal property, or to rescind orterminate a contract for the purchase of personal property, the court may appoint three disinterestedparties to appraise the property.

(b) Equity paymentBased on the appraisal, and if undue hardship to the servicemember's dependents will not result,

the court may order that the amount of the servicemember's equity in the property be paid to theservicemember, or the servicemember's dependents, as a condition of foreclosing the mortgage,repossessing the property, or rescinding or terminating the contract.

(Oct. 17, 1940, ch. 888, title III, §304, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2848.)


772; amended Pub. L. 102–12, §9(9), Mar. 18, 1991, 105 Stat. 40, related to termination of leases by lessees,prior to the general amendment of this Act by Pub. L. 108–189. See section 535 of this Appendix.

§535. Termination of residential or motor vehicle leases(a) Termination by lessee

(1) In generalThe lessee on a lease described in subsection (b) may, at the lessee's option, terminate the lease

at any time after—(A) the lessee's entry into military service; or(B) the date of the lessee's military orders described in paragraph (1)(B) or (2)(B) of

subsection (b), as the case may be.

(2) Joint leasesA lessee's termination of a lease pursuant to this subsection shall terminate any obligation a

dependent of the lessee may have under the lease.

(b) Covered leasesThis section applies to the following leases:

(1) Leases of premisesA lease of premises occupied, or intended to be occupied, by a servicemember or a

servicemember's dependents for a residential, professional, business, agricultural, or similarpurpose if—

(A) the lease is executed by or on behalf of a person who thereafter and during the term of thelease enters military service; or

(B) the servicemember, while in military service, executes the lease and thereafter receivesmilitary orders for a permanent change of station or to deploy with a military unit, or as anindividual in support of a military operation, for a period of not less than 90 days.

(2) Leases of motor vehiclesA lease of a motor vehicle used, or intended to be used, by a servicemember or a


servicemember's dependents for personal or business transportation if—(A) the lease is executed by or on behalf of a person who thereafter and during the term of the

lease enters military service under a call or order specifying a period of not less than 180 days(or who enters military service under a call or order specifying a period of 180 days or less andwho, without a break in service, receives orders extending the period of military service to aperiod of not less than 180 days); or

(B) the servicemember, while in military service, executes the lease and thereafter receivesmilitary orders—

(i) for a change of permanent station—(I) from a location in the continental United States to a location outside the continental

United States; or(II) from a location in a State outside the continental United States to any location

outside that State; or

(ii) to deploy with a military unit, or as an individual in support of a military operation, fora period of not less than 180 days.

(c) Manner of termination

(1) In generalTermination of a lease under subsection (a) is made—

(A) by delivery by the lessee of written notice of such termination, and a copy of theservicemember's military orders, to the lessor (or the lessor's grantee), or to the lessor's agent (orthe agent's grantee); and

(B) in the case of a lease of a motor vehicle, by return of the motor vehicle by the lessee tothe lessor (or the lessor's grantee), or to the lessor's agent (or the agent's grantee), not later than15 days after the date of the delivery of written notice under subparagraph (A).

(2) Delivery of noticeDelivery of notice under paragraph (1)(A) may be accomplished—

(A) by hand delivery;(B) by private business carrier; or(C) by placing the written notice in an envelope with sufficient postage and with return

receipt requested, and addressed as designated by the lessor (or the lessor's grantee) or to thelessor's agent (or the agent's grantee), and depositing the written notice in the United Statesmails.

(d) Effective date of lease termination

(1) Lease of premisesIn the case of a lease described in subsection (b)(1) that provides for monthly payment of rent,

termination of the lease under subsection (a) is effective 30 days after the first date on which thenext rental payment is due and payable after the date on which the notice under subsection (c) isdelivered. In the case of any other lease described in subsection (b)(1), termination of the leaseunder subsection (a) is effective on the last day of the month following the month in which thenotice is delivered.

(2) Lease of motor vehiclesIn the case of a lease described in subsection (b)(2), termination of the lease under subsection

(a) is effective on the day on which the requirements of subsection (c) are met for suchtermination.

(e) Arrearages and other obligations and liabilities

(1) Leases of premisesRent amounts for a lease described in subsection (b)(1) that are unpaid for the period preceding

the effective date of the lease termination shall be paid on a prorated basis. The lessor may not


impose an early termination charge, but any taxes, summonses, or other obligations and liabilitiesof the lessee in accordance with the terms of the lease, including reasonable charges to the lesseefor excess wear, that are due and unpaid at the time of termination of the lease shall be paid by thelessee.

(2) Leases of motor vehiclesLease amounts for a lease described in subsection (b)(2) that are unpaid for the period preceding

the effective date of the lease termination shall be paid on a prorated basis. The lessor may notimpose an early termination charge, but any taxes, summonses, title and registration fees, or otherobligations and liabilities of the lessee in accordance with the terms of the lease, includingreasonable charges to the lessee for excess wear or use and mileage, that are due and unpaid at thetime of termination of the lease shall be paid by the lessee.

(f) Rent paid in advanceRents or lease amounts paid in advance for a period after the effective date of the termination of

the lease shall be refunded to the lessee by the lessor (or the lessor's assignee or the assignee's agent)within 30 days of the effective date of the termination of the lease.

(g) Relief to lessorUpon application by the lessor to a court before the termination date provided in the written

notice, relief granted by this section to a servicemember may be modified as justice and equityrequire.

(h) MisdemeanorAny person who knowingly seizes, holds, or detains the personal effects, security deposit, or other

property of a servicemember or a servicemember's dependent who lawfully terminates a leasecovered by this section, or who knowingly interferes with the removal of such property frompremises covered by such lease, for the purpose of subjecting or attempting to subject any of suchproperty to a claim for rent accruing subsequent to the date of termination of such lease, or attemptsto do so, shall be fined as provided in title 18, United States Code, or imprisoned for not more thanone year, or both.

(i) Definitions

(1) Military ordersThe term “military orders”, with respect to a servicemember, means official military orders, or

any notification, certification, or verification from the servicemember's commanding officer, withrespect to the servicemember's current or future military duty status.

(2) ConUSThe term “continental United States” means the 48 contiguous States and the District of

Columbia.

(Oct. 17, 1940, ch. 888, title III, §305, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2848;amended Pub. L. 108–454, title VII, §704, Dec. 10, 2004, 118 Stat. 3624; Pub. L. 111–275, title III,§§301, 303(b)(5), Oct. 13, 2010, 124 Stat. 2875, 2878.)


773; amended Pub. L. 102–12, §9(9), Mar. 18, 1991, 105 Stat. 40, related to protection of assignor of lifeinsurance policy, enforcement of storage liens, and penalties, prior to the general amendment of this Act byPub. L. 108–189. See sections 536 and 537 of this Appendix.

AMENDMENTS2010—Subsec. (e). Pub. L. 111–275, §301, amended subsec. (e) generally. Prior to amendment, text read as

follows: “Rents or lease amounts unpaid for the period preceding the effective date of the lease terminationshall be paid on a prorated basis. In the case of the lease of a motor vehicle, the lessor may not impose anearly termination charge, but any taxes, summonses, and title and registration fees and any other obligation


and liability of the lessee in accordance with the terms of the lease, including reasonable charges to the lesseefor excess wear, use and mileage, that are due and unpaid at the time of termination of the lease shall be paidby the lessee.”

Subsec. (h). Pub. L. 111–275, §303(b)(5), amended subsec. (h) generally. Prior to amendment, subsec. (h)related to penalties.

2004—Subsec. (a). Pub. L. 108–454, §704(a), amended subsec. (a) generally, designating existingprovisions as par. (1), inserting par. heading, and adding par. (2).

Subsec. (b)(1)(B). Pub. L. 108–454, §704(c), inserted “, or as an individual in support of a militaryoperation,” after “deploy with a military unit”.

Subsec. (b)(2)(B). Pub. L. 108–454, §704(b)(1), substituted “military orders—” for “military orders for apermanent change of station outside of the continental United States or to deploy”, added cl.(i), and inserted“(ii) to deploy” before “with a military unit”.

Subsec. (b)(2)(B)(ii). Pub. L. 108–454, §704(c), inserted “, or as an individual in support of a militaryoperation,” after “deploy with a military unit”.

Subsec. (i). Pub. L. 108–454, §704(b)(2), added subsec. (i).

§535a. Termination of telephone service contracts(a) Termination by servicemember

(1) TerminationA servicemember may terminate a contract described in subsection (b) at any time after the date

the servicemember receives military orders to relocate for a period of not less than 90 days to alocation that does not support the contract.

(2) NoticeIn the case that a servicemember terminates a contract as described in paragraph (1), the service

provider under the contract shall provide such servicemember with written or electronic notice ofthe servicemember's rights under such paragraph.

(3) Manner of terminationTermination of a contract under paragraph (1) shall be made by delivery of a written or

electronic notice of such termination and a copy of the servicemember's military orders to theservice provider, delivered in accordance with industry standards for notification of terminations,together with the date on which the service is to be terminated.

(b) Covered contractsA contract described in this subsection is a contract for cellular telephone service or telephone

exchange service entered into by the servicemember before receiving the military orders referred toin subsection (a)(1).

(c) Retention of telephone numberIn the case of a contract terminated under subsection (a) by a servicemember whose period of

relocation is for a period of three years or less, the service provider under the contract shall,notwithstanding any other provision of law, allow the servicemember to keep the telephone numberthe servicemember has under the contract if the servicemember re-subscribes to the service duringthe 90-day period beginning on the last day of such period of relocation.

(d) Family plansIn the case of a contract for cellular telephone service entered into by any individual in which a

servicemember is a designated beneficiary of the contract, the individual who entered into thecontract may terminate the contract—

(1) with respect to the servicemember if the servicemember is eligible to terminate contractspursuant to subsection (a); and

(2) with respect to all of the designated beneficiaries of such contract if all such beneficiariesaccompany the servicemember during the servicemember's period of relocation.


(e) Other obligations and liabilitiesFor any contract terminated under this section, the service provider under the contract may not

impose an early termination charge, but any tax or any other obligation or liability of theservicemember that, in accordance with the terms of the contract, is due and unpaid or unperformedat the time of termination of the contract shall be paid or performed by the servicemember. If theservicemember re-subscribes to the service provided under a covered contract during the 90-dayperiod beginning on the last day of the servicemember's period of relocation, the service providermay not impose a charge for reinstating service, other than the usual and customary charges for theinstallation or acquisition of customer equipment imposed on any other subscriber.

(f) Return of advance paymentsNot later than 60 days after the effective date of the termination of a contract under this section,

the service provider under the contract shall refund to the servicemember any fee or other amount tothe extent paid for a period extending until after such date, except for the remainder of the monthlyor similar billing period in which the termination occurs.

(g) DefinitionsFor purposes of this section:

(1) The term “cellular telephone service” means commercial mobile service, as that term isdefined in section 332(d) of the Communications Act of 1934 (47 U.S.C. 332(d)).

(2) The term “telephone exchange service” has the meaning given that term under section 3 ofthe Communications Act of 1934 (47 U.S.C. 153).

(Oct. 17, 1940, ch. 888, title III, §305A, as added Pub. L. 110–389, title VIII, §805(a), Oct. 10, 2008,122 Stat. 4188; amended Pub. L. 111–275, title III, §302(a), Oct. 13, 2010, 124 Stat. 2875.)

AMENDMENTS2010—Pub. L. 111–275 amended section generally, substituting provisions relating to termination of

telephone service contracts for provisions relating to termination or suspension of contracts for cellulartelephone service.

§536. Protection of life insurance policy(a) Assignment of policy protected

If a life insurance policy on the life of a servicemember is assigned before military service tosecure the payment of an obligation, the assignee of the policy (except the insurer in connection witha policy loan) may not exercise, during a period of military service of the servicemember or withinone year thereafter, any right or option obtained under the assignment without a court order.

(b) ExceptionThe prohibition in subsection (a) shall not apply—

(1) if the assignee has the written consent of the insured made during the period described insubsection (a);

(2) when the premiums on the policy are due and unpaid; or(3) upon the death of the insured.

(c) Order refused because of material affectA court which receives an application for an order required under subsection (a) may refuse to

grant such order if the court determines the ability of the servicemember to comply with the terms ofthe obligation is materially affected by military service.

(d) Treatment of guaranteed premiumsFor purposes of this subsection, premiums guaranteed under the provisions of title IV of this Act

[sections 541 to 549 of this Appendix] shall not be considered due and unpaid.

(e) Misdemeanor


A person who knowingly takes an action contrary to this section, or attempts to do so, shall befined as provided in title 18, United States Code, or imprisoned for not more than one year, or both.



773, related to extension of benefits to dependents, prior to the general amendment of this Act by Pub. L.108–189. See section 538 of this Appendix.

AMENDMENTS2010—Subsec. (e). Pub. L. 111–275 amended subsec. (e) generally. Prior to amendment, subsec. (e) related

to penalties.

§537. Enforcement of storage liens(a) Liens

(1) Limitation on foreclosure or enforcementA person holding a lien on the property or effects of a servicemember may not, during any

period of military service of the servicemember and for 90 days thereafter, foreclose or enforceany lien on such property or effects without a court order granted before foreclosure orenforcement.

(2) Lien definedFor the purposes of paragraph (1), the term “lien” includes a lien for storage, repair, or cleaning

of the property or effects of a servicemember or a lien on such property or effects for any otherreason.

(b) Stay of proceedingsIn a proceeding to foreclose or enforce a lien subject to this section, the court may on its own

motion, and shall if requested by a servicemember whose ability to comply with the obligationresulting in the proceeding is materially affected by military service—

(1) stay the proceeding for a period of time as justice and equity require; or(2) adjust the obligation to preserve the interests of all parties.

The provisions of this subsection do not affect the scope of section 303 [section 533 of thisAppendix].

(c) MisdemeanorA person who knowingly takes an action contrary to this section, or attempts to do so, shall be

fined as provided in title 18, United States Code, or imprisoned for not more than one year, or both.


AMENDMENTS2010—Subsec. (c). Pub. L. 111–275 amended subsec. (c) generally. Prior to amendment, subsec. (c) related

to penalties.

§538. Extension of protections to dependentsUpon application to a court, a dependent of a servicemember is entitled to the protections of this

title [sections 531 to 538 of this Appendix] if the dependent's ability to comply with a lease, contract,bailment, or other obligation is materially affected by reason of the servicemember's military service.


(Oct. 17, 1940, ch. 888, title III, §308, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2851.)

TITLE IV—LIFE INSURANCE

PRIOR PROVISIONSA prior section 540, acts Oct. 17, 1940, ch. 888, art. IV, §400, 54 Stat. 1183; Oct. 6, 1942, ch. 581, §13, 56

Stat. 773; July 11, 1956, ch. 570, §1, 70 Stat. 528; Pub. L. 102–12, §9(11), Mar. 18, 1991, 105 Stat. 40, relatedto definitions, prior to the general amendment of this Act by Pub. L. 108–189. See section 541 of thisAppendix.

§541. DefinitionsFor the purposes of this title [sections 541 to 549 of this Appendix]:

(1) PolicyThe term “policy” means any individual contract for whole, endowment, universal, or term life

insurance (other than group term life insurance coverage), including any benefit in the nature ofsuch insurance arising out of membership in any fraternal or beneficial association which—

(A) provides that the insurer may not—(i) decrease the amount of coverage or require the payment of an additional amount as

premiums if the insured engages in military service (except increases in premiums inindividual term insurance based upon age); or

(ii) limit or restrict coverage for any activity required by military service; and

(B) is in force not less than 180 days before the date of the insured's entry into militaryservice and at the time of application under this title.

(2) PremiumThe term “premium” means the amount specified in an insurance policy to be paid to keep the

policy in force.

(3) InsuredThe term “insured” means a servicemember whose life is insured under a policy.

(4) InsurerThe term “insurer” includes any firm, corporation, partnership, association, or business that is

chartered or authorized to provide insurance and issue contracts or policies by the laws of a Stateor the United States.

(Oct. 17, 1940, ch. 888, title IV, §401, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2851.)


Stat. 774; Pub. L. 102–12, §9(12), Mar. 18, 1991, 105 Stat. 40, related to persons entitled to benefits of formerarticle IV of this Act, applications, and amount of insurance protected, prior to the general amendment of thisAct by Pub. L. 108–189. See section 542 of this Appendix.

§542. Insurance rights and protections(a) Rights and protections

The rights and protections under this title [sections 541 to 549 of this Appendix] apply to theinsured when—

(1) the insured,


(2) the insured's legal representative, or(3) the insured's beneficiary in the case of an insured who is outside a State,

applies in writing for protection under this title, unless the Secretary of Veterans Affairsdetermines that the insured's policy is not entitled to protection under this title.

(b) Notification and applicationThe Secretary of Veterans Affairs shall notify the Secretary concerned of the procedures to be

used to apply for the protections provided under this title [sections 541 to 549 of this Appendix]. Theapplicant shall send the original application to the insurer and a copy to the Secretary of VeteransAffairs.

(c) Limitation on amountThe total amount of life insurance coverage protection provided by this title [sections 541 to 549

of this Appendix] for a servicemember may not exceed $250,000, or an amount equal to theServicemember's Group Life Insurance maximum limit, whichever is greater, regardless of thenumber of policies submitted.



Stat. 774; Pub. L. 102–12, §9(13), Mar. 18, 1991, 105 Stat. 40, related to form of application, reports toSecretary of Veterans Affairs by insurer, and policy deemed modified upon application for protection, prior tothe general amendment of this Act by Pub. L. 108–189. See section 543 of this Appendix.

§543. Application for insurance protection(a) Application procedure

An application for protection under this title [sections 541 to 549 of this Appendix] shall—(1) be in writing and signed by the insured, the insured's legal representative, or the insured's

beneficiary, as the case may be;(2) identify the policy and the insurer; and(3) include an acknowledgement that the insured's rights under the policy are subject to and

modified by the provisions of this title.

(b) Additional requirementsThe Secretary of Veterans Affairs may require additional information from the applicant, the

insured and the insurer to determine if the policy is entitled to protection under this title [sections 541to 549 of this Appendix].

(c) Notice to the Secretary by the insurerUpon receipt of the application of the insured, the insurer shall furnish a report concerning the

policy to the Secretary of Veterans Affairs as required by regulations prescribed by the Secretary.

(d) Policy modificationUpon application for protection under this title [sections 541 to 549 of this Appendix], the insured

and the insurer shall have constructively agreed to any policy modification necessary to give this titlefull force and effect.



Stat. 775; Pub. L. 102–12, §9(14), Mar. 18, 1991, 105 Stat. 40, related to determination of policies entitled toprotection, notice to parties, and lapse of policies for nonpayment of premiums, prior to the generalamendment of this Act by Pub. L. 108–189. See section 544 of this Appendix.


§544. Policies entitled to protection and lapse of policies(a) Determination

The Secretary of Veterans Affairs shall determine whether a policy is entitled to protection underthis title [sections 541 to 549 of this Appendix] and shall notify the insured and the insurer of thatdetermination.

(b) Lapse protectionA policy that the Secretary determines is entitled to protection under this title [sections 541 to 549

of this Appendix] shall not lapse or otherwise terminate or be forfeited for the nonpayment of apremium, or interest or indebtedness on a premium, after the date on which the application forprotection is received by the Secretary.

(c) Time applicationThe protection provided by this title [sections 541 to 549 of this Appendix] applies during the

insured's period of military service and for a period of two years thereafter.



Stat. 775; Pub. L. 102–12, §9(15), Mar. 18, 1991, 105 Stat. 40, related to rights and privileges of insuredduring period of protection, prior to the general amendment of this Act by Pub. L. 108–189. See section 545of this Appendix.

§545. Policy restrictions(a) Dividends

While a policy is protected under this title [sections 541 to 549 of this Appendix], a dividend orother monetary benefit under a policy may not be paid to an insured or used to purchase dividendadditions without the approval of the Secretary of Veterans Affairs. If such approval is not obtained,the dividends or benefits shall be added to the value of the policy to be used as a credit when finalsettlement is made with the insurer.

(b) Specific restrictionsWhile a policy is protected under this title [sections 541 to 549 of this Appendix], cash value, loan

value, withdrawal of dividend accumulation, unearned premiums, or other value of similar charactermay not be available to the insured without the approval of the Secretary. The right of the insured tochange a beneficiary designation or select an optional settlement for a beneficiary shall not beaffected by the provisions of this title.



Stat. 775; Pub. L. 102–12, §9(16), Mar. 18, 1991, 105 Stat. 40, related to deduction of unpaid premiums uponsettlement of policies maturing during protection, prior to the general amendment of this Act by Pub. L.108–189. See section 546 of this Appendix.

§546. Deduction of unpaid premiums(a) Settlement of proceeds

If a policy matures as a result of a servicemember's death or otherwise during the period ofprotection of the policy under this title [sections 541 to 549 of this Appendix], the insurer in making


settlement shall deduct from the insurance proceeds the amount of the unpaid premiums guaranteedunder this title, together with interest due at the rate fixed in the policy for policy loans.

(b) Interest rateIf the interest rate is not specifically fixed in the policy, the rate shall be the same as for policy

loans in other policies issued by the insurer at the time the insured's policy was issued.

(c) Reporting requirementThe amount deducted under this section, if any, shall be reported by the insurer to the Secretary of

Veterans Affairs.



Stat. 775; Apr. 3, 1948, ch. 170, §6, 62 Stat. 160, related to guaranty of premiums and interest by UnitedStates, settlement of amounts due upon expiration of protection, subrogation of United States, and creditingdebt repayments, prior to the general amendment of this Act by Pub. L. 108–189. See section 547 of thisAppendix.

§547. Premiums and interest guaranteed by United States(a) Guarantee of premiums and interest by the United States

(1) GuaranteePayment of premiums, and interest on premiums at the rate specified in section 406 [section 546

of this Appendix], which become due on a policy under the protection of this title [sections 541 to549 of this Appendix] is guaranteed by the United States. If the amount guaranteed is not paid tothe insurer before the period of insurance protection under this title expires, the amount due shallbe treated by the insurer as a policy loan on the policy.

(2) Policy terminationIf, at the expiration of insurance protection under this title, the cash surrender value of a policy

is less than the amount due to pay premiums and interest on premiums on the policy, the policyshall terminate. Upon such termination, the United States shall pay the insurer the differencebetween the amount due and the cash surrender value.

(b) Recovery from insured of amounts paid by the United States

(1) Debt payable to the United StatesThe amount paid by the United States to an insurer under this title [sections 541 to 549 of this

Appendix] shall be a debt payable to the United States by the insured on whose policy paymentwas made.

(2) CollectionSuch amount may be collected by the United States, either as an offset from any amount due the

insured by the United States or as otherwise authorized by law.

(3) Debt not dischargeable in bankruptcySuch debt payable to the United States is not dischargeable in bankruptcy proceedings.

(c) Crediting of amounts recoveredAny amounts received by the United States as repayment of debts incurred by an insured under

this title [sections 541 to 549 of this Appendix] shall be credited to the appropriation for the paymentof claims under this title.


PRIOR PROVISIONS


A prior section 547, acts Oct. 17, 1940, ch. 888, art. IV, §407, 54 Stat. 1185; Oct. 6, 1942, ch. 581, §13, 56Stat. 775; Pub. L. 85–857, §14(76), Sept. 2, 1958, 72 Stat. 1272; Pub. L. 102–12, §9(17), Mar. 18, 1991, 105Stat. 40, related to regulations and finality of determinations, prior to the general amendment of this Act byPub. L. 108–189. See sections 548 and 549 of this Appendix.

§548. RegulationsThe Secretary of Veterans Affairs shall prescribe regulations for the implementation of this title

[sections 541 to 549 of this Appendix].



Stat. 776, related to law governing applications for protection prior to Oct. 6, 1942, prior to repeal by Pub. L.102–12, §9(18), Mar. 18, 1991, 105 Stat. 40.

§549. Review of findings of fact and conclusions of lawThe findings of fact and conclusions of law made by the Secretary of Veterans Affairs in

administering this title [sections 541 to 549 of this Appendix] are subject to review on appeal to theBoard of Veterans’ Appeals pursuant to chapter 71 of title 38, United States Code, and to judicialreview only as provided in chapter 72 of such title.


PRIOR PROVISIONSPrior sections 549 to 554 of this Appendix were omitted in the general amendment of article IV of this Act

by act Oct. 6, 1942, ch. 581, §13, 56 Stat. 773.Section 549, act Oct. 17, 1940, ch. 888, art. IV, §409, 54 Stat. 1185, related to deduction of unpaid

premiums from proceeds of policies.Section 550, act Oct. 17, 1940, ch. 888, art. IV, §410, 54 Stat. 1185, related to lapsing of policy for failure

to pay past due premiums upon termination of service.Section 551, act Oct. 17, 1940, ch. 888, art. IV, §411, 54 Stat. 1185, related to accounts stated between

insurers and United States.Section 552, act Oct. 17, 1940, ch. 888, art. IV, §412, 54 Stat. 1185, related to payment of balances due

insurers by Secretary of the Treasury.Section 553, act Oct. 17, 1940, ch. 888, art. IV, §413, 54 Stat. 1186, related to policies excepted from

application of article.Section 554, act Oct. 17, 1940, ch. 888, art. IV, §414, 54 Stat. 1186, related to insurers within application of

article.

TITLE V—TAXES AND PUBLIC LANDS

PRIOR PROVISIONSA prior section 560, acts Oct. 17, 1940, ch. 888, art. V, §500, 54 Stat. 1186; Oct. 6, 1942, ch. 581, §14, 56

Stat. 776, related to taxes respecting personalty, money, credits, or realty, sale of property to enforcecollection, redemption of property sold, penalty for nonpayment, and notice of rights to beneficiaries ofsection, prior to the general amendment of this Act by Pub. L. 108–189. See section 561 of this Appendix.

§561. Taxes respecting personal property, money, credits, and real property(a) Application

This section applies in any case in which a tax or assessment, whether general or special (other


than a tax on personal income), falls due and remains unpaid before or during a period of militaryservice with respect to a servicemember's—

(1) personal property (including motor vehicles); or(2) real property occupied for dwelling, professional, business, or agricultural purposes by a

servicemember or the servicemember's dependents or employees—(A) before the servicemember's entry into military service; and(B) during the time the tax or assessment remains unpaid.

(b) Sale of property

(1) Limitation on sale of property to enforce tax assessmentProperty described in subsection (a) may not be sold to enforce the collection of such tax or

assessment except by court order and upon the determination by the court that military servicedoes not materially affect the servicemember's ability to pay the unpaid tax or assessment.

(2) Stay of court proceedingsA court may stay a proceeding to enforce the collection of such tax or assessment, or sale of

such property, during a period of military service of the servicemember and for a period not morethan 180 days after the termination of, or release of the servicemember from, military service.

(c) RedemptionWhen property described in subsection (a) is sold or forfeited to enforce the collection of a tax or

assessment, a servicemember shall have the right to redeem or commence an action to redeem theservicemember's property during the period of military service or within 180 days after terminationof or release from military service. This subsection may not be construed to shorten any periodprovided by the law of a State (including any political subdivision of a State) for redemption.

(d) Interest on tax or assessmentWhenever a servicemember does not pay a tax or assessment on property described in subsection

(a) when due, the amount of the tax or assessment due and unpaid shall bear interest until paid at therate of 6 percent per year. An additional penalty or interest shall not be incurred by reason ofnonpayment. A lien for such unpaid tax or assessment may include interest under this subsection.

(e) Joint ownership applicationThis section applies to all forms of property described in subsection (a) owned individually by a

servicemember or jointly by a servicemember and a dependent or dependents.

(Oct. 17, 1940, ch. 888, title V, §501, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2854.)

PRIOR PROVISIONSA prior section 561, act Oct. 17, 1940, ch. 888, art. V, §501, 54 Stat. 1187, related to rights in public lands

and grazing lands, prior to the general amendment of this Act by Pub. L. 108–189. See section 562 of thisAppendix.

§562. Rights in public lands(a) Rights not forfeited

The rights of a servicemember to lands owned or controlled by the United States, and initiated oracquired by the servicemember under the laws of the United States (including the mining andmineral leasing laws) before military service, shall not be forfeited or prejudiced as a result of beingabsent from the land, or by failing to begin or complete any work or improvements to the land,during the period of military service.

(b) Temporary suspension of permits or licensesIf a permittee or licensee under the Act of June 28, 1934 (43 U.S.C. 315 et seq.), enters military

service, the permittee or licensee may suspend the permit or license for the period of military serviceand for 180 days after termination of or release from military service.


(c) RegulationsRegulations prescribed by the Secretary of the Interior shall provide for such suspension of

permits and licenses and for the remission, reduction, or refund of grazing fees during the period ofsuch suspension.


REFERENCES IN TEXTAct of June 28, 1934, referred to in subsec. (b), is act June 28, 1934, ch. 865, 48 Stat. 1269, as amended,

popularly known as the Taylor Grazing Act, which is classified principally to subchapter I (§315 et seq.) ofchapter 8A of Title 43, Public Lands. For complete classification of this Act to the Code, see Short Title noteset out under section 315 of Title 43 and Tables.

PRIOR PROVISIONSA prior section 562, act Oct. 17, 1940, ch. 888, art. V, §502, 54 Stat. 1187, related to homestead entries and

settlement claims, prior to the general amendment of this Act by Pub. L. 108–189.

§563. Desert-land entries(a) Desert-land rights not forfeited

A desert-land entry made or held under the desert-land laws before the entrance of the entryman orthe entryman's successor in interest into military service shall not be subject to contest orcancellation—

(1) for failure to expend any required amount per acre per year in improvements upon the claim;(2) for failure to effect the reclamation of the claim during the period the entryman or the

entryman's successor in interest is in the military service, or for 180 days after termination of orrelease from military service; or

(3) during any period of hospitalization or rehabilitation due to an injury or disability incurredin the line of duty.

The time within which the entryman or claimant is required to make such expenditures and effectreclamation of the land shall be exclusive of the time periods described in paragraphs (2) and (3).

(b) Service-related disabilityIf an entryman or claimant is honorably discharged and is unable to accomplish reclamation of,

and payment for, desert land due to a disability incurred in the line of duty, the entryman or claimantmay make proof without further reclamation or payments, under regulations prescribed by theSecretary of the Interior, and receive a patent for the land entered or claimed.

(c) Filing requirementIn order to obtain the protection of this section, the entryman or claimant shall, within 180 days

after entry into military service, cause to be filed in the land office of the district where the claim issituated a notice communicating the fact of military service and the desire to hold the claim underthis section.


PRIOR PROVISIONSA prior section 563, act Oct. 17, 1940, ch. 888, art. V, §503, 54 Stat. 1187, related to death or incapacity

during or resulting from service as affecting rights and perfection of rights, prior to the general amendment ofthis Act by Pub. L. 108–189. See section 566 of this Appendix.

§564. Mining claims(a) Requirements suspended


The provisions of section 2324 of the Revised Statutes of the United States (30 U.S.C. 28)specified in subsection (b) shall not apply to a servicemember's claims or interests in claims,regularly located and recorded, during a period of military service and 180 days thereafter, or duringany period of hospitalization or rehabilitation due to injuries or disabilities incurred in the line ofduty.

(b) RequirementsThe provisions in section 2324 of the Revised Statutes that shall not apply under subsection (a) are

those which require that on each mining claim located after May 10, 1872, and until a patent hasbeen issued for such claim, not less than $100 worth of labor shall be performed or improvementsmade during each year.

(c) Period of protection from forfeitureA mining claim or an interest in a claim owned by a servicemember that has been regularly

located and recorded shall not be subject to forfeiture for nonperformance of annual assessmentsduring the period of military service and for 180 days thereafter, or for any period of hospitalizationor rehabilitation described in subsection (a).

(d) Filing requirementIn order to obtain the protections of this section, the claimant of a mining location shall, before the

end of the assessment year in which military service is begun or within 60 days after the end of suchassessment year, cause to be filed in the office where the location notice or certificate is recorded anotice communicating the fact of military service and the desire to hold the mining claim under thissection.


PRIOR PROVISIONSA prior section 564, acts Oct. 17, 1940, ch. 888, art. V, §504, 54 Stat. 1187; Pub. L. 102–12, §9(19), Mar.

18, 1991, 105 Stat. 40, related to desert-land entries and the suspension of requirements, prior to the generalamendment of this Act by Pub. L. 108–189. See section 563 of this Appendix.

§565. Mineral permits and leases(a) Suspension during military service

A person holding a permit or lease on the public domain under the Federal mineral leasing lawswho enters military service may suspend all operations under the permit or lease for the duration ofmilitary service and for 180 days thereafter. The term of the permit or lease shall not run during theperiod of suspension, nor shall any rental or royalties be charged against the permit or lease duringthe period of suspension.

(b) NotificationIn order to obtain the protection of this section, the permittee or lessee shall, within 180 days after

entry into military service, notify the Secretary of the Interior by registered mail of the fact thatmilitary service has begun and of the desire to hold the claim under this section.

(c) Contract modificationThis section shall not be construed to supersede the terms of any contract for operation of a permit

or lease.


PRIOR PROVISIONSA prior section 565, act Oct. 17, 1940, ch. 888, art. V, §505, 54 Stat. 1188; Pub. L. 102–12, §9(20), Mar.

18, 1991, 105 Stat. 41, related to mining claims and the suspension of requirements, prior to the generalamendment of this Act by Pub. L. 108–189. See section 564 of this Appendix.


§566. Perfection or defense of rights(a) Right to take action not affected

This title [sections 561 to 571 of this Appendix] shall not affect the right of a servicemember totake action during a period of military service that is authorized by law or regulations of theDepartment of the Interior, for the perfection, defense, or further assertion of rights initiated oracquired before entering military service.

(b) Affidavits and proofs

(1) In generalA servicemember during a period of military service may make any affidavit or submit any

proof required by law, practice, or regulation of the Department of the Interior in connection withthe entry, perfection, defense, or further assertion of rights initiated or acquired before enteringmilitary service before an officer authorized to provide notary services under section 1044a of title10, United States Code, or any superior commissioned officer.

(2) Legal status of affidavitsSuch affidavits shall be binding in law and subject to the same penalties as prescribed by

section 1001 of title 18, United State Code.1



18, 1991, 105 Stat. 41, related to mineral permits and leases and the suspension of operations and term ofpermits and leases, prior to the general amendment of this Act by Pub. L. 108–189. See section 565 of thisAppendix.

So in original. Probably should be “States”.1

§567. Distribution of information concerning benefits of title(a) Distribution of information by Secretary concerned

The Secretary concerned shall issue to servicemembers information explaining the provisions ofthis title [sections 561 to 571 of this Appendix].

(b) Application formsThe Secretary concerned shall provide application forms to servicemembers requesting relief

under this title [sections 561 to 571 of this Appendix].

(c) Information from Secretary of the InteriorThe Secretary of the Interior shall furnish to the Secretary concerned information explaining the

provisions of this title [sections 561 to 571 of this Appendix] (other than sections 501, 510, and 511)[sections 561, 570, and 571 of this Appendix] and related application forms.



18, 1991, 105 Stat. 41, related to right to take action for perfection and defense of rights as unaffected, andaffidavits and proofs, prior to the general amendment of this Act by Pub. L. 108–189. See section 566 of thisAppendix.

§568. Land rights of servicemembers


(a) No age limitationsAny servicemember under the age of 21 in military service shall be entitled to the same rights

under the laws relating to lands owned or controlled by the United States, including mining andmineral leasing laws, as those servicemembers who are 21 years of age.

(b) Residency requirementAny requirement related to the establishment of a residence within a limited time shall be

suspended as to entry by a servicemember in military service or the spouse of such servicememberuntil 180 days after termination of or release from military service.

(c) Entry applicationsApplications for entry may be verified before a person authorized to administer oaths under

section 1044a of title 10, United States Code, or under the laws of the State where the land issituated.

(Oct. 17, 1940, ch. 888, title V, §508, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2857;amended Pub. L. 111–97, §4(a), Nov. 11, 2009, 123 Stat. 3008.)

PRIOR PROVISIONSA prior section 568, act Oct. 17, 1940, ch. 888, art. V, §508, 54 Stat. 1189, related to irrigation rights and

suspension of residence requirements, prior to the general amendment of this Act by Pub. L. 108–189.

AMENDMENTS2009—Subsec. (b). Pub. L. 111–97 inserted “or the spouse of such servicemember” after “a servicemember

in military service”.

EFFECTIVE DATE OF 2009 AMENDMENTPub. L. 111–97, §4(b), Nov. 11, 2009, 123 Stat. 3008, provided that: “The amendment made by subsection

(a) [amending this section] shall apply with respect to servicemembers in military service (as defined insection 101 of such Act (50 U.S.C. App. 511)) on or after the date of the enactment of this Act [Nov. 11,2009].”

§569. RegulationsThe Secretary of the Interior may issue regulations necessary to carry out this title [sections 561 to

571 of this Appendix] (other than sections 501, 510, and 511) [sections 561, 570, and 571 of thisAppendix].


PRIOR PROVISIONSA prior section 569, acts Oct. 17, 1940, ch. 888, art. V, §509, 54 Stat. 1189; Oct. 6, 1942, ch. 581, §15, 56

Stat. 776, related to distribution of information concerning benefits of tax and public lands provisions andforms, prior to the general amendment of this Act by Pub. L. 108–189. See section 567 of this Appendix.

§570. Income taxes(a) Deferral of tax

Upon notice to the Internal Revenue Service or the tax authority of a State or a politicalsubdivision of a State, the collection of income tax on the income of a servicemember falling duebefore or during military service shall be deferred for a period not more than 180 days aftertermination of or release from military service, if a servicemember's ability to pay such income tax ismaterially affected by military service.

(b) Accrual of interest or penaltyNo interest or penalty shall accrue for the period of deferment by reason of nonpayment on any


amount of tax deferred under this section.

(c) Statute of limitationsThe running of a statute of limitations against the collection of tax deferred under this section, by

seizure or otherwise, shall be suspended for the period of military service of the servicemember andfor an additional period of 270 days thereafter.

(d) Application limitationThis section shall not apply to the tax imposed on employees by section 3101 of the Internal

Revenue Code of 1986 [26 U.S.C. 3101].



18, 1991, 105 Stat. 41, related to homestead entrymen permitted to leave entries to perform farm labor, priorto the general amendment of this Act by Pub. L. 108–189.

§571. Residence for tax purposes(a) Residence or domicile

(1) In generalA servicemember shall neither lose nor acquire a residence or domicile for purposes of taxation

with respect to the person, personal property, or income of the servicemember by reason of beingabsent or present in any tax jurisdiction of the United States solely in compliance with militaryorders.

(2) SpousesA spouse of a servicemember shall neither lose nor acquire a residence or domicile for purposes

of taxation with respect to the person, personal property, or income of the spouse by reason ofbeing absent or present in any tax jurisdiction of the United States solely to be with theservicemember in compliance with the servicemember's military orders if the residence ordomicile, as the case may be, is the same for the servicemember and the spouse.

(b) Military service compensationCompensation of a servicemember for military service shall not be deemed to be income for

services performed or from sources within a tax jurisdiction of the United States if theservicemember is not a resident or domiciliary of the jurisdiction in which the servicemember isserving in compliance with military orders.

(c) Income of a military spouseIncome for services performed by the spouse of a servicemember shall not be deemed to be

income for services performed or from sources within a tax jurisdiction of the United States if thespouse is not a resident or domiciliary of the jurisdiction in which the income is earned because thespouse is in the jurisdiction solely to be with the servicemember serving in compliance with militaryorders.

(d) Personal property

(1) Relief from personal property taxesThe personal property of a servicemember or the spouse of a servicemember shall not be

deemed to be located or present in, or to have a situs for taxation in, the tax jurisdiction in whichthe servicemember is serving in compliance with military orders.

(2) Exception for property within member's domicile or residenceThis subsection applies to personal property or its use within any tax jurisdiction other than the

servicemember's or the spouse's domicile or residence.


(3) Exception for property used in trade or businessThis section does not prevent taxation by a tax jurisdiction with respect to personal property

used in or arising from a trade or business, if it has jurisdiction.

(4) Relationship to law of State of domicileEligibility for relief from personal property taxes under this subsection is not contingent on

whether or not such taxes are paid to the State of domicile.

(e) Increase of tax liabilityA tax jurisdiction may not use the military compensation of a nonresident servicemember to

increase the tax liability imposed on other income earned by the nonresident servicemember orspouse subject to tax by the jurisdiction.

(f) Federal Indian reservationsAn Indian servicemember whose legal residence or domicile is a Federal Indian reservation shall

be taxed by the laws applicable to Federal Indian reservations and not the State where the reservationis located.

(g) DefinitionsFor purposes of this section:

(1) Personal propertyThe term “personal property” means intangible and tangible property (including motor

vehicles).

(2) TaxationThe term “taxation” includes licenses, fees, or excises imposed with respect to motor vehicles

and their use, if the license, fee, or excise is paid by the servicemember in the servicemember'sState of domicile or residence.

(3) Tax jurisdictionThe term “tax jurisdiction” means a State or a political subdivision of a State.

(Oct. 17, 1940, ch. 888, title V, §511, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2858;amended Pub. L. 111–97, §3(a), Nov. 11, 2009, 123 Stat. 3008.)

PRIOR PROVISIONSPrior sections 571 to 574 were omitted in the general amendment of this Act by Pub. L. 108–189.Section 571, act Oct. 17, 1940, ch. 888, art. V, §511, 54 Stat. 1189, related to land rights of persons under

21. See section 568 of this Appendix.Section 572, acts Oct. 17, 1940, ch. 888, art. V, §512, 54 Stat. 1190; Oct. 6, 1942, ch. 581, §16, 56 Stat.

776, related to extension of benefits to persons serving with war allies of the United States. See section 514 ofthis Appendix.

Section 573, act Oct. 17, 1940, ch. 888, art. V, §513, 54 Stat. 1190, related to deferral of income taxcollection and the statute of limitations. See section 570 of this Appendix.

Section 574, act Oct. 17, 1940, ch. 888, art. V, §514, as added Oct. 6, 1942, ch. 581, §17, 56 Stat. 777;amended July 3, 1944, ch. 397, §1, 58 Stat. 722; Pub. L. 87–771, Oct. 9, 1962, 76 Stat. 768; Pub. L. 102–12,§9(24), Mar. 18, 1991, 105 Stat. 41, related to residence for tax purposes. See section 571 of this Appendix.

AMENDMENTS2009—Subsec. (a). Pub. L. 111–97, §3(a)(1), designated existing provisions as par. (1), inserted heading,

and added par. (2).Subsec. (c). Pub. L. 111–97, §3(a)(3), added subsec. (c). Former subsec. (c) redesignated (d).Subsec. (d). Pub. L. 111–97, §3(a)(2), redesignated subsec. (c) as (d). Former subsec. (d) redesignated (e).Subsec. (d)(1). Pub. L. 111–97, §3(a)(4)(A), inserted “or the spouse of a servicemember” after “The

personal property of a servicemember”.Subsec. (d)(2). Pub. L. 111–97, §3(a)(4)(B), inserted “or the spouse's” after “servicemember's”.Subsecs. (e) to (g). Pub. L. 111–97, §3(a)(2), redesignated subsecs. (d) to (f) as (e) to (g), respectively.


EFFECTIVE DATE OF 2009 AMENDMENTPub. L. 111–97, §3(b), Nov. 11, 2009, 123 Stat. 3008, provided that: “Subsections (a)(2) and (c) of section

511 of such Act [Servicemembers Civil Relief Act] (50 U.S.C. App. 571), as added by subsection (a) of thissection, and the amendments made to such section 511 by subsection (a)(4) of this section [amending thissection], shall apply with respect to any return of State or local income tax filed for any taxable year beginningwith the taxable year that includes the date of the enactment of this Act [Nov. 11, 2009].”

TITLE VI—ADMINISTRATIVE REMEDIES

PRIOR PROVISIONSA prior section 580, acts Oct. 17, 1940, ch. 888, art. VI, §600, 54 Stat. 1190; Pub. L. 102–12, §9(25), Mar.

18, 1991, 105 Stat. 41, related to transfers to take advantage of this Act, prior to the general amendment of thisAct by Pub. L. 108–189. See section 581 of this Appendix.

§581. Inappropriate use of ActIf a court determines, in any proceeding to enforce a civil right, that any interest, property, or

contract has been transferred or acquired with the intent to delay the just enforcement of such rightby taking advantage of this Act [sections 501 to 515 and 516 to 597b of this Appendix], the courtshall enter such judgment or make such order as might lawfully be entered or made concerning suchtransfer or acquisition.

(Oct. 17, 1940, ch. 888, title VI, §601, as added Pub. L. 108–189, §1, Dec. 19, 2003, 117 Stat. 2859.)

PRIOR PROVISIONSA prior section 581, acts Oct. 17, 1940, ch. 888, art. VI, §601, 54 Stat. 1190; Jan. 20, 1942, ch. 10, §§1, 2,

56 Stat. 10; Pub. L. 102–12, §9(26), Mar. 18, 1991, 105 Stat. 41, related to certificates of service and personsreported missing, prior to the general amendment of this Act by Pub. L. 108–189. See section 582 of thisAppendix.

§582. Certificates of service; persons reported missing(a) Prima facie evidence

In any proceeding under this Act [sections 501 to 515 and 516 to 597b of this Appendix], acertificate signed by the Secretary concerned is prima facie evidence as to any of the following factsstated in the certificate:

(1) That a person named is, is not, has been, or has not been in military service.(2) The time and the place the person entered military service.(3) The person's residence at the time the person entered military service.(4) The rank, branch, and unit of military service of the person upon entry.(5) The inclusive dates of the person's military service.(6) The monthly pay received by the person at the date of the certificate's issuance.(7) The time and place of the person's termination of or release from military service, or the

person's death during military service.

(b) CertificatesThe Secretary concerned shall furnish a certificate under subsection (a) upon receipt of an

application for such a certificate. A certificate appearing to be signed by the Secretary concerned isprima facie evidence of its contents and of the signer's authority to issue it.

(c) Treatment of servicemembers in missing statusA servicemember who has been reported missing is presumed to continue in service until

accounted for. A requirement under this Act [sections 501 to 515 and 516 to 597b of this Appendix]


that begins or ends with the death of a servicemember does not begin or end until theservicemember's death is reported to, or determined by, the Secretary concerned or by a court ofcompetent jurisdiction.


PRIOR PROVISIONSA prior section 582, act Oct. 17, 1940, ch. 888, art. VI, §602, 54 Stat. 1191, related to revocation of

interlocutory orders, prior to the general amendment of this Act by Pub. L. 108–189. See section 583 of thisAppendix.

§583. Interlocutory ordersAn interlocutory order issued by a court under this Act [sections 501 to 515 and 516 to 597b of

this Appendix] may be revoked, modified, or extended by that court upon its own motion orotherwise, upon notification to affected parties as required by the court.


PRIOR PROVISIONSPrior sections 583 to 585 were omitted in the general amendment of this Act by Pub. L. 108–189.Section 583, act Oct. 17, 1940, ch. 888, art. VI, §603, 54 Stat. 1191, related to separability.Section 584, acts Oct. 17, 1940, ch. 888, art. VI, §604, 54 Stat. 1191; Pub. L. 102–12, §9(27), Mar. 18,

1991, 105 Stat. 41, related to termination date.Section 585, act Oct. 17, 1940, ch. 888, art. VI, §605, 54 Stat. 1191, related to the inapplicability of the

Soldiers’ and Sailors’ Relief Act of 1918 (section 101 et seq. of this Appendix), to military service performedafter Oct. 17, 1940.

TITLE VII—FURTHER RELIEF

PRIOR PROVISIONSA prior section 590, act Oct. 17, 1940, ch. 888, art. VII, §700, as added Oct. 6, 1942, ch. 581, §18, 56 Stat.

777, related to stay of enforcement of obligations, liabilities, and taxes, prior to the general amendment of thisAct by Pub. L. 108–189. See section 591 of this Appendix.

§591. Anticipatory relief(a) Application for relief

A servicemember may, during military service or within 180 days of termination of or releasefrom military service, apply to a court for relief—

(1) from any obligation or liability incurred by the servicemember before the servicemember'smilitary service; or

(2) from a tax or assessment falling due before or during the servicemember's military service.

(b) Tax liability or assessmentIn 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 materiallyaffected 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 ofapplication 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 suchcombined period; and

(ii) subject to payment of the balance of the principal and accumulated interest due andunpaid at the date of termination or release from the applicant's military service or from the dateof application in equal installments during the combined period at the rate of interest on theunpaid balance prescribed in the contract or other instrument evidencing the obligation, andsubject 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 equalperiodic installments during this extended period at the rate of interest as may be prescribed forthis obligation, liability, tax, or assessment, if paid when due, and subject to other terms as maybe equitable.

(c) Affect of stay on fine or penalty1

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.)

PRIOR PROVISIONSA prior section 591, act Oct. 17, 1940, ch. 888, art. VII, §701, 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 ofattorney, prior to the general amendment of this Act by Pub. L. 108–189. See section 592 of this Appendix.

So in original. Probably should be “Effect”.1

§592. Power of attorney(a) Automatic extension

A power of attorney of a servicemember shall be automatically extended for the period theservicemember is in a missing status (as defined in section 551(2) of title 37, United States Code) ifthe 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 theservicemember'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 extensionA 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 eventhough the servicemember, after the date of execution of the document, enters a missing status.


PRIOR PROVISIONSA prior section 592, act Oct. 17, 1940, ch. 888, art. VII, §702, 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 toprofessional liability protection for certain persons ordered to active duty in armed forces, prior to the generalamendment of this Act by Pub. L. 108–189. See section 593 of this Appendix.

§593. 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, United States Code, or who isordered to active duty under section 12301(d) of such title during a period when members are onactive 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 activeduty unless the premiums are paid for such coverage for such period.

(b) Suspension of coverage

(1) SuspensionCoverage 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 receiptof a written request from the servicemember by the insurance carrier.

(2) Premiums for suspended contractsA professional liability insurance carrier—

(A) may not require that premiums be paid by or on behalf of a servicemember for anyprofessional 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 theelection of such servicemember, apply such amount for the payment of any premium becomingdue upon the reinstatement of such coverage.

(3) Nonliability of carrier during suspensionA 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 professionalliability insurance under this subsection.


(4) Certain claims considered to arise before suspensionFor 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 otherassistance during the period of the professional's active duty service shall be considered to bebased on an action or failure to take action before the beginning of the period of the suspension ofprofessional liability insurance under this subsection, except in a case in which professionalservices were provided after the date of the beginning of such period.

(c) Reinstatement of coverage

(1) Reinstatement requiredProfessional 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 thatservicemember transmits to the insurance carrier a written request for reinstatement.

(2) Time and premium for reinstatementThe 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 theservicemember is released from active duty. The insurance carrier shall notify the servicememberof the due date for payment of the premium of such insurance. Such premium shall be paid by theservicemember within 30 days after receipt of that notice.

(3) Period of reinstated coverageThe 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 whichcoverage would have continued under the insurance policy if the coverage had not beensuspended.

(d) Increase in premium

(1) Limitation on premium increasesAn 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 ofsuch coverage required under subsection (c)(3) to an amount greater than the amount chargeablefor such coverage for such period before the suspension.

(2) ExceptionParagraph (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 personssimilarly covered by such insurance during the period of the suspension.

(e) Continuation of coverage of unaffected personsThis section does not—

(1) require a suspension of professional liability insurance protection for any person who is nota person referred to in subsection (a) and who is covered by the same professional liabilityinsurance 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 besuspended.

(f) Stay of civil or administrative actions

(1) Stay of actionsA 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 coveragehas been suspended under subsection (b) shall be stayed until the end of the period of thesuspension 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 otherprofessional liability of the servicemember.

(2) Date of commencement of actionWhenever 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 whichthe professional liability insurance coverage of the servicemember is reinstated under subsection(c).

(g) Effect of suspension upon limitations periodIn 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 thedefendant under this section, the period of the suspension of the coverage shall be excluded from thecomputation of any statutory period of limitation on the commencement of such action.

(h) Death during period of suspensionIf 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 ofsuch servicemember; and

(2) the carrier of the professional liability insurance so suspended shall be liable for any claimfor damages for professional negligence or other professional liability of the deceasedservicemember in the same manner and to the same extent as such carrier would be liable if theservicemember had died while covered by such insurance but before the claim was filed.

(i) DefinitionsFor purposes of this section:

(1) Active dutyThe term “active duty” has the meaning given that term in section 101(d)(1) of title 10, United

States Code.

(2) ProfessionThe term “profession” includes occupation.

(3) ProfessionalThe term “professional” includes occupational.


PRIOR PROVISIONSA prior section 593, act Oct. 17, 1940, ch. 888, art. VII, §703, 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 generalamendment of this Act by Pub. L. 108–189. See section 594 of this Appendix.

§594. Health insurance reinstatement(a) Reinstatement of health insurance

A servicemember who, by reason of military service as defined in section 703(a)(1) [section593(a)(1) of this Appendix], is entitled to the rights and protections of this Act [sections 501 to 515and 516 to 597b of this Appendix] shall also be entitled upon termination or release from suchservice 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 periodThe 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 byreason 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 theline of duty (within the meaning of section 105 of title 38, United States Code).

(c) ExceptionsSubsection (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, United States Code.

(d) Time for applying for reinstatementAn 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 protectionThe 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 thebalance of the period for which coverage would have been continued had the coverage not beenterminated, to an amount greater than the amount chargeable for such coverage before thetermination.

(2) Increases of general applicability not precludedParagraph (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 insurancecoverage for persons similarly covered by such insurance during the period between thetermination 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.)

PRIOR PROVISIONSA prior section 594, act Oct. 17, 1940, ch. 888, art. VII, §704, 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 thegeneral amendment of this Act by Pub. L. 108–189. See section 595 of this Appendix.

AMENDMENTS2006—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).

§595. Guarantee of residency for military personnel and spouses of militarypersonnel

(a) In generalFor the purposes of voting for any Federal office (as defined in section 301 of the Federal Election

Campaign Act of 1971 (2 U.S.C. 431)) 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) SpousesFor the purposes of voting for any Federal office (as defined in section 301 of the Federal Election

Campaign Act of 1971 (2 U.S.C. 431)) or a State or local office, a person who is absent from a Statebecause the person is accompanying the person's spouse who is absent from that same State incompliance 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 ornot 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.)

AMENDMENTS2009—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 AMENDMENTPub. 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), as added by subsection (a) of this section, shallapply with respect to absences from States described in such subsection (b) on or after the date of theenactment of this Act [Nov. 11, 2009], regardless of the date of the military or naval order concerned.”

§596. 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 beavailable for satisfaction of the obligation or liability during the servicemember's military service.

(b) Relief to obligorsUpon 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.


TITLE VIII—CIVIL LIABILITY

§597. Enforcement by the Attorney General(a) Civil action

The Attorney General may commence a civil action in any appropriate district court of the UnitedStates against any person who—

(1) engages in a pattern or practice of violating this Act [sections 501 to 515 and 516 to 597b ofthis Appendix]; or


(2) engages in a violation of this Act that raises an issue of significant public importance.

(b) ReliefIn a civil action commenced under subsection (a), the court may—

(1) grant any appropriate equitable or declaratory relief with respect to the violation of this Act[sections 501 to 515 and 516 to 597b of this Appendix];

(2) award all other appropriate relief, including monetary damages, to any person aggrieved bythe violation; and

(3) may, to vindicate the public interest, assess a civil penalty—(A) in an amount not exceeding $55,000 for a first violation; and(B) in an amount not exceeding $110,000 for any subsequent violation.

(c) InterventionUpon timely application, a person aggrieved by a violation of this Act [sections 501 to 515 and

516 to 597b of this Appendix] with respect to which the civil action is commenced may intervene insuch action, and may obtain such appropriate relief as the person could obtain in a civil action undersection 802 [section 597a of this Appendix] with respect to that violation, along with costs and areasonable attorney fee.

(Oct. 17, 1940, ch. 888, title VIII, §801, as added Pub. L. 111–275, title III, §303(a), Oct. 13, 2010,124 Stat. 2877.)

§597a. Private right of action(a) In general

Any person aggrieved by a violation of this Act [sections 501 to 515 and 516 to 597b of thisAppendix] may in a civil action—

(1) obtain any appropriate equitable or declaratory relief with respect to the violation; and(2) recover all other appropriate relief, including monetary damages.

(b) Costs and attorney feesThe court may award to a person aggrieved by a violation of this Act [sections 501 to 515 and 516

to 597b of this Appendix] who prevails in an action brought under subsection (a) the costs of theaction, including a reasonable attorney fee.


§597b. Preservation of remediesNothing in section 801 or 802 [section 597 or 597a of this Appendix] shall be construed to

preclude or limit any remedy otherwise available under other law, including consequential andpunitive damages.


FIRST WAR POWERS ACT, 1941

ACT DEC. 18, 1941, CH. 593, 55 STAT. 838


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A JUDGE’S GUIDE TO THE SERVICEMEMBERS CIVIL RELIEF ACT

by Mark E. Sullivan [Mr. Sullivan is a retired Army Reserve JAG colonel, a board-certified specialist in family law and a fellow of the American Academy of Matrimonial Lawyers who practices in Raleigh, NC. The chairman of the Military Committee of the ABA Family Law Section, Sullivan is the author of The Military Divorce Handbook (ABA 2006). Comments or questions should be sent to: [email protected]. ]

INTRODUCTION You may from time to time encounter parties to a lawsuit who are on active duty in the armed forces. This Guide highlights some of the issues related to the impact of military service on civil litigation, financial obligations, mortgages, leases, and other matters. Its specific focus is on the Servicemembers Civil Relief Act (SCRA). Congress initially passed legislation at the start of World War II called the Soldiers' and Sailors' Civil Relief Act (SSCRA) to provide protection to those called to those in the armed forces. Enacted in 1940, the SSCRA was updated after the Gulf War in 1991 but was still largely unchanged as of 2003. The SCRA was written to clarify the language of the SSCRA, to incorporate decades of court interpretation of the SSCRA and to update the SSCRA to reflect new developments in American life since 1940. The SCRA, signed into law December 19, 2003, not only protects those on active duty; it also affords protection for Reservists and members of the National Guard (when activated under Title 10, United States Code). The current law is found at 50 U.S.C. App. § 501 et seq. Courts have generally construed the SSCRA liberally to protect those in uniform, and the same should be true with the SCRA. The U.S. Supreme Court has said that the statute should be read “with an eye friendly to those who dropped their affairs to answer their country's call.” Le Maistre v. Leffers, 333 U.S. 1, 6 (1948).

QUESTIONS & ANSWERS 1. Q. What are the purposes of the SCRA? A. The Act’s purposes are to enable servicemembers (SMs) to devote their entire energy to the defense needs of the Nation; and to provide for the temporary suspension of judicial and administrative proceedings and transactions that may adversely affect the civil rights of SMs during their military service. 50 U.S.C. App. § 502.

2. Q. Who is covered under the SCRA?

A. Pursuant to 50 U.S.C. App. § 511, covered servicemembers include

>Those members of the Army, Navy, Air Force, Marine Corps and Coast Guard on active duty under 10 U.S.C. 101(d)(1);

>Members of the National Guard who are called to active duty as authorized by the President or the Secretary of Defense for over 30 consecutive days under 32 U.S.C. 502(f) to respond to a national emergency declared by the President and supported by federal funds; and

>Commissioned members of the Public Health Service and the National Oceanographic and Atmospheric Administration.

A SM is also covered for any period of time when he or she is absent from duty because of sickness, wounds, leave or other lawful cause (i.e., he is still a SM even in absent from active duty for one of the above

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reasons). Under 50 U.S.C. App. § 516, the protections of the Act are extended to members of the National Guard and Reserve, from receipt of orders to report for duty to the date that they report. Covered individuals under certain sections of the SCRA include a SM’s family members (such as a spouse or a child). In addition, if a SM has provided over half of a person’s support for the 180 days immediately preceding an application for relief under the Act, that person is considered a dependent also.

3. Q. What tribunals are covered? A. Under 50 U.S.C. App. § 511(5), any court or administrative agency of the United States, a state or a political subdivision thereof is covered. Does this mean the Michigan Department of Environmental Protection? The Cook County Board of Housing Appeals? The Zoning Commission of San Diego? The U.S. Department of the Interior? The answer is YES to all the above! Criminal proceedings are excluded. 50 U.S.C. App. § 512(b). 4. Q. What does the SCRA say about delay of judicial proceedings when the servicemember has not

entered an appearance in the court proceeding? A. 50 U.S.C. App. § 521 governs when the SM has made no appearance. When a judgment, order or adverse ruling is sought against a party who has not made an appearance, it is the duty of the court to determine whether that party is in the military. The SCRA states that either side or the court may apply for information as to military service to the Department of Defense (DOD), which must issue a statement as to military service. 50 U.S.C. App. § 582. The office in DOD to contact for information under the SCRA on whether a person is in the armed forces is: Defense Manpower Data Center [Attn: Military Verification] 1600 Wilson Blvd., Suite 400 Arlington, VA 22209-2593 [Telephone 703-696-6762 or -5790/ fax 703-696-4156]

Go to the DMDC website for SCRA inquiries, https://www.dmdc.osd.mil/scra, and enter the last name and Social Security number of the individual. These are mandatory entries; the form on the main page also asks for a first name, middle initial and date of birth (DOB), which will help with the search. Further information is available on the “Help” section of the above website.

To execute a report, click on the “Look Up” button, which will open up a second window holding the

report generated by DMDC. If the individual is on active duty, the report will show his or her branch of service and beginning date of active duty status. If DMDC does not have information as to whether the individual is on active duty, the generated report will only list the supplied last name, first name and middle initial (if supplied), with the text:

“Based on the information you have furnished, the DMDC does not possess any information indicating that the individual is currently on active duty.”

The report is signed by the DMDC Director.

If the Social Security number is unavailable, the requester may request by mail a manual search, using the DOB of the individual instead of the SSN. You must send a stamped, self-addressed envelope with your mail request.

If the court determines that the other party is in the military, then the court may not enter a default

judgment against the SM without appointing an attorney for him or her. “Default judgment” means any order, ruling or decree which is adverse to the SM’s interest. It does not refer solely to a final judgment on the merits for the claim or claims for relief involved in the lawsuit.

https://www.dmdc.osd.mil/scra

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Then the court must decide on a stay of proceedings. In cases where the defendant is in military service,

the court must stay the proceedings for at least 90 days (upon application of the SM or his attorney or on the court’s own motion) if the court determines that:

>there may be a defense to the action and a defense cannot be presented without the presence of the SM, or

>after due diligence, counsel has been unable to contact the SM or otherwise determine if a meritorious defense exists.

If a judgment has been entered against the SM during his period of military service (or within 60 days after the end of service), the court must reopen the judgment to allow the SM to defend if:

>he was materially affected due to military service in asserting a defense, and

>he has a meritorious or legal defense to the action or some part of it, so long as

>the application is filed within 90 days after the end of military service. 50 U.S.C. App. § 521(g).

A flow chart illustrating what happens when there is no appearance by the SM is found at ATCH 1 below. Reopening or vacating the judgment does not impair rights or title acquired by a bona fide purchaser for value under the default judgment. 5. Q. What does Section 522 of the Act say about a SM who has received notice of the action or proceeding? A. When the SM has received notice of the action or proceeding and has filed an application for a stay (including an application filed within 90 days after the end of military service), 50 U.S.C. App. § 522 states that the court may (upon its own motion) and shall (upon the application of a SM) enter a stay of proceedings for at least 90 days if the motion includes the information required by the statute for the court to determine whether a stay is needed. This “90-day stay” (although it can be for a longer period of time) requires four elements; the checklist below shows the requirements:

SCRA Stay Request – a Checklist for the Initial 90-Day Stay

a Elements of a Valid 90-Day Stay Request. Does the request contain… A statement as to how the SM’s current military duties materially affect his ability to appear… and stating a date when the SM will be available to appear? A statement from the SM=s commanding officer stating that the SM=s current military duty prevents appearance… and stating that military leave is not authorized for the SM at the time of the statement?

Caveat: There is no indication that a request must be in the form of an affidavit or, for that matter, in any particular format whatsoever. Apparently a letter, a formal memo or even an e-mail message would suffice.

A request for a stay does not constitute an appearance for jurisdictional purposes or a waiver of any defense, substantive or procedural. 50 U.S.C. App. §522(c).

The SM may request an additional stay based on the continuing effect of his military duty on his ability to appear. He may make this request at the time of his initial request or later on, when it appears that he is unavailable to defend or prosecute. The same information as given above is required. 50 U.S.C. App. § 522(d)(1).

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6. Q. Do I have to appoint an attorney if I deny the additional stay request?

A. If the court refuses an additional stay, then the court must appoint an attorney to represent the SM in the action or proceeding. 50 U.S.C. App. § 522(d)(2).

Questions: What does this attorney do? Who pays him or her? How does the attorney get in touch with the unavailable defendant or plaintiff? How can the attorney hope to represent the SM with no information, preparation or input by the “involuntary client”? Is the attorney supposed to try the entire case in the SM’s absence? Whose malpractice policy is going to cover this nightmare? There are no answers in the SCRA.

Almost certainly the initial duty of the appointed attorney is to renew the request for a stay of proceedings. It will be virtually impossible for him or her to prepare and present the case without the assistance of the unavailable SM.

When can the judge terminate the appointment? While there is nothing written on this, the logical explanation is that the judge may terminate the appointment when there is no longer a need or a desire for the appointment. And that, in turn, means -

> NO NEED – either the case has concluded and there is no reason to continue the appointment, or else the original need for the appointment [default or denial of additional stay] no longer exists; --OR ELSE --

> NO DESIRE – the servicemember has signed a waiver (in at least 12-point typeface) specifying that he/she waives the appointment or continuation of the appointment. 7. Q. I understand that the initial 90-day stay is mandatory. What about an additional stay – is that in my discretion? What do I have to find in order to grant an additional stay? A. The additional stay is discretionary; in order to allow the additional stay, the court must find that the member's ability to prosecute or defend is "materially affected" by reason of his or her active duty service. Once this finding of material effect is made, the member is entitled to a stay for such period as is necessary until the material effect is removed. While this is not explicitly stated in the SCRA, it was the rule with the SSCRA and most likely will be the rule under the current Act as well. Finally, since courts are reluctant to grant long-term stays of proceedings, they can and should require members to act in good faith and be diligent in their efforts to appear in court. Here are some questions, ideas and comments which may be helpful in evaluating an additional stay request:

>How much leave has the servicemember accrued? Ask for a copy of his LES (Leave and Earnings Statement) to find out.

>What is the nature of the “military necessity” that prevents a hearing? Is the SM serving in Iraq, where he cannot be given leave and is facing hostile fire on a daily or weekly basis? Or is he serving as “backfill” at Ft. Bragg or Ft. Lewis so that others may deploy overseas, working a comfortable day shift of 7:30 – 4:30 with weekends off?

>Sometimes a SM exaggerates the amount of time needed to be in court. Often a court case can be heard and resolved in a few hours or a few days. What happens if the SM complains to his commander that he will need to be gone for 30 days to take care of his case back in court? The court can expect a letter from the commanding officer stating that the SM’s duty requirements prevent appearance and that he is not authorized

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leave. Whenever possible, the court should state on the record what amount of time the proceeding is expected to take. When examining the statement of a commander regarding denial of leave, the court may wish to inquire as to how much leave was requested, what the leave request stated, and what was represented to the commander about the length of time that the court proceeding would require.

>Is the member’s presence necessary?

a. What about video depositions? Use of the Internet? Is anyone truly “unavailable” any more? In Massey v. Kim, 455 S.E.2d 306 (Ga. Ct. App. 1995), the SM asked for a stay of proceedings to delay pending discovery until the completion of his overseas tour of duty. The court denied his request, pointing out improvements in modern communications since the passage of the SSCRA. In Keefe v. Spangenberg, 533 F. Supp. 49 (W.D. Okla. 1981), the court denied the SM’s stay request to delay discovery, indicating that the SM should appear by videotape deposition pursuant to Fed. R. Civ. P. 30(B)(4). One court specifically pointed out that “Court reporters may take depositions in Germany including videotape depositions for use in trials in this country.” In re Diaz, 82 B.R. 162, 165 (Bankr. Ga. 1988).

b. What about summary judgment based on affidavits?

c. Can the matter be resolved on an interim basis with a temporary order? In Shelor v. Shelor, 383 S.E.2d 895 (Ga. 1989), the court determined that temporary modifications of child support, in general, do not materially affect the SM’s rights since they are interlocutory and subject to modification. In Lenser et al. v. McGowan et al., 2004 Ark. LEXIS 400, the court granted a stay of proceedings under the SCRA but issued a temporary custody order. The servicemember-father was temporarily caring for the child, there was no custody order, and he placed the child in the care of his own mother when he left Arkansas for Ft. Hood, Texas and subsequent deployment to Iraq. The Supreme Court upheld the trial judge’s entry of a temporary custody order while, at the same time, staying the domestic relations case until the SM’s return.

d. When will the temporary exigency be over? There is nothing that prevents a judge from responding to the commanding officer to ask some questions that will help determine what can be done to move the case forward. For example, perhaps the SM can respond to discovery while he is unavailable for a court appearance.

8. Q. What is "material effect"? A. There is no one definition of "material effect." The court should make a finding of "material effect" when a military member's ability to prosecute or defend a civil suit is impaired by military duties which prevent the member from appearing in court at the designated time and place, or from assisting in the preparation or presentation of the case. An adverse material effect might also be found when military service impairs substantially the member's ability to pay financial obligations. 9. Q. If the member isn't in court before me, how can I inquire into "material effect"? A. If the court is not convinced of “material effect,” it has the discretion to: >Require an affidavit setting out all the facts and circumstances, usually executed by the member or the member's commander. >Ask for a copy of the member's Leave and Earnings Statement (the military equivalent of a pay statement) to show his or her basic pay, Basic Allowance for Housing, Basic Allowance for Subsistence, other pay or

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allowances, tax withholdings, voluntary allotments to pay bills or support, and accrued leave. >Request a more specific affidavit detailing the member's efforts to appear in court, for example, and the next court date when he or she would be available.

Some courts require specific information whenever a stay application does not contain sufficient facts. One example is the set of questions used by the courts in Monterey County, California, to get information from the defendant’s commander.1 The author has added several additional inquiries, and these are formatted as interrogatories to the defendant (as opposed to questions by the court): 1. What have you done to obtain ordinary and/or emergency leave to attend any necessary hearings and/or

trial in this court? 2. What results did these efforts produce? 3. How much leave did you request? 4. When did you request this leave? 5. Give the name, rank, title, address and commercial telephone number (if available) of the individual

who denied your leave request. 6. Have you taken any leave in the last three months? 7. If so, how much and for what purpose? 8. How much leave do you currently have as reflected on your latest Leave and Earnings Statement (LES)? 9. Provide a copy of your last three Leave and Earnings Statements with your responses to these questions. 10. What have you done to obtain a transfer to a military installation near this court on either a temporary or

permanent basis? 11. What results did these efforts produce? 12. When were you assigned to the present duty station? 13. When are you due to be transferred on normal rotation or reassignment? 14. To what station will you probably be transferred? 15. (If the SM is an enlisted person) What is the date of your present enlistment contract? 16. When does the enlistment expire? 17. Do you intent to re-enlist? 18. Does your service record contain a bar to re-enlistment? 19. Is there any likelihood that you will obtain an early release from active duty and, if so, when is this

expected to occur? 20. State any and all reasons why you cannot respond to written interrogatories in this case. 21. State any and all reasons why you cannot respond to written document requests in this case, so long as

the documents requested are readily available to you. 22. State any and all reasons why you cannot respond to written requests for admissions in this case. 23. Give the location (and distance) of the nearest legal assistance office (JAG office or staff judge advocate

office) to you. 24. State your duty hours during the week. 25. State your duty hours on weekends. 26. State what means of communication are available between you and this court, specifically including

telephone, e-mail, regular mail and videoteleconference (both individually and through your JAG office).

Note that members from all branches of military service, whether buck private or rear admiral, get thirty days of leave annually, accruing at the rate of 2.5 days per month (although military necessity may limit when the leave may be taken).

1 Hooper, “The Soldiers’ and Sailors’ Civil Relief Act of 1940 as Applied in Support Litigation: A Support Attorney’s Perspective,” 112 MIL. L. REV. 93, 95-96 (1986).

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Also keep in mind that members who are going through basic or advanced training may be unable to appear in court due to the training schedule; there are no extra days built into the schedule to accommodate court dates, depositions or family emergencies, and being gone from training frequently means that the trainee will have to repeat the same training program from the beginning. 10. Q. What does a motion for stay look like? A. Here is an example of one: ………………………………

Sample motion for stay of proceedings under Servicemembers Civil Relief Act (SCRA) [HEADING OF CASE] MOTION FOR STAY OF PROCEEDINGS Pursuant to the Servicemembers Civil Relief Act (SCRA), 50 U.S.C. App. § 522, the defendant moves this court for [an initial 90-day stay of proceedings][a further stay of proceedings], showing that his ability to defend herein is materially affected by his military duties. In support of this motion and in compliance with the SCRA, the defendant has included -- As Encl #1, a letter or other communication that: >states how current military duty requirements materially affect the defendant=s ability to appear, and >gives a date when the defendant will be available to appear; and As Encl #2, a letter or other communication from the defendant's commanding officer stating that: >the defendant's current military duty prevents his appearance, and >that military leave is not authorized for him at the time of the letter. WHEREFORE the defendant prays that this court grant him a stay of proceedings until [date] and such other relief as is just and proper. __________________________________ Date: Janet A. Smith, Attorney for Defendant 123 Bartlett Street, Salisbury, NC 26799 919-555-1234 ........................................................ [Notes: While this motion is written by the defendant’s attorney, the SCRA mentions the “application of the servicemember,” which means the SM or his legal representative could file the motion, application, petition or other document requesting a stay of proceedings. The “SM’s legal representative” would be his lawyer (civilian or military attorney) or an individual who holds his power of attorney. It may be addressed to the court, the clerk, the presiding judge, the defendant=s attorney, or the opposing counsel. The statute appears to call for two statements, but the information required may be conveniently combined into one statement if that comes from the SM’s commanding officer. While the examples here are two statements which give limited information, a good letter should set out the facts in detail -- not merely conclusions -- as to how the defendant=s military duties adversely affect his ability to prepare and present the case, including appearances at depositions, responses to interrogatories and document requests, and appearance at trial. Although not required by the SCRA, it is a wise idea to set out how much leave the defendant has accrued, whether he has asked for leave, how much leave was requested, and whether the request has been approved or denied, including who approved or denied it, the date of such action, the limitations, if any, on an approved

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leave, etc. The purpose of this is to show that the defendant is exercising good faith and due diligence in his application for a stay, rather than using the stay request purely for tactical advantage.] Encl #1 Sergeant Leopold Legume, SSN 123-45-6789 Company C, 3d Battalion 123d Underground Balloon Regiment V Corps, U.S. Army APO AE 91099 [date] TO WHOM IT MAY CONCERN: My current military duty requirements materially affect my ability to appear in the following manner: I am currently serving as a truck driver at Camp Bondsteel in Kosovo. My tour of duty is for 180 days, beginning November 1, 2008. I was recalled to active duty in the U.S. Army from my assignment in the Army Reserve, which is the 122d Transportation Battalion, Salisbury, North Carolina. I am in the field every day of the week, and I am unavailable to appear at my hearing on child support. I have asked for one week=s leave in order to fly back to North Carolina and attend the hearing. This was denied by my commander. I need to be personally present in court on my hearing date of February 1, 2009, to testify as to my compensation, both civilian (before the Reserve call-up) and military (a substantial reduction from my civilian pay), my reasonable living expenses (before and after the call-up) and certain bills of the plaintiff that I have taken over at her request since the last child support order herein that would constitute grounds for a variance from the Child Support Guidelines. I will be available to appear on or after May 10, 2009. [signature of defendant] ........................................................ Encl #2 Major Regina Richards, Commander Company C, 3d Battalion 123d Underground Balloon Regiment V Corps, U.S. Army APO AE 91099 [date] TO WHOM IT MAY CONCERN: 1. I am the commanding officer of SGT Leopold Legume, SSN 123-45-6789. 2. His current military duty prevents his appearance in court on February 1, 2008. 3. He has requested one week=s leave for this court appearance. I denied his request, and military leave is not authorized for him at this time. [signature of commanding officer] ………………………………

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11. Q. I’m a family court judge. I can’t believe that Congress intended this law to allow indefinite delays – or even short ones – with regard to custody, child support and visitation cases. These are often urgent cases requiring immediate decisions. A. Congress made no restrictions as to domestic cases in writing and passing the SCRA. And in January 2008, it passed the 2008 National Defense Authorization Act which emphasized that custody is included in the cases covered by Section 521 (basically, all “default cases,” where the SM has not entered an appearance) and those involving an initial stay request (for at least 90 days). 12. Q. Isn’t there some overview of the “stay process” that will help me understand it? A. Yes. At Question 5 above is a checklist for the initial stay when a SM has entered an appearance. ATCH 1 at the end of this paper is a flow chart for the procedure when the non-moving party has not entered an appearance. ATCH 2 is a flow chart on the “additional stay” issue (after the initial stay). ATCH 3 is a checklist for the judge on SCRA issues generally. 13. Q. Can a default judgment be entered against a servicemember in his absence? A. Not unless the court follows the procedures set out in the SCRA. As noted above, when the SM has not made an appearance, 50 U.S.C. App. § 521 governs. The court must first determine whether an absent or defaulting party is in military service. Before entry of a judgment for the plaintiff, the plaintiff must file an affidavit that states “whether or not the defendant is in military service and showing necessary facts in support of the affidavit.” Criminal penalties are provided for filing a knowingly false affidavit. 14. Q. What if the affidavit shows that the party to be defaulted is in the armed forces? A. When this happens, no default can be taken until the court has appointed an attorney to represent the member; see Question 4 above. If the court fails to appoint an attorney, then the judgment or decree is voidable. 50 U.S.C. App. § 521(b)(2). 15. Q. What does the court-appointed attorney do? A. The role of the attorney is to protect the interests of the absent servicemember, much as a guardian ad litem protects the interests of a minor or incompetent party. This would include contacting the servicemember to advise that a default is about to be entered and to ask whether he or she party wants to request a stay of proceedings. No provision of the SCRA says who pays the appointed attorney. If that attorney cannot locate the SM, the actions of the attorney cannot waive any defense of the SM or otherwise bind him or her. 16. Q. Can I require a bond to be posted before entry of a default judgment? A. Yes. If the court cannot determine whether the defendant is in military service, then the court may require the plaintiff to post a bond as a condition of entry of a default judgment. Should the defendant later be found to be a SM, the bond may be used to indemnify the defendant against any loss or damage which he or she may incur due to the default judgment (if it should be set aside later). 50 U.S.C. App. § 521(b)(3). 17. Q. What are the provisions for reopening a default judgment? A. Servicemembers are further protected from default judgments under the SCRA. The purpose of this is to protect those in the military from having default judgements entered against them without their knowledge and without a chance to defend themselves. The SCRA allows a servicemember who has not entered an appearance in the proceeding to seek the reopening of a default judgment. The requirements are as follows:

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>The servicemember must apply to the trial court that rendered the original judgment of order. >The default judgment must have been entered when the member was on active duty in the military service or within 60 days thereafter. >The servicemember must apply for reopening the judgment while on active duty or within 90 days thereafter. >The servicemember must prove that, at the time the judgment was rendered, he was prejudiced in his ability to defend himself due to military service. >The servicemember must show that there is a meritorious or legal defense to the initial claim. An important requirement of the reopening of a judgment is that the moving party has a meritorious or legal defense. Default judgments will not be set aside when a litigant’s position lacks merit. Such a requirement avoids a waste of effort and resources in opening default judgments in cases where servicemembers have no defense to assert. As part of a well-drafted motion or petition to reopen a default judgment or order, the SM should clearly delineate his claim or defense so that the court will have sufficient facts upon which to base a ruling. 18. Q. Are there also provisions for staying the execution of a judgment? A. Yes. In any action started against a SM before his period of military service, during it or within 90 after the end of service, when a SM’s military duties materially affect his ability to comply with a court order or judgment, then the court may (on its own motion) and shall (on motion by the SM) –

>stay the execution of any judgment or order entered against him, and

>vacate or stay any attachment or garnishment of property, money or debts in the possession of the SM or a third party

>regardless of whether it is before or after judgment. 50 U.S.C. App. § 524.

19. Q. What does the SCRA say about statutes of limitation? A. The period of military service may not be included in computing any limitation period for filing suit, either by or against any SM. This also includes suit by or against the heirs, executors, administrators, or assigns of the member, when the claim accrues before or during the period of service. Thus this SCRA section tolls statutes of limitation during the military service of any military plaintiff or defendant. The statute does not, however, affect time periods within a suit, such as time periods to avoid motions to dismiss for failure to prosecute an action. Once military service is shown, the period of limitation is automatically tolled for the duration of the service. 50 U.S.C. App. § 526. 20. Q. Can a servicemember get out of a lease or rental agreement? A. Yes. A substantial change from the old SSCRA is found in 50 U.S.C. App. § 534. Previously the statute allowed a servicemember to terminate a pre-service “dwelling, professional, business, agricultural, or similar” lease executed by or for the servicemember and occupied for those purposes by the servicemember or his dependents. It did not provide help for the SM on active duty who was required to move due to military orders. The new statute remedies these problems. Under the old SSCRA, a lease covering property used for dwelling, professional, business, agricultural or similar purposes could be terminated by a SM if two conditions were met:

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>The lease/rental agreement was signed before the member entered active duty; and >The leased premises had been occupied for one or more of the above purposes by the member or his or her dependents. The new Act still applies to leases executed into prior to entry on active duty. It adds a new provision, however, extending coverage to leases entered into by active duty servicemembers who subsequently receive orders for a permanent change of station (PCS) or a deployment for 90 days or more. The SCRA also adds a new provision allowing the termination of automobile leases (for business or personal use) by SMs and their dependents. Pre-service automobile leases may be canceled if the SM receives orders to active duty for a period of 180 days or more. Automobile leases entered into while the SM is on active duty may be terminated if he or she receives PCS orders to a location outside the continental United States or deployment orders for a period of 180 days or more. 50 U.S.C. App. § 535(b)(2). 21. Q. How does the servicemember go about terminating the lease? A. To terminate the lease, the member must deliver written notice to the landlord with a copy of his military orders. Oral notice is not sufficient. In the case of a motor vehicle lease, the lessee must return the motor vehicle to the lessor and also must provide the above notice and a copy of his orders. The return of the vehicle must be within 15 days after the notice delivery. 50 U.S.C. App. § 535(c). The effective date of termination for premises rentals is determined as follows: >For month-to-month premises rentals, termination becomes effective 30 days after the first date on which the next rental payment is due after the termination notice is delivered. For example, if the rent is due on the first of the month and the SCRA termination notice is mailed on 1 August, then the next rent payment would be due on 1 September. Thirty days after that date is 1 October, the effective date of termination. >For all other premises rentals, termination becomes effective on the last day of the month after the month in which proper notice is delivered. For example: if the lease calls for a yearly rental and notice of termination is given on 20 July, the effective date of termination would be 31 August. For motor vehicle leases, the termination is effective on the day on which the requirements above for notice delivery, orders and return of the vehicle are met. 50 U.S.C. App. § 535(d). 22. Q. Can a servicemember get a refund of his security deposit or prepaid rent? A. If the rent was paid in advance, the landlord must refund the unearned portion. The member is required to pay rent only for those months before the lease is terminated. If a security deposit was required, it must be refunded to the member upon termination of the lease. 23. Q. Can I stop an eviction by a landlord? A. Yes. The old SSCRA provided that, absent a court order, a landlord may not evict a servicemember or the dependents of a servicemember from a residential lease when the monthly rent was $1200 or less. 50 U.S.C. App. § 531(a) modifies the former eviction protection section by barring evictions without a court order from premises occupied by servicemembers for which the monthly rent does not exceed $2,400 for the year 2003. The Act also provides a formula to calculate the rent ceiling for future years. Using this formula, the 2007 monthly rent ceiling is $2720.95. You can easily check this for the current year by doing an Internet search using “Servicemembers Civil Relief Act” and “maximum monthly rental amount” as the search terms.

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24. Q. Does the Act apply to time payments or installment contracts? A. It does. Military members who signed an installment contract for the purchase of real or personal property before active duty will be protected if their ability to make the payments is materially affected because of their active duty service. Remember-- >The member must have paid, before entry into active duty, a deposit or installment payment under the contract. >If the member is not able to make payments because of his or her military duty, the SCRA applies. >The vendor is thereafter prohibited from exercising any right or option under the contract, such as to rescind or terminate the contract or to repossess the property, unless authorized by a court order. >The court may determine whether a member's financial condition is "materially affected" by comparing the member's financial condition before entry on active duty with his financial condition while on active duty. 25. Q. What about the interest rates on debts and mortgage payments -- do they go down when a person

enters military service? A. Yes. When an obligation was incurred before entry on active duty, the interest rate goes down to 6%, unless the creditor (bank, finance company, credit card issuer, etc.) can prove in court that the member's ability to pay was not materially affected by military service. The term "interest" includes service charges.

The new Act clarifies the rules on the 6% interest rate cap on pre-service loans and obligations by specifying that interest in excess of 6% per year must be forgiven. 50 U.S.C. App. § 527(a)(2). The absence of such language in the SSCRA had allowed some lenders to argue that interest in excess of 6% was merely deferred.

The SCRA also specifies that a SM must request this reduction in writing and include a copy of his/her military orders. 50 U.S.C. App. § 527(b)(1). Once the creditor receives notice, it must grant the relief effective as of the date the servicemember is called to active duty. The creditor must forgive any interest in excess of six percent with a resulting decrease in the amount of the periodic payment that the servicemember is required to make. 50 U.S.C. App. § 527(b)(2). The creditor may challenge the rate reduction if it can show that the SM’s military service has not materially affected his or her ability to pay. 50 U.S.C. App. § 527(c). 26. Q. Are there protections against mortgage foreclosures? A. The SCRA (50 U.S.C. App. § 533) protects members against foreclosures of mortgages, deeds of trust, and similar security devices, provided the following conditions are met: a. The relief is sought on an obligation secured by a mortgage, deed of trust, or similar security on either

real or personal property; b. The obligation originated prior to entry upon active duty; c. The property was owned by the member or dependent before entry on active duty status; d. The property is still owned by the member or dependent at the time that relief is sought;

e. The ability to meet the financial obligation is materially affected by the member's military service. f. The action is filed during, or within 90 days after, the SM’s period of military service.

Courts can stay proceedings until members are available to answer, extend the mortgage maturity date to allow

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reduced monthly payments, grant foreclosure subject to being reopened if challenged by a member, and extend the period of redemption by a period equal to the member's military service.

27. Q. Does the SCRA require that a breach have occurred before protections become available?

A. No. The Act doesn’t require breach or default before offering protections to covered individuals. The anticipatory relief provision is set out in 50 U.S.C. App. §591: 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. These anticipatory relief provisions can be used to request relief from pre-service obligations, such as child support or alimony, when a prospective breach is likely. For example, when the SM is earning more in his civilian job before mobilization than he will be earning on active duty, and the civilian wage garnishment will terminate upon his call to active duty, the SM should use this section to request a reduction in child support or alimony and to request a new garnishment from DFAS (Defense Finance and Accounting Service) to pay the other party on a timely basis. 28. Q. Can the SM waive his rights?

A. This is covered in 50 U.S.C. App. § 517. A waiver of SCRA rights is only effective if it is made during the period of military service. In addition, the waiver should be in writing in at least 12-point type. If the court wants to have the SM execute a written waiver in connection with a stay of proceedings so that the case may go forward and there is a clear record that the SM has knowingly and voluntarily waived his or her rights under the SCRA, this form should suffice:

WAIVER OF RIGHT TO REQUEST STAY OF PROCEEDINGS

I acknowledge that I have the right to request a stay of proceedings in this case under the

Servicemembers Civil Relief Act. The stay of proceedings, or continuance, would postpone a

hearing in this case if it were granted.

I hereby waive and give up the right to a stay of proceedings. I want to proceed with this case.

_________________________________ Date:_____________________ (signature)

_________________________________ Printed Name

[here print acknowledgment and notarization if required]

29. Q. ARE THERE SCRA RESOURCES ON THE INTERNET? A. Start with a visit to the home page of the Army JAG School, http://www.jagcnet.army.mil/TJAGLCS.

http://www.jagcnet.army.mil/TJAGSA

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When you get there, click on "TJAGLCS Publications" on the left side, then scroll down to "Legal Assistance" and look for JA 260, “Servicemembers Civil Relief Act Guide,” written by the faculty of the Army JAG School in 2006.

You should also visit the Servicemember’s Civil Relief Act information center at the public preventive law page of the Army Judge Advocate General’s Corps, found at http://www.jagcnet.army.mil/legal.

(rev. 3/27/07) * * *

http://www.jagcnet.army.mil/legal

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ATCH 1 - SCRA Flow Chart (no appearance by servicemember) Has the servicemember entered an appearance?

See “Initial Appearance” checklist for info; 50 USC App 522 applies when SM has notice of the proceeding

Does the non-SM moving party wish to obtain a default judgment?*

End of inquiry; no further action needed by court.**

Has the movant filed an affidavit of military service, including “necessary facts to support the affidavit”?

Does affidavit state that the other party is in the military?

Has the court appointed an attorney for the SM?

Is there a defense for the SM and the defense cannot be presented without the presence of the SM?

Can the appointed attorney locate the SM?

This is required by the SCRA.

Court may proceed if affidavit states that other party is NOT in the military, but may also investigate further (see below) and may punish a party who files a false affidavit

Require affiant to ascertain status of other party through DMDC (Defense Manpower Data Center) and file new affidavit. The court may require the movant to file a bond in an an amount approved by the court so that, if the other party is later found to be in military service, it is available to indemnify the absent party for any damages he or she suffers due to the default judgment, should the judgment be set aside in part or whole.

STOP - you have contradicted yourself!

Appoint one; this is required by the SCRA.

Actions by the attorney shall not waive any defense the SM has or otherwise bind the SM. If after due diligence, counsel has been unable to contact the SM or otherwise determine if a meritorious defense exists, then the court shall grant a stay for at least 90 days on the request of the SM’s attorney or on the court’s own motion.

Court may proceed.

The court shall grant a stay for at least 90 days on the request of the SM’s attorney or on the court’s own motion.

*The non-SM claimant may be either the plaintiff/petitioner or the defendant/respondent. A default judgment means any decree or order granting relief when the other side has not entered an appearance. Whether appearance means a specific appearance in the current proceeding before the court, or the lawsuit itself (irrespective of the stage of proceedings) depends on state law.

** “Court” also means administrative agency.

Does affidavit state that affiant doesn’t know if the other party is in the military?

Does affidavit deny that the other party is in the military?

YES

NO

YES

NO

NO

YES

NO

NO

NO

NO

NO

YES

YES

YES

NO

YES

YES

YES

NO

NO

NO

NO

NO

NO

NO

YES

YES

YES

YES

YES

YES

YES

YES

YES

NO

NO

NO

ATCH 2 - SCRA Flow Chart for “Additional Stay”

YES

Is the defendant a person in the military service (or within 90 days of discharge)?

Has the defendant requested an additional stay of proceedings under Section 202 of the SCRA?

Is the request in the form of a statement showing how his/her military duties have a material effect on his/her ability to appear?

And giving a date when the SM will be available to appear?

Proceed under state law;SCRA does not apply in this case.

Proceed under state law; SCRA inapplicable.

Demand one. This is a requirement of the SCRA, and it is the best protection in court for the

nonmilitary party as to the truth of defendant’s claims.

Does the request include a statement from the SM’s commanding officer showing that the member’s military duties prevent his

appearance and that leave cannot be granted at this time?

Has the servicemember established nonavailability due to military duties (e.g., a training exercise, or deployment in a hostile zone)?

Does the request demonstrate that defendant cannot take leave (e.g., no leave remaining or the request was turned down).

Does this request show that defendant’s presence is necessary for defense in lawsuit?

Is the defendant’s presence in fact necessary in the lawsuit?

Does the SM’s statement establish a valid defense?

Does the court want to proceed anyway?

In either case, the court must appoint an attorney to represent the servicemember and protect his or her interests.

Demand this; it is also a requirement of the SCRA.

Demand that defendant’s request address this issue. This is required by the SCRA, and proof of

inability to take leave should be required to protect the nonmilitary party.

Demand this. Military personnel accrue 30 days of leave annually.

Argue that the stay should be denied. The power to grant a stay is based on inability to appear in

person, which implies the need either to testify or to conduct/oversee the defense.

See above; argue that the stay should be denied. In a child support case, argue that the member’s

Leave and Earnings Statement is all that is needed to determine the proper amount of

support.

Argue that the stay request should be denied. If there is no valid defense, then granting the stay

will only prolong and delay the proceeding needlessly.

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ATCH 3 – CHECKLIST

The Servicemembers Civil Relief Act: A Judge’s Checklist

The SCRA is located at 50 U.S.C. Appendix § 501 et seq. In using this checklist, keep in mind the purpose of the Act: to enable servicemembers (SMs) to devote their entire energy to the defense needs of the nation, and to provide for the temporary suspension of judicial and administrative proceedings and transactions that may adversely affect the civil rights of SMs during their military service. 50 U.S.C. App. § 502

a Who is covered? (50 U.S.C. App. § 511) Those covered include: ο Members of the Army, Navy, Air Force, Marine Corps and Coast Guard on active duty under 10 U.S.C. 101(d)(1) ο National Guard members called to active duty by President or Secretary of Defense for over 30 days under 32 U.S.C. 502(f) (national emergency declared by the President and supported by federal funds) ο Commissioned members of the Public Health Service and the National Oceanographic and Atmospheric Administration a Default situation – (50 U.S.C. App. § 521). When no appearance by SM (servicemember), you - ο1. Must require affidavit of military status by moving party (who may check on whether missing party is in military service by requesting check of records by Dept. of Defense**) ο2. Must appoint an attorney before entry of judgment if the non-moving party is in military ο3. Must grant a stay of proceedings for at least 90 days when non-moving party is in military if -

a. there may be a defense, and presence of SM is needed to make it, OR b. with due diligence, appointed attorney can’t contact client or otherwise determine whether defense exists

a Use of bond? (50 U.S.C. App. § 521(b)(3)) ο As condition of entry of default judgment, require bond if you cannot determine whether defendant is in military service. ο Bond may be used to indemnify non-moving party against loss/damage from default judgment (if later set aside) should he/she later be found to be in the military. a Request for stay – SM or attorney requests suspension of case (50 U.S.C. App. § 522) ο Grant stay of proceedings (discretionary on court’s own motion, mandatory on SM’s motion) for at least 90 days if motion includes- 1. Statement as to how the SM’s current military duties materially affect his ability to appear, and that 2. stating a date when the SM will be available to appear, and 3. Statement from the SM=s commanding officer that SM=s current military duty prevents his appearance, and 4. military leave is not authorized for the SM at the time of the statement a Grant additional stay (beyond initial 90 days)? ο Yes if continuing material effect of military duty on SM’s ability to appear. ο Same information required as above. a Deny additional stay? ο Only if you appoint attorney to represent the SM in the action or proceeding (50 U.S.C. App. § 522(d)(2)). ο Expect attorney to renew stay request since he/she cannot prepare, present case without assistance from the unavailable SM. a Unsure whether to grant or deny additional stay? ο Ask for a copy of the SM’s current LES (Leave and Earnings Statement), issued twice a month, to see how much leave SM has accrued, used in the past few months. ο Propound questions from the court to SM’s commanding officer as to duty hours, days for the SM, his or her availability to attend court or to participate by telephone, Internet or videoteleconference * Upon application by either side or the court, the military service must issue a statement as to military service. 50 U.S.C. App. ξ 582. Contact: Defense Manpower Data Center, 1600 Wilson Blvd., Suite 400, Attn: Military Verification, Arlington, VA 22209-2593, [telephone 703-696-6762 or –5790/fax 703-696-4156]

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a Execution of orders, judgments (50 U.S.C. App. § 524) ο Must stay execution of any judgment, order entered against SM if the SM shows military duties materially affect his/her ability to comply with court decree ο Also vacate or stay any attachment or garnishment of property, money or debts in possession of the SM or third party a Anticipatory relief (50 U.S.C. App. § 591) ο Grant relief from obligation or liability incurred by SM before his/her military service ο Also for tax or assessment falling due before or during the SM’s military service a Reopen judgment (50 U.S.C. App. § 521(g)) ο Must reopen order, judgment against SM if –

1. SM was materially affected due to military service in asserting defense, and 2. He/she has meritorious defense

a Are waivers allowed? (50 U.S.C. App. § 517) ο Only effective if made during period of military service. ο Usually must be in writing (and, in most cases, in 12-point font or larger). a Don’t penalize SM in stay request. (50 U.S.C. App. § 522(c)) ο Request for stay does not constitute appearance for jurisdictional purposes ο Also doesn’t constitute waiver of any defense, substantive or procedural a Statute of limitations (50 U.S.C. App. § 526) ο Period of military service may not be included in computing any limitation period for filing suit, either by or against SM. a Protect against mortgage foreclosure (50 U.S.C. App. § 533) ο Court may stay foreclosure proceedings until SM can answer, extend mortgage maturity date to allow reduced monthly payments, grant foreclosure subject to being reopened if challenged by SM, or extend the period of redemption by period equal to the SM’s military service. ο Conditions for above: if –

1. Relief is sought on security interest in real/personal property 2. Obligation originated before active duty 3. Property owned by SM or dependent before active duty 4. Property still owned by SM or dependent 5. Ability to meet financial obligation is materially affected by SM’s military service 6. Action is filed during (or within 90 days after) SM’s military service. (50 U.S.C. App. § 533)

a Protect SM-tenant. (50 U.S.C. App. § 531-532, 535) ο Allow SM to terminate leases upon entry on active duty or receipt of military orders for deployment (not less than 90 days) or transfer to another base. ο Grant a stay of eviction upon application by SM-tenant who shows that ability to pay rent is materially affected by military service. (50 U.S.C. App. § 531(b)) ο If the rent is paid in advance, require landlord to refund unearned portion. The servicemember is required to pay rent only for those months before the lease is terminated. (50 U.S.C. App. § 535(f)) ο It is a misdemeanor for a landlord to seize, hold or detain the security deposit or personal property of a SM or dependent when there is a lawful lease termination under the SCRA, or to knowingly interfere with the removal of said property because of a claim for rent after the termination date. A security deposit must be refunded to the SM upon termination of the lease. 50 U.S.C. App. § 535(h)(1).

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