46 USC 53725 - Actions against obligor

U.S Code last checked for updates: Nov 22, 2024

§ 53725.

Actions against obligor

(a)

In General.—

For a default under a guaranteed obligation or related agreement, the Secretary or Administrator may take any action against the obligor or another liable party that the Secretary or Administrator considers necessary to protect the interests of the United States Government. A civil action may be brought in the name of the United States or the obligee. The obligee shall make available to the Government all records and evidence necessary to prosecute the action.

(b)

Title, Possession, and Purchase.—

(1)

In general.—

The Secretary or Administrator may—

(A)

accept a conveyance of title to and possession of property from the obligor or another party liable to the Secretary or Administrator; and

(B)

purchase the property for an amount not greater than the unpaid principal amount of the obligation and interest thereon.

(2)

Payment of excess.—

If, through the sale of property, the Secretary or Administrator receives an amount of cash greater than the unpaid principal amount of the obligation, the unpaid interest on the obligation, and the expenses of collecting those amounts, the Secretary or Administrator shall pay the excess to the obligor.

(Pub. L. 109–304, § 8(c), Oct. 6, 2006, 120 Stat. 1619; Pub. L. 109–163, div. C, title XXXV, § 3507(a)(1)(F), Jan. 6, 2006, 119 Stat. 3555; Pub. L. 110–181, div. C, title XXXV, § 3522(a)(10)(B), (b), Jan. 28, 2008, 122 Stat. 598.)

cite as: 46 USC 53725