General Claims Regulations, 51374-51394 [2020-15408]
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51374
Federal Register / Vol. 85, No. 162 / Thursday, August 20, 2020 / Proposed Rules
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experienced any other event that
permits the distribution under section
401(k)(2)(B) of the elective contributions
that secure the loan, Plan Z is
prohibited from executing on the loan.
Accordingly, Employee B’s account
balance is not offset by the amount of
the unpaid loan balance at the time of
the deemed distribution. Thus, there is
no distribution of an offset amount that
is an eligible rollover distribution on
September 30, 2023.
(G) Example 7—(1) The facts are the
same as in in paragraph (a)(2)(v)(F) of
this section (Example 6), except that
Employee B has a severance from
employment on November 1, 2023. On
that date, Employee B’s unpaid loan
balance is offset against the account
balance on distribution.
(2) The plan loan offset amount is not
a qualified plan loan offset amount.
Although the offset occurred within 12
months after Employee B severed from
employment, the plan loan does not
meet the requirement in paragraph
(a)(2)(iii)(B) of this section (that the plan
loan meet the requirements of section
72(p)(2) immediately prior to Employee
B’s severance from employment).
Instead, the loan was taxable on
September 30, 2023 (prior to Employee
B’s severance from employment on
November 1, 2023), because of the
failure to meet the level amortization
requirement in section 72(p)(2)(C).
Accordingly, Employee B may roll over
the plan loan offset amount to an
eligible retirement plan within the 60day period provided in section
402(c)(3)(A) (rather than within the
period that ends on Employee B’s tax
filing due date (including extensions)
for the taxable year in which the offset
occurs).
(b)(1) Q–2 When are the rules in this
§ 1.402(c)–3 applicable to plan loan
offset amounts, including qualified plan
loan offset amounts?
(2) A–2 Applicability date. The rules
provided in paragraph (a) of this section
are applicable to plan loan offset
amounts, including qualified plan loan
offset amounts, treated as distributed on
or after the adoption of these rules as
final regulations in the Federal Register.
Sunita Lough,
Deputy Commissioner for Services and
Enforcement.
[FR Doc. 2020–16564 Filed 8–17–20; 4:15 pm]
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Department of the Navy
32 CFR Part 750
[Docket ID: USN–2018–HQ–0012]
RIN 0703–AB22
General Claims Regulations
Department of the Navy,
Department of Defense.
ACTION: Proposed rule.
AGENCY:
This proposed rule updates
and consolidates the Department of the
Navy (DON) regulations concerning
General Claims Regulations, and the
processes and procedures to be used for
filing specific claims against and in
favor of the DON. Upon completion of
this consolidation, the obsolete parts
will be removed from the CFR.
DATES: Consideration will be given to all
comments received by September 21,
2020.
SUMMARY:
You may submit comments,
identified by docket number and/or RIN
number and title, by any of the
following methods:
Federal Rulemaking Portal: https://
www.regulations.gov. Follow the
instructions for submitting comments.
Mail: DoD cannot receive written
comments at this time due to the
COVID–19 pandemic. Comments should
be sent electronically to the docket
listed above.
Instructions: All submissions received
must include the agency name and
docket number or Regulatory
Information Number (RIN) for this
document. The general policy is for
submissions to be made available for
public viewing at https://
www.regulations.gov without change,
including any personal identifiers or
contact information.
FOR FURTHER INFORMATION CONTACT: Mr.
Randy Russell, Claims and Tort
Litigation Division (Code 15), Office of
the Judge Advocate General, 1322
Patterson Avenue SE, Washington Navy
Yard, DC 20374, telephone: 202–685–
4600.
ADDRESSES:
SUPPLEMENTARY INFORMATION:
Purpose of the Proposed Rule
The revision clarifies the rule for
public use and consolidates DON claims
information into one part.
Revisions Implemented by This Rule
This rule consolidates 32 CFR parts
751, 752, 755, 756, and 757 and their
underlying subparts into 32 CFR part
750. Primary revisions are deletion of
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unnecessary information. Although
there are no substantive changes, many
of the sub-parts were clarified to allow
a better understanding of the claims
process.
DEPARTMENT OF DEFENSE
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Legal Authority for This Program
The Military Personnel and Civilian
Employees’ Claims Act (PCA) is
codified at 31 U.S.C. 3721. Claims for
Redress of injuries to property by
service members are codified at Article
139 of the Uniform Code of Military
Justice, 10 U.S.C. 939. Additional claims
statutes are codified as follows: The
Federal Claims Collection Act (FCCA):
31 U.S.C. 3711; Third Party Payers’ Act
(TPPA), 10 U.S.C. 1095; and Medical
Care Recovery Act (MCRA), 42 U.S.C.
2651(a). DON’s General Claims
Regulations for implementing the
Federal Tort Claims Act (FTCA): 28
U.S.C. 1346(b), 2671–2672, and 2674–
2680; Military Claims Act (MCA), 10
U.S.C. 2733; and the Non-Scope Claims
Act (NSCA), 10 U.S.C. 2737.
Regulatory History
The DON last updated 32 CFR parts
750 and 751 on October 15, 2008; part
752 on October 3, 2007; and parts 756
and 757 on September 19, 2007. The
internal Navy document, JAG
Instruction 5890.1A, ‘‘Administrative
Processing and Consideration of Claims
on Behalf and Against the United
States’’ (available at https://
www.jag.navy.mil/library/instructions/
5890_1a.pdf), was originally
promulgated on January 17, 1991, and
updated in February 1992. The JAG
Instruction was slightly revised in 2005
with changes to the rule in 2007.
Regulatory Analyses
Regulatory Planning and Review
Executive Orders 12866, 13563, and
13771
Executive Order 12866 (Regulatory
Planning and Review) and Executive
Order 13563 (Improving Regulation and
Regulatory Review) direct agencies to
assess the costs and benefits of available
regulatory alternatives and, if regulation
is necessary, to select regulatory
approaches that maximize net benefits
(including potential economic,
environmental, public health and safety
effects, distributive impacts, and
equity). Executive Order 13563
emphasizes the importance of
quantifying both costs and benefits, of
reducing costs, of harmonizing rules,
and of promoting flexibility. Executive
Order 13771 (Reducing Regulation and
Controlling Regulatory Costs) directs
agencies to reduce regulation and
control regulatory costs and provides
that ‘‘for every one new regulation
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issued, at least two prior regulations be
identified for elimination, and that the
cost of planned regulations be prudently
managed and controlled through a
budgeting process.’’ This rule is not
significant under Executive Order (E.O.)
12866, ‘‘Regulatory Planning and
Review;’’ therefore, E.O. 13771,
‘‘Reducing Regulation and Controlling
Regulatory Costs’’ does not apply.
Congressional Review Act (5 U.S.C.
801, et seq.)
Under the Congressional Review Act,
a major rule may not take effect until at
least 60 days after submission to
Congress of a report regarding the rule.
A major rule is one that would have an
annual effect on the economy of $100
million or more or have certain other
impacts. This rule is not a major rule
under the Congressional Review Act.
Impact on Small Entities
The Regulatory Flexibility Act of
1980, 5 U.S.C. 601–612, as amended,
requires Federal agencies to consider
the potential impact of regulations on
small entities during rulemaking. The
term ‘‘small entities’’ comprises small
businesses, not-for-profit organizations
that are independently owned and
operated and are not dominant in their
fields, and governmental jurisdictions
with populations of less than 50,000.
This rule will not impose any impacts
on any entities. This means that there
will be no economic impacts on any
entities. Therefore, the DoD under 5
U.S.C. 605 certifies that this rule will
not have a significant economic impact
on a substantial number of small
entities.
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Unfunded Mandates Reform Act
Section 202 of the Unfunded
Mandates Reform Act of 1995 requires
that agencies assess anticipated costs
and benefits before issuing any rule
whose mandates require spending in
any one year of $100M in 1995 dollars,
updated annually for inflation. That
threshold level is currently
approximately $140M. This rule will
not mandate any requirements for State,
local, or tribal governments or the
private sector.
Collection of Information
It has been determined this regulation
does not impose reporting or
recordkeeping requirements under the
Paperwork Reduction Act of 1995.
Federalism
Executive Order 13132 establishes
certain requirements that an agency
must meet when it promulgates a
proposed rule (and subsequent final
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rule) that imposes substantial direct
requirement costs on State and local
governments, preempts State law, or
otherwise has Federalism implications.
This proposed rule does not have
federalism implications that warrant the
preparation of a federalism assessment
in accordance with Executive Order
13132.
List of Subjects in 32 CFR Part 750
Claims, Government employees,
Health care, Military law, Military
personnel, Vessels.
Accordingly, 32 CFR part 750 is
proposed to be revised to read as
follows:
PART 750—GENERAL CLAIMS
REGULATIONS
Subpart A—General Provision for Claims
Sec.
750.1 Scope of subpart A.
750.2 Statutory authority.
750.3 Claims: In general.
750.4 Claims: Proper claimants.
750.5 Claims: Presentment.
750.6 Claims: Responsibility.
750.7 Claims: Settlement and release.
750.8 Claims: Payment.
750.9 Claims: Denial.
750.10 Claims: Single service
responsibility.
Subpart B—Claims Under the Federal Tort
Claims Act (FTCA)
750.11 Scope of subpart B.
750.12 Statutory authority.
750.13 Exclusiveness of remedy.
750.14 Definitions.
750.15 Scope of liability.
750.16 Statute of limitations.
750.17 Delegations of adjudicating
authority.
750.18 The administrative claim.
750.19 Information and supporting
documents.
750.20 Damages.
750.21 Amendment of the claim.
750.22 Settlement and payment.
750.23 Denial of the claim.
750.24 Reconsideration.
750.25 Suits under the Federal Tort Claims
Act.
750.26 Attorney fees.
Subpart C—Claims Under the Military
Claims Act (MCA)
750.27 Scope of subpart C.
750.28 Statutory authority.
750.29 Claims payable.
750.30 Claims not payable.
750.31 Statute of limitations.
750.32 Filing the claim.
750.33 Applicable law.
750.34 Measure of damages for property
claims.
750.35 Measure of damages in injury or
death cases.
750.36 Delegations of adjudicating
authority.
750.37 Advance payments.
750.38 Final disposition.
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750.39 Appeal.
750.40 Cross-servicing.
750.41 Payments related to certain medical
or legal malpractice claims.
750.42 Attorney fees.
Subpart D—Claims Under the Foreign
Claims Act (FCA)
750.43 Scope of subpart D.
750.44 Statutory authority.
750.45 Scope of liability.
750.46 Statute of limitations.
750.47 Filing a claim.
750.48 The administrative claim.
750.49 Damages.
750.50 Foreign Claims Commissions.
750.51 Processing claims.
750.52 Action on forwarded claims.
750.53 Reconsideration, appeal, and suit.
750.54 Payment.
Subpart E—Claims Under the Nonscope
Claims Act (NSCA)
750.55 Scope of subpart E.
750.56 Statutory authority.
750.57 Definitions.
750.58 Claim procedures.
750.59 Statute of limitations.
750.60 Officials with authority to settle.
750.61 Scope of liability.
750.62 Claims not payable.
750.63 Measure of damages.
Subpart F—Claims Under the Personnel
Claims Act (PCA)
750.64 Scope of subpart F.
750.65 Statutory authority.
750.66 Adjudication authority.
750.67 Proper claimants.
750.68 Claims payable.
750.69 Claims not payable.
750.70 Statute of limitations.
750.71 Filing a claim.
750.72 Computation of payment.
750.73 Notice of decision.
750.74 Reconsideration.
750.74 Carrier recovery claims.
Subpart G—Admiralty Tort Claims
750.76 Scope of subpart G.
750.77 Statutory authority.
750.78 Organization.
750.79 Claims against the Navy.
750.80 Affirmative claims.
750.81 Salvage.
Subpart H—Claims for Property Damage
Under Article 139, Uniform Code of Military
Justice
750.82 Scope of subpart H.
750.83 Statutory authority.
750.84 Claims not cognizable.
750.85 Limitation on claims.
750.86 Complaint by the injured party and
investigation.
750.87 Action where offenders are members
of one command.
750.88 Action where offenders are members
of different commands.
750.89 Reconsideration and appeal.
Subpart I—Claims Involving NonAppropriated Fund (NAFI) Activities and
Their Employees
750.90 Scope of subpart I.
750.91 Statutory authority.
750.92 Definitions.
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750.93
750.94
750.95
750.96
750.97
750.98
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Participation in insurance programs.
Responsibility.
Negotiation.
Payment.
Denial.
Claims by employees.
Subpart J—Affirmative Claims Regulations
(Property Damage Claims)
750.99 Scope of subpart J.
750.100 Statutory authority.
750.101 Claims that may be collected.
750.102 Assertion of claims and collection
procedures.
750.103 Waiver, compromise, and referral
of claims.
Subpart K—Affirmative Claims Regulations
(Medical Care Recovery Act and Claims
Asserted Pursuant to the Third Party Payers
Act)
750.104 Scope of subpart K.
750.105 Statutory authority.
750.106 Responsibility.
750.107 Claims asserted.
750.108 Assertion of claims.
Authority: 5 U.S.C. 301; 5 U.S.C. 552; 10
U.S.C. 939, 5013, 5148, and 7621–7623; 3
CFR, 1984 Comp., p. 201; Article 139, UCMJ;
E.O. 11476; 3 CFR, 1969 Comp., p. 132.
Subpart A—General Provisions for
Claims
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§ 750.1
Scope of subpart A.
(a) General. (1) The Judge Advocate
General of the Navy is responsible for
the administration and supervision of
the resolution of claims arising under
the Federal Tort Claims Act (subpart B
of this part), the Military Claims Act
(subpart C of this part), the Foreign
Claims Act and the International
Agreements Claims Act pertaining to
cost sharing of claims pursuant to
international agreements (subpart D of
this part), the Nonscope Claims Act
(subpart E of this part), the Personnel
Claims Act (subpart F of this part),
Admiralty tort claims (subpart G of this
part), the Federal Claims Collection Act
(subpart J of this part), and the Medical
Care Recovery Act and Claims asserted
pursuant to the Third Party Payers Act
(subpart K of this part).
(2) The Director, Claims and Tort
Litigation is the manager of the Navy
claims system established to evaluate,
adjudicate, and provide litigation
support for claims arising under the acts
listed above (except admiralty claims)
and is responsible to the Judge Advocate
General for the management of that
system. The claims system consists of
the Claims and Tort Litigation Division
of the Office of the Judge Advocate
General (Code 15) and three subordinate
units: The Tort Claims Unit (TCU),
Norfolk, Virginia; the Personnel Claims
Unit (PCU), Norfolk, Virginia; and three
Medical Care Recovery Units (MCRUs)
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in Norfolk, Virginia; San Diego,
California; and Pensacola, Florida.
(3) The Director, Admiralty and
Maritime Law is the manager of the
Navy claims system established to
evaluate, adjudicate, and provide
litigation support for claims arising in
admiralty.
(b) This subpart delineates general
investigative and claims-processing
requirements to be followed in the
handling of all incidents and claims
within the provisions of this part.
Where the general provisions of this
subpart conflict with the specific
provisions of any subsequent section,
the specific provisions govern.
(c) Additional guidance on the
processing and adjudication of claims
can be found in JAG Instruction 5800.7
series (JAGMAN) and JAGINST 5890.1
series [which may be retrieved at the
official website of the United States
Navy Judge Advocate General’s Corps at
https://www.jag.navy.mil].
§ 750.2
Statutory authority.
(a) Authority applicable to entire part:
5 U.S.C. 301, 5 U.S.C. 552, 10 U.S.C.
5013, and 5148.
(b) History: 57 FR 4722, Feb. 7, 1992;
72 FR 53417, Sept. 19, 2007, as
confirmed at 73 FR 60948, Oct. 15,
2008.
§ 750.3
Claims: In general.
(a) Claims against the United States.
Claims against the United States shall
receive prompt and professional
disposition. Every effort will be made to
ensure an investigation is thoroughly
and accurately completed, the
claimant’s allegations evaluated
promptly, and where liability is
established, payment issued as quickly
as possible to prevent further harm to a
meritorious claimant. Similarly, claims
not payable will be processed promptly
and the claimant advised of the reasons
for the denial.
(b) Claims in favor of the United
States. Potential claims in favor of the
United States will be critically
evaluated and, where appropriate,
promptly asserted and aggressively
pursued.
(c) Assistance to claimants. Claimants
or potential claimants who inquire
about their rights or the procedures to
be followed in the resolution of their
claims should be referred to the
responsible claims unit. The unit will
provide claims forms, advise where the
forms should be filed, and inform the
requester of the type of substantiating
information required. Claims unit
employees may provide advice on the
claims process but shall not provide
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advice or opinions about the merits or
the wisdom of filing a particular claim.
§ 750.4
Claims: Proper claimants.
(a) Damage to property cases. A claim
for damage to, or destruction or loss of,
property shall be presented by the
owner of the property or a duly
authorized agent or legal representative.
‘‘Owner’’ includes a bailee, lessee, or
mortgagor, but does not include a
mortgagee, conditional vendor, or other
person having title for security purposes
only.
(b) Personal injury and death cases. A
claim for personal injury shall be
presented by the person injured or a
duly authorized agent or legal
representative, or, in the case of death,
by the properly appointed legal
representative of the deceased’s estate or
survivor where authorized by State law.
(c) Subrogation. A subrogor and a
subrogee may file claims jointly or
separately. A medical expense subrogee
may pursue a claim when permitted
under applicable state law.
(d) Limitation on transfers and
assignment. All transfers and
assignments made of any claim upon
the United States, and all powers of
attorney, orders, or other authorities for
receiving payment of any such claim,
are absolutely null and void unless they
are made after the allowance of such a
claim, the ascertainment of the amount
due, and the issuing of a warrant for the
payment thereof. 31 U.S.C. 203. This
statutory provision does not apply to the
assignment of a claim by operation of
law, as in the case of a receiver or
trustee in bankruptcy appointed for an
individual, firm, or corporation, or the
case of an administrator or executor of
the estate of a person deceased, or an
insurer subrogated to the rights of the
insured.
§ 750.5
Claims: Presentment.
(a) Written demand. A claim shall be
submitted by presenting a written
statement with the amount of the claim
expressed in a sum certain, and, as far
as possible, describing the detailed facts
and circumstances surrounding the
incident from which the claim arose.
The Claim for Damage or Injury,
Standard Form 95, shall be used
whenever practical for claims based in
tort. Personnel Claims Act claims for
loss and damage that occurred during a
DoD contracted move (Household
goods) shall be submitted electronically
utilizing the USTRANSCOM approved
claims management system. All other
Personnel Claims Act claims shall be
submitted in writing on the DD Form
1842 and 1844 [both forms are available
at the website of the United States Navy
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Judge Advocate General’s Corps at
https://www.jag.navy.mil/organization/
code_15.htm]. The claim and all other
papers requiring the signature of the
claimant shall be signed by the proper
claimant personally or by a duly
authorized agent. If signed by an agent
or legal representative, the claim shall
indicate the title or capacity of the
person signing and be accompanied by
evidence of appointment. When more
than one person has a claim arising from
the same incident, each person shall file
a claim separately.
(b) Submission of claims. Claims
should be submitted to the appropriate
claims unit (see subparts for addresses),
or to the Office of the Judge Advocate
General, Claims and Tort Litigation
Division, 1322 Patterson Avenue SE,
Suite 3000, Washington Navy Yard,
Washington, DC 20374–5066.
§ 750.6
Claims: Responsibility.
(a) Determining the sufficiency of the
claim. Once received, each claim will be
reviewed and a determination of its
sufficiency made. A claim is deemed
sufficient if it presents a written
statement, signed by the claimant,
stating the amount of the claim in a sum
certain and describing the facts and
circumstances in enough detail to allow
the Navy to identify the incident so that
an investigation can be commenced. If
the claim is not sufficient as received,
it shall be immediately returned to the
party who submitted it along with an
explanation of the insufficiency. This
does not constitute denial of the claim.
The claim shall not be considered
‘‘presented’’ until it is received in
proper form.
(b) Adjudicating the claim. The
responsible unit shall evaluate every
claim promptly and, where liability is
established or payment deemed
appropriate, attempt to settle claims for
amounts within its adjudicating
authority. Negotiation at settlement
figures above a unit’s payment limits
may be attempted if the claimant is
informed that the final decision on the
claim will be made at a higher level.
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§ 750.7
Claims: Settlement and release.
(a) Fully and partially approved
claims. When a claim is approved for
payment in the amount claimed, a
settlement agreement may not be
necessary. When a claim based in tort is
approved for payment in a lesser
amount than that claimed, the claimant
must indicate in writing a willingness to
accept the offered amount in full
settlement and final satisfaction of the
claim. No payment will be made until
a signed settlement agreement has been
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received. PCA claims do not require a
settlement agreement.
(b) Release. (1) Acceptance by the
claimant of an award or settlement
made by the Secretary of the Navy or
designees, or the Attorney General or
designees, is final upon acceptance by
the claimant. Acceptance is a complete
release by claimant of any claim against
the United States by reason of the same
subject manner. Claimant’s acceptance
of an advance payment does not have
the same effect.
(2) In the case of claims based in tort,
the claimant’s acceptance of an award or
settlement made under the provisions
governing the administrative settlement
of Federal tort claims or the civil action
provisions of 28 U.S.C. 1346(b) also
constitutes a complete release of any
claim against any employee of the
Government whose act or omission gave
rise to the claim.
§ 750.8
Claims: Payment.
Claims approved for payment shall be
expeditiously forwarded to the
appropriate payment authority for
payment.
§ 750.9
Claims: Denial.
The final denial of any claim within
this chapter shall be in writing and sent
to the claimant, his attorney, or legal
representative. The denial notification
shall include a statement notifying the
claimant of the right to appeal or request
reconsideration of the decision.
§ 750.10 Claims: Single service
responsibility.
(a) DoD Instruction (DoDI) 5515.08
(series), ‘‘Assignment of Claims
Responsibility’’ (available at https://
www.esd.whs.mil/Portals/54/
Documents/DD/issuances/dodi/551508_
2016.pdf) assigns ‘‘single-service claims
responsibility’’ to individual military
departments for processing claims in
specified foreign countries. Claims
arising in unassigned countries will be
processed and adjudicated by the
Service of the service member whose
actions resulted in the claim.
(b) U.S. forces afloat cases under
$2,500.00. Notwithstanding the single
service assignments above, DON may
settle claims under $2,500.00 caused by
personnel not acting within the scope of
employment and arising in foreign ports
visited by U.S. forces afloat and may,
subject to the concurrence of the
authorities of the receiving state
concerned, process such claims.
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Subpart B—Claims Under the Federal
Tort Claims Act (FTCA)
§ 750.11
Scope of subpart B.
This subpart provides information
regarding the administrative processing
and consideration of claims against the
United States under the FTCA. The
FTCA is a limited waiver of sovereign
immunity. Under the FTCA, an
individual can seek money damages for
personal injury, death, or property
damage caused by the negligent or
wrongful act or omission of a Federal
employee acting within the scope of
employment. The FTCA also provides
for compensation for injuries caused by
certain intentional, wrongful conduct.
The liability of the United States is
determined in accordance with the law
of the State where the act or omission
occurred.
§ 750.12
Statutory authority.
The statutory provisions of the FTCA
are at 28 U.S.C. 1346(b), 2671–2672, and
2674–2680. The Attorney General of the
United States has issued regulations on
administrative claims filed under the
FTCA at 28 CFR part 14. If the
provisions of this section and the
Attorney General’s regulations conflict,
the Attorney General’s regulations
prevail.
§ 750.13
Exclusiveness of remedy.
(a) The Federal Employees Liability
Reform and Tort Compensation Act of
1988, Public Law 100–694 (amending 28
U.S.C. 2679(b) and 2679(d)), provides
that the exclusive remedy for damage or
loss of property, or personal injury or
death arising from the negligent or
wrongful acts or omissions of all
employees of the Government acting
within the scope of their employment
will be against the United States. This
immunity from personal liability does
not extend to allegations of
constitutional torts nor to allegations of
violations of statutes specifically
authorizing suits against individuals.
(b) Other statutory provisions create
immunity from personal liability for
specific categories of Federal employees
whose conduct within the scope of their
employment gives rise to claims against
the Government. Department of Defense
(DoD) health care providers are
specifically protected by 10 U.S.C. 1089,
the Gonzalez Act. DoD attorneys are
specifically protected by 10 U.S.C. 1054.
§ 750.14
Definitions.
(a) Negligent conduct. Generally,
negligence is the failure to exercise that
degree of care, skill, or diligence a
reasonable person would exercise under
similar circumstances. Negligent
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conduct can result from either an act or
a failure to act. The law of the place
where the conduct occurred will
determine whether a cause of action lies
against the Government.
(b) Intentional torts. Although any
employee who commits an intentional
tort is normally considered to be acting
outside the scope of employment, the
FTCA does allow claimants to seek
compensation for injuries arising out of
the intentional torts of assault, battery,
false imprisonment, false arrest, abuse
of process, and malicious prosecution, if
committed by a Federal investigative or
law enforcement officer. An
‘‘investigative or law enforcement
officer’’ is any officer of the United
States empowered by law to execute
searches, to seize evidence, or to make
arrests for violations of Federal law.
(c) Government employees. (1)
‘‘Employee of the Government,’’ defined
at 28 U.S.C. 2671, includes officers or
employees of any Federal agency,
members of the U.S. military or naval
forces, and persons acting on behalf of
a Federal agency in an official capacity.
(2) ‘‘Government contractors’’ (also
referred to as independent contractors)
are those individuals or businesses who
enter into contracts with the United
States to provide goods or services.
Because the definition of ‘‘Federal
agency,’’ found at 28 U.S.C. 2671,
specifically excludes ‘‘any contractor
with the United States,’’ the United
States is generally not liable for the
negligence of Government contractors.
There are, however, three limited
exceptions to the general rule, under
which a cause of action against the
United States has been found to exist in
some jurisdictions.
They are:
(i) Where the thing or service
contracted for is deemed to be an
‘‘inherently dangerous activity’’;
(ii) Where a nondelegable duty in the
employer has been created by law; or
(iii) Where the employer retains
control over certain aspects of the
contract and fails to discharge that
control in a reasonable manner.
(3) Employees of nonappropriatedfund activities. Nonappropriated-fund
(NAF) activities are entities established
and operated for the benefit of military
members and their dependents, and
have been judicially determined to be
‘‘arms’’ of the Federal government.
These entities operate from selfgenerated funds, rather than from funds
appropriated by Congress. Examples
include Navy and Marine Corps
Exchanges, officer or enlisted clubs, and
recreational services activities. A claim
arising out of the act or omission of an
employee of a nonappropriated-fund
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activity not located in a foreign country
acting within the scope of employment
is an act or omission committed by a
Federal employee and will be handled
in accordance with the FTCA.
(d) Scope of employment. ‘‘Scope of
employment’’ is defined by the law of
respondeat superior (master and
servant) of the place where the act or
omission occurred. Although 28 U.S.C.
2671 states that acting within the scope
of employment means acting in the line
of duty, the converse is not always true.
For administrative purposes, a
Government employee may be found
‘‘in the line of duty,’’ yet not meet the
criteria for a finding of ‘‘within the
scope of employment’’ under the law of
the place where the act or omission
occurred.
§ 750.15
Scope of liability.
(a) Territorial limitations. The FTCA
does not apply to any claim arising in
a foreign country.
(b) Exclusions from liability. Statutes
and case law have established categories
of exclusions from FTCA liability.
(1) Statutory exclusions. Title 28
U.S.C. 2680 lists claims not cognizable
under the FTCA. They include:
(i) Claims based on the exercise or
performance of, or the failure to exercise
or perform, a discretionary Government
function;
(ii) Admiralty claims under 46 U.S.C.
741–752 or 781–790. Claims under the
Death on the High Seas Act (46 U.S.C.
761), however, are cognizable under the
FTCA. All admiralty claims will be
referred to the Judge Advocate General
for adjudication. Admiralty claims
against the Navy shall be processed
under subpart F of this part;
(iii) Claims arising from certain
intentional torts enumerated in 28
U.S.C. 2680(h); and
(iv) Claims arising from the combat
activities of the military or naval forces,
or the Coast Guard, during time of war.
(2) Additional claims not payable.
Although not expressly statutorily
excepted, the following types of claims
will not be paid under the FTCA:
(i) A claim for personal injury or
death of a member of the armed forces
of the United States incurred incident to
military service or duty;
(ii) Any claim by military personnel
or civilian employees of the Navy, paid
from appropriated funds, for personal
property damage occurring incident to
service or Federal employment,
cognizable under 31 U.S.C. 3721 and the
applicable Personnel Claims
Regulations (subpart E of this part);
(iii) Any claim by employees of
nonappropriated-fund activities for
personal property damage occurring
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incident to Federal employment. These
claims will be processed as indicated
under subpart H of this part;
(iv) Any claim for personal injury or
death covered by the Federal
Employees’ Compensation Act (5 U.S.C.
8116c);
(v) Any claim for personal injury or
death covered by the Longshore and
Harbor Workers’ Compensation Act (33
U.S.C. 905 and 5 U.S.C. 8171);
(vi) That portion of any claim for
personal injury or property damage
caused by the negligence or fault of a
Government contractor to the extent
such contractor may have assumed
liability under the terms of the contract;
(vii) Any claim against the DON by
another Federal agency. Property
belonging to the Government is not
owned by any one department of the
Government. The Government does not
reimburse itself for the loss of its own
property except where specifically
provided for by law; and
(viii) Any claim for damage to a
vehicle rented pursuant to travel orders.
§ 750.16
Statute of limitations.
An administrative claim against the
United States under the FTCA must be
presented in writing within 2 years after
the claim accrues. Federal law
determines the date of accrual. A claim
accrues when the claimant discovers or
reasonably should have discovered the
existence of the act giving rise to the
claim. In computing the statutory time
period, the day of the incident is
excluded and the day the claim was
presented included.
§ 750.17 Delegations of adjudicating
authority.
(a) Settlement authority. (1) The Judge
Advocate General; the Deputy Judge
Advocate General; the Assistant Judge
Advocate General (Civil Law); the
Director, Claims and Tort Litigation; and
the Head, Tort Claims Branch, Claims
and Tort Litigation, have delegated
authority to settle FTCA claims up to
$500,000. Any settlement, including
aggregate settlements (i.e., all claims
arising from a single incident) in excess
of OJAG’s settlement authority
($500,000) require approval and written
authorization from the Department of
Justice—Torts Branch.
(2) Individuals with settlement
authority under paragraph (a)(1) of this
section may delegate all or part of their
settlement authority. Such delegation
shall be in writing.
(b) Appeal authority. Adjudicating
authorities have the same authority as
delegated on paragraph (a) of this
section to act on appeals.
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§ 750.18
The administrative claim.
(a) Proper claimant. See § 750.4 of this
part.
(b) Claim presented by agent or legal
representative. A claim filed by an agent
or legal representative will be filed in
the name of the claimant; be signed by
the agent or legal representative; show
the title or legal capacity of the person
signing; and be accompanied by
evidence of the individual’s authority to
file a claim on behalf of the claimant.
(c) Proper claim. A claim is a notice
in writing to the appropriate Federal
agency of an incident giving rise to
Government liability under the FTCA. It
must include a demand for money
damages in a definite sum for property
damage, personal injury, or death
alleged to have occurred by reason of
the incident. The Attorney General’s
regulations specify that the claim be
filed on a Standard Form 95 or other
written notification of the incident. If a
letter or other written notification is
used, it is essential that it set forth the
same basic information required by
Standard Form 95. Failure to do so may
result in a determination that the
administrative claim is incomplete.
(d) Presentment. A claim is deemed
presented when received by the Navy in
proper form. A claim against another
agency, mistakenly addressed to or filed
with the Navy shall be transferred to the
appropriate agency, if ascertainable, or
returned to the claimant. A claimant
presenting identical claims with more
than one agency should identify every
agency to which the claim is submitted
on every claim form presented. In such
cases, a lead agency will be designated.
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§ 750.19 Information and supporting
documents.
(a) Proper documentation. Depending
on the type of claim, claimants may be
required to submit information, as
follows:
(1) Death. (i) An authenticated death
certificate or other competent evidence
showing cause of death, date of death,
and age of the decedent;
(ii) Decedent’s employment or
occupation at time of death, including
monthly or yearly earnings and the
duration of last employment;
(iii) Full names, addresses, birth
dates, relationship, and marital status of
the decedent’s survivors, including
identification of survivors dependent for
support upon decedent at the time of
death;
(iv) Degree of support provided by
decedent to each survivor at time of
death;
(v) Decedent’s general physical and
mental condition before death;
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(vi) Itemized bills for medical and
burial expenses; and
(vii) If damages for pain and suffering
are claimed, a physician’s detailed
statement specifying the injuries
suffered, duration of pain and suffering,
any drugs administered for pain, and
the decedent’s physical condition
during the interval between injury and
death.
(2) Personal injury. (i) A written
report by attending physician or dentist
on the nature and extent of the injury,
nature and extent of treatment, any
degree of temporary or permanent
disability, the prognosis, period of
hospitalization, and any diminished
earning capacity. In addition, the
claimant may be required to submit to
a physical or mental examination by a
physician employed by any Federal
agency. Upon written request, a copy of
the report of the examining physician
shall be provided;
(ii) Itemized bills for medical, dental,
and hospital expenses incurred, or
itemized receipts of payments of such
expenses;
(iii) A statement of expected expenses
for future treatment;
(iv) If a claim is made for lost wages,
a written statement from the employer
itemizing actual time and wages lost;
and
(v) If a claim is made for lost selfemployed income, documentary
evidence showing the amount of
earnings actually lost.
(3) Property damage. (i) Proof of
ownership;
(ii) A detailed statement of the
amount claimed for each item of
property;
(iii) An itemized receipt of payment
for necessary repairs or itemized written
estimates of the cost of repairs; and
(iv) A statement listing date of
purchase, purchase price, and salvage
value where repair is not economical.
(b) Failure to submit necessary
documentation. If claimant fails to
provide sufficient supporting
documentation, claimant should be
notified of the deficiency. If after a
reasonable period of time the
information is still not provided, the
appropriate adjudicating authority
should deny the claim.
§ 750.20
Damages.
(a) Generally. The measure of
damages is determined by the law of the
place where the act or omission
occurred. When there is a conflict
between local and applicable Federal
law, the latter governs.
(b) Limitations on liability. The
United States is not liable for interest
prior to judgment or for punitive
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51379
damages. In a death case, if the place
where the act or omission complained
of occurred provides for only punitive
damages, the United States will be liable
in lieu thereof, for actual or
compensatory damages.
(c) Setoff. The United States is not
obligated to pay twice for the same
injury. Claimants under the FTCA may
have received Government benefits or
services as the result of the alleged tort.
The cost of these services or benefits
shall be considered in arriving at any
award of damages. For example, the cost
of medical or hospital services
furnished at Government expense,
including TRICARE payments, shall be
considered. Additionally, benefits or
services received under the Veterans
Act (38 U.S.C. 101–800) must be
considered.
(d) Suit. Any damage award in a suit
brought under the FTCA is limited to
the amount claimed administratively
unless based on newly discovered
evidence. Plaintiff must prove the
increased demand is based on facts not
reasonably discoverable at the time of
the presentment of the claim or on
intervening facts relating to the amount
of the claim.
§ 750.21
Amendment of the claim.
Proper claim may be amended at any
time prior to settlement, denial, or the
filing of suit. An amendment must be
submitted in writing and must be signed
by the claimant or duly authorized agent
or legal representative. No finally
denied claim for which reconsideration
has not been requested under § 750.24
may be amended. Upon timely filing of
an amendment to a pending claim, the
DON shall have 6 months to make a
final disposition of the claim as
amended, and the claimant’s option to
file suit under 28 U.S.C. 2675(a) shall
not accrue until 6 months after the
presentment of an amendment.
§ 750.22
Settlement and payment.
(a) Settlement agreement. A
settlement agreement, signed by the
claimant, must be received prior to
payment in every case in which the
claim is either:
(1) Settled for less than the full
amount claimed, or
(2) The claim was not presented on a
Standard Form 95.
(b) Contents. Every settlement
agreement must contain language
indicating payment is in full and final
settlement of the applicable claim. Each
settlement agreement shall contain
language indicating acceptance of the
settlement amount by the claimant, or
his agent or legal representative, shall be
final and conclusive on the claimant, or
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his agent or legal representative, and
any other person on whose behalf or for
whose benefit the claim has been
presented, and shall constitute a
complete release of any claim against
the United States and against any
employee of the Government whose
conduct gave rise to the claim, by reason
of the same subject matter. All
settlement agreements shall contain a
recitation of the applicable statutory
limitation of attorney fees.
(c) Payment of the claim. Pursuant to
28 U.S.C. 2672 and in accordance with
28 CFR 14.6(a), the Secretary of the
Navy or designee, acting on behalf of the
United States may compromise or settle
any claim filed against the Navy under
the FTCA, provided any award,
compromise, or settlement by the Navy
in excess of $500,000.00 may be effected
only with the prior written approval of
the Attorney General or designee.
§ 750.23
Denial of the claim.
Final denial of an administrative
claim shall be in writing and shall be
sent to the claimant, his duly authorized
agent or legal representative by certified
or registered mail, with return receipt
requested. The notification of final
denial may include the reasons for the
denial. The notification shall include a
statement informing the claimant of his
right to file suit in the appropriate
Federal district court not later than 6
months after the date of the mailing of
the notification.
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§ 750.24
Reconsideration.
(a) Request. Prior to the
commencement of suit and prior to the
expiration of the 6-month period for
filing suit, a claimant or his duly
authorized agent or legal representative
may present a request for
reconsideration to the authority who
denied the claim. The request shall be
in writing and shall state the reasons for
the requested reconsideration. A request
for reconsideration is presented on the
date it is received by the DON.
(b) Proper basis. A request for
reconsideration shall set forth
claimant’s reasons for the request and
shall include any supplemental
supporting evidence or information.
Any writing communicating a desire for
reconsideration that reasonably appears
to have been presented solely for the
purpose of extending the statutory
period for filing suit, shall not be treated
as a request for reconsideration.
Claimant or claimant’s authorized
representative shall be notified
promptly that the writing is not
considered a proper request for
reconsideration.
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(c) Effect of presentment of request.
The presentment of a proper request for
reconsideration starts a new 6-month
period for the DON to act on the request
to reconsider. The claimant may not file
suit until the expiration of the new 6month period, or until after the date of
mailing of the final denial of the
request. Final denial of a request for
reconsideration shall be accomplished
in the manner prescribed in § 750.23.
§ 750.25 Suits Under the Federal Tort
Claims Act.
(a) Time limit for filing suit. A civil
action is barred unless suit is filed
against the United States not later than
6 months after the date of mailing of
notice of final denial of the claim. The
failure of DON to make final disposition
of a claim within 6 months after it is
presented shall, at the option of the
claimant any time thereafter, be deemed
a final denial of the claim.
(b) Venue. Venue is proper only in the
judicial district where the plaintiff
resides or where the act or omission
complained of occurred.
(c) Jury trial. There is no right to trial
by jury in suits brought under the
FTCA.
(d) Settlement. The Attorney General
of the United States, or designee, may
arbitrate, compromise, or settle any
action filed under the FTCA.
§ 750.26
Attorney fees.
Attorney fees are limited to 20 percent
of any compromise or settlement of an
administrative claim, and are limited to
25 percent of any judgment rendered in
favor of a plaintiff, or of any settlement
accomplished after suit is filed. These
amounts are to be paid out of the
amount awarded and not in addition to
the award.
Subpart C—Claims Under the Military
Claims Act (MCA)
§ 750.27
Scope of subpart C.
(a) General. This section prescribes
the substantive bases and special
procedural requirements for the
settlement of claims against the United
States for death, personal injury, or
damage, loss, or destruction of property
under the MCA:
(1) Caused by military personnel or
civilian employees of the DON
(hereinafter DON personnel). For the
purposes of this section, DON personnel
include all military personnel of the
Navy and Marine Corps, volunteer
workers, and others serving as
employees of the DON with or without
compensation, and members of the
National Oceanic and Atmospheric
Administration or of the Public Health
Service when serving with the DON.
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DON personnel does not include DON
contractors or their employees; or
(2) Incident to noncombat activities of
the DON. Claims for personal injury or
death of a member of the Armed Forces
or Coast Guard, or civilian officer or
employee of the U.S. Government
whose injury or death is incident to
service, however, are not payable.
(b) Territorial limitation. There is no
geographical limitation on the
application of the MCA, but if a claim
arising in a foreign country is cognizable
under the Foreign Claims Act, the claim
shall be processed under that statute.
(c) Suit. The MCA authorizes the
administrative settlement and payment
of certain claims. The United States has
not consented to be sued.
§ 750.28
Statutory authority.
10 U.S.C. 2733, as amended,
commonly referred to as the MCA.
§ 750.29
Claims payable.
(a) General. Unless otherwise
prescribed, a claim for personal injury,
death, or damage or loss of real or
personal property is payable under this
provision when:
(1) Caused by an act or omission
determined to be negligent, wrongful, or
otherwise involving fault of DON
personnel acting within the scope of
their employment; or
(2) Incident to noncombat activities of
the DON. A claim may be settled under
this provision if it arises from
authorized activities essentially military
in nature, having little parallel in
civilian pursuits, and in which the U.S.
Government has historically assumed a
broad liability, even if not shown to
have been caused by any particular act
or omission by DON personnel while
acting within the scope of their
employment. Activities incident to
combat, whether or not in time of war,
and use of DON personnel during civil
disturbances are excluded.
(b) Specific claims payable. Claims
payable by the DON under the MCA
shall include, but not be limited to:
(1) Registered or insured mail. Claims
for damage to, loss, or destruction, even
if by criminal acts, of registered or
insured mail while in the possession of
DON authorities are payable under the
MCA. This provision is an exception to
the general requirement that
compensable damage, loss, or
destruction of personal property be
caused by DON personnel while acting
within the scope of their employment or
otherwise incident to noncombat
activities of the DON. The maximum
award to a claimant under this section
is limited to that to which the claimant
would be entitled from the Postal
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Service under the registry or insurance
fee paid. The award shall not exceed the
cost of the item to the claimant
regardless of the fees paid. Claimant
may be reimbursed for the postage and
registry or insurance fees;
(2) Property bailed to the DON.
Claims for damage to or loss of personal
property bailed to the DON under an
express or implied agreement are
payable under the MCA, even though
legally enforceable against the U.S.
Government as contract claims, unless
by express agreement the bailor has
assumed the risk of damage, loss, or
destruction. Claims filed under this
paragraph may, if in the best interest of
the U.S. Government, be referred to and
processed by the Office of the General
Counsel, DON, as contract claims;
(3) Real property. Claims for damage
to real property incident to the use and
occupancy by the DON, whether under
an express or implied lease or
otherwise, are payable under the MCA
even though legally enforceable against
the DON as contract claims. Claims filed
under this paragraph may, if in the best
interest of the U.S. Government, be
referred to and processed by the Office
of the General Counsel, DON, as
contract claims;
(4) Property of U.S. military
personnel. Claims of U.S. military
personnel for property lost, damaged, or
destroyed under conditions in
§ 750.29(a) (1) and (2), occurring
incident to service, not payable under
the Military Personnel and Civilian
Employees’ Claims Act, are payable
under the MCA;
(5) Health care and Legal Assistance
Providers. Claims arising from the
personal liability of DON health care
and legal assistance personnel for costs,
settlements, or judgments for negligent
acts or omissions while acting within
the scope of assigned duties or
employment are payable under the
MCA. See § 750.41.
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§ 750.30
Claims not payable.
(a) Any claim for damage, loss,
destruction, injury, or death which was
proximately caused, in whole or in part,
by any negligence or wrongful act on the
part of the claimant, or his agent or
employee, unless the law of the place
where the act or omission complained
of occurred would permit recovery from
a private individual under like
circumstances, and then only to the
extent permitted by the law.
(b) Any claim resulting from action by
the enemy or resulting directly or
indirectly from any act by armed forces
engaged in combat.
(c) Any claim for reimbursement of
medical, hospital, or burial expenses to
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the extent already paid by the U.S.
Government.
(d) Any claim cognizable under:
(1) Military Personnel and Civilian
Employees’ Claims Act, as amended. 31
U.S.C. 3721.
(2) Foreign Claims Act. 10 U.S.C.
2734.
(3) 10 U.S.C. 7622, relating to
admiralty claims. See subpart G of this
part.
(4) Federal Tort Claims Act. 28 U.S.C.
2671, 2672, and 2674–2680.
(5) International Agreements Claims
Act. 10 U.S.C. 2734a and 2734b.
(6) Federal Employees’ Compensation
Act. 5 U.S.C. 8101–8150.
(7) Longshore and Harbor Workers’
Compensation Act. 33 U.S.C. 901–950.
(e) Any claim for damage to or loss or
destruction of real or personal property
founded in written contract [except as
provided in § 750.29(b)(1) and (2)].
(f) Any claim for rent of real or
personal property [except as provided in
§ 750.29(b) (1) and (2)].
(g) Any claim involving infringement
of patents.
(h) Any claim for damage, loss, or
destruction of mail prior to delivery by
the Postal Service to authorized DON
personnel or occurring due to the fault
of, or while in the hands of, bonded
personnel.
(i) Any claim by a national, or
corporation controlled by a national, of
a country in armed conflict with the
United States, or an ally of such
country, unless the claimant is
determined to be friendly to the United
States.
(j) Any claim for personal injury or
death of a member of the Armed Forces
or civilian employee incident to his
service.
(k) Any claim for damage to or loss of
bailed property when bailor specifically
assumes such risk.
(l) Any claim for taking private real
property by a continuing trespass or by
technical trespass such as overflights of
aircraft.
(m) Any claim based solely on
compassionate grounds.
(n) Any claim to which the exceptions
in 28 U.S.C. 2680 apply.
§ 750.31
Statute of limitations.
Claims against DON under the MCA
must be presented in writing within 2
years after they accrue. In computing
the 2 year period, the day the claim
accrues is excluded and the day the
claim is presented is included. If the
incident occurs in time of war or armed
conflict, however, or if war or armed
conflict intervenes within 2 years after
its occurrence, an MCA claim, on good
cause shown, may be presented within
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51381
2 years after the war or armed conflict
is terminated. For the purposes of the
MCA, the date of termination of the war
or armed conflict is the date established
by concurrent resolution of Congress or
by the President.
§ 750.32
Filing the claim.
(a) Who may file. Under the MCA,
specifically, the following are proper
claimants:
(1) U.S. citizens and inhabitants;
(2) U.S. military personnel and
civilian employees, except not for
personal injury or death incident to
service;
(3) Persons in foreign countries who
are not inhabitants;
(4) States and their political
subdivisions (including agencies);
(5) Prisoners of war for personal
property, but not personal injury; and
(6) Subrogees, to the extent they paid
the claim.
(b) Who may not file. (1) Inhabitants
of foreign nations for loss or injury
occurring in the country they inhabit;
and
(2) U.S. Government agencies and
departments.
(c) Where to file. The claim should be
submitted by the claimant to the Office
of the Judge Advocate General of the
Navy, Claims and Tort Litigation (Code
15), 1322 Patterson Avenue SE, Suite
3000, Washington Navy Yard, DC
20374–5066, or to Tort Claims Unit
Norfolk, 9620 Maryland Avenue, Ste.
205, Norfolk, VA 23434. Alternatively,
the claim may be submitted to the
commanding officer of the naval activity
involved, if it is known, or to the
commanding officer of any naval
activity, preferably the one within
which, or nearest to which, the incident
occurred.
(d) Claim form. A claim is correct in
form if it constitutes written notification
of an incident, signed by the claimant or
a duly authorized agent or legal
representative, with a claim for money
damages in a sum certain and sufficient
information so as to allow an
investigation to commence. A Standard
Form 95 is preferred. A claim should be
substantiated as described in § 750.19 of
this part in order to be paid.
(e) Amendment of claim. A proper
claim may be amended by the claimant
at any time prior to final denial or
payment of the claim. An amendment
shall be submitted in writing and signed
by the claimant or a duly authorized
agent or legal representative.
§ 750.33
Applicable law.
(a) Claims arising within the United
States or its territories, commonwealth,
or possessions. The law of the place
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where the act or omission occurred will
be applied in determining liability and
the effect of contributory or comparative
negligence on claimant’s right of
recovery.
(b) Claims arising within foreign
countries. (1) Where the claim is for
personal injury, death, or damage to or
loss or destruction of real or personal
property caused by an act or omission
determined to be negligent, wrongful, or
otherwise involving fault of DON
personnel acting within the scope of
their employment, liability of the
United States will be assessed under
general principles of tort law common
to the majority of American
jurisdictions.
(2) Apply the law of the foreign
country governing the legal effect of
contributory or comparative negligence
by the claimant to determine the relative
merits of the claim. If there is no foreign
law on contributory or comparative
negligence, apply traditional rules of
contributory negligence. Apply foreign
rules and regulations on operation of
motor vehicles (rules of the road) to the
extent those rules are not specifically
superseded or preempted by U.S.
Armed Forces traffic regulations.
(c) Principles applicable to all MCA
claims. (1) ‘‘Scope of employment’’ is
determined in accordance with Federal
law. Reported FTCA cases provide
guidance on this determination;
(2) Claims for emotional distress will
be considered only from the injured
person or members of the injured
person’s immediate family. Claims from
the injured person’s immediate family
will be considered only if such family
member was within the ‘‘zone of
danger’’ (i.e., immediate vicinity of the
incident) and the claimant substantiates
the claim with proof of the physical
manifestation(s) of the emotional
distress; and
(3) Claims under the MCA do not
include the principles of absolute
(strict) liability and punitive damages.
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§ 750.34
claims.
Measure of damages for property
(a) Where the property damage arises
in the United States or its territories,
commonwealth, or possessions,
determine the measure of damages
under the law of the place where the
incident occurred.
(b) Where the property damage arises
overseas, determine the measure of
damages under general principles of
American tort law, stated as follows:
(1) If the property has been or can be
economically repaired, the measure of
damages shall be the actual or estimated
net cost of the repairs necessary to
substantially restore the property to the
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condition that existed immediately prior
to the incident. Damages shall not
exceed the value of the property
immediately prior to the incident less
the value thereof immediately after the
incident. To determine the actual or
estimated net cost of repairs, the value
of any salvaged parts or materials and
the amount of any net appreciation in
value effected through the repair shall
be deducted from the actual or
estimated gross cost of repairs. The
amount of any net depreciation in the
value of the property shall be added to
such gross cost of repairs if such
adjustments are sufficiently substantial
in amount to warrant consideration.
Estimates of the cost of repairs shall be
based upon the lower or lowest of two
or more competitive bids, or upon
statements or estimates by one or more
competent and disinterested persons,
preferably reputable dealers or officials
familiar with the type of property
damaged, lost, or destroyed.
(2) If the property cannot be
economically repaired, the measure of
damages shall be the value of the
property immediately prior to the
incident less the value immediately
after the incident. Estimates of value
shall be made, if possible, by one or
more competent and disinterested
persons, preferably reputable dealers or
officials familiar with the type of
property damaged, lost, or destroyed.
(3) Loss of use of damaged property
which is economically repairable may,
if claimed, be included as an additional
element of damage to the extent of the
reasonable expense actually incurred for
appropriate substitute property, for such
period reasonably necessary for repairs,
as long as idle property of the claimant
was not employed as a substitute. When
substitute property is not obtainable,
other competent evidence such as rental
value, if not speculative or remote, may
be considered. When substitute property
is reasonably available but not obtained
and used by the claimant, loss of use is
normally not payable.
§ 750.35 Measure of damages in injury or
death cases.
(a) Injury or death arising in the
United States. When the injury or death
arises within the United States or its
territories, commonwealth, or
possessions, determine the measure of
damages under the law of the location
where the injury arises.
(b) Injury or death arising in a foreign
country. When the injury or death arises
in a foreign country and is otherwise
cognizable and meritorious under this
provision, damages will be determined
in accordance with general principles of
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American tort law. The following is
provided as guidance.
(1) Measure of damages for overseas
personal injury claims. Allowable
compensation includes reasonable
medical and hospital expenses
necessarily incurred, compensation for
lost earnings and services, diminution
of earning capacity, anticipated medical
expenses, physical disfigurement, and
pain and suffering.
(2) Wrongful death claims arising in
foreign countries.
(i) Allowable compensation includes
that in paragraph (b)(1) of this section,
burial expenses, loss of support and
services, loss of companionship,
comfort, society, protection, and
consortium, and loss of training,
guidance, education, and nurturing, as
applicable.
(ii) The claim may be presented by or
on behalf of the decedent’s spouse,
parent, child, or dependent relative.
Claims may be consolidated for joint
presentation by a representative of some
or all of the beneficiaries or may be filed
by a proper beneficiary individually.
§ 750.36 Delegations of adjudicating
authority.
(a) Settlement authority. (1) The
Secretary of the Navy may settle or deny
claims in any amount. The Secretary
may pay the first $100,000.00 and report
the excess to the Comptroller General
for payment under 31 U.S.C. 1304.
(2) The Judge Advocate General has
delegated authority to settle claims for
$100,000.00 or less.
(3) The Deputy Judge Advocate
General, the Assistant Judge Advocate
General (Civil Law), the Director, Claims
and Tort Litigation, and Head, Tort
Claims Branch, Claims and Tort
Litigation, have delegated authority to
settle claims for $25,000.00 or less, and
have denial authority in any amount.
(4) Individuals with settlement
authority under paragraph (a)(3) of this
section may delegate all or part of their
settlement authority. Such delegation
must be in writing.
(b) Appellate authority. Adjudicating
authorities have the same authority as
delegated in paragraph (a) of this section
to act upon appeals. No appellate
authority below the Secretary of the
Navy may deny an appeal of a claim it
had previously denied.
§ 750.37
Advance payments.
(a) Scope. This paragraph applies
exclusively to the payment of amounts
not to exceed $100,000.00 under 10
U.S.C. 2736 in advance of submission of
a claim.
(b) Statutory authority. Title 10 U.S.C.
2736 authorizes the Secretary of the
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Navy or designee to pay an amount not
in excess of $100,000.00 in advance of
the submission of a claim to or for any
person, or the legal representative of any
person, who was injured or killed, or
whose property was damaged or lost, as
the result of an accident for which
allowance of a claim is authorized by
law. Payment under this law is limited
to that which would be payable under
the MCA (10 U.S.C. 2733). Payment of
an amount under this law is not an
admission by the United States of
liability for the accident concerned. Any
amount so paid shall be deducted from
any amount that may be allowed under
any other provision of law to the person
or his legal representative for injury,
death, damage, or loss attributable to the
accident concerned.
(c) Officials with authority to make
advance payments. (1) The Secretary of
the Navy has authority to make advance
payments up to $100,000.00.
(2) The Judge Advocate General has
delegated authority to make advance
payments up to $100,000.00.
(3) The Director, Claims and Tort
Litigation and the Head, Tort Claims
Branch, Claims and Tort Litigation have
delegated authority to make advance
payments up to $25,000.00.
(d) Conditions for advance payments.
Prior to making an advance payment
under 10 U.S.C. 2736, the adjudicating
authority shall ascertain that:
(1) The injury, death, damage, or loss
would be payable under the MCA;
(2) The payee, insofar as can be
determined, would be a proper
claimant, or is the spouse or next of kin
of a proper claimant who is
incapacitated;
(3) The provable damages are
estimated to exceed the amount to be
paid;
(4) There exists an immediate need of
the person who suffered the injury,
damage, or loss, or of his family, or of
the family of a person who was killed,
for food, clothing, shelter, medical, or
burial expenses, or other necessities,
and other resources for such expenses
are not reasonably available;
(5) The prospective payee has signed
a statement that it is understood that
payment is not an admission by the
Navy or the United States of liability for
the accident concerned, and that the
amount paid is not a gratuity but shall
constitute an advance against and shall
be deducted from any amount that may
be allowed under any other provision of
law to the person or his legal
representative for injury, death, damage,
or loss attributable to the accident
concerned; and
(6) No payment under 10 U.S.C. 2736
may be made if the accident occurred in
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a foreign country in which the NATO
Status of Forces Agreement (4 U.S.C.
1792, TIAS 2846) or other similar
agreement is in effect and the injury,
death, damage, or loss:
(i) Was caused by a member or
employee of the DON acting within the
scope of employment; or
(ii) Occurred ‘‘incident to noncombat
activities’’ of the DON as defined in
§ 750.29(a)(2).
§ 750.38
Final disposition.
(a) Claimant to be notified. The
adjudicating authority shall notify the
claimant, in writing, of the action taken
on the claim.
(b) Payment. Claims approved for
payment require a settlement agreement,
signed by the claimant, in every case in
which the MCA claim is settled for less
than the full amount claimed or the
claim was not presented on an SF95.
The payment voucher will be forwarded
to such disbursing officer as may be
designated by the Comptroller of the
Navy for payment from appropriations
designated for that purpose. If the
Secretary of the Navy considers that an
MCA claim in excess of $100,000.00 is
meritorious and would otherwise be
covered by 10 U.S.C. 2733 and § 750.27
of this part, he may make a partial
payment of $100,000.00 and refer the
excess to the Comptroller General for
payment from appropriations provided
therefore.
(c) Final denial. A final denial, in
whole or in part, of any MCA claim
shall be in writing and sent to the
claimant, or his attorney or legal
representative, by certified or registered
mail, return receipt requested. The
notification of denial may include a
statement of the reason or reasons for
denial and that the claimant may
appeal. The notification shall also
inform the claimant:
(1) The title of the appellate authority
who will act on the appeal and that the
appeal will be addressed to the
adjudicating authority who last acted on
the claim.
(2) No form is prescribed for the
appeal, but the grounds for appeal
should be set forth fully.
(3) The appeal must be submitted
within 30 days of receipt by the
claimant of notice of action on the
claim.
§ 750.39
Appeal.
(a) A claim which is disapproved in
whole or in part may be appealed by the
claimant at any time within 30 days
after receipt of notification of
disapproval. An appeal shall be in
writing and state the grounds relied
upon. An appeal is not an adversary
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51383
proceeding and a hearing is not
authorized; however, the claimant may
obtain and submit any additional
evidence or written argument for
consideration by the appellate authority.
(b) Upon receipt, the adjudicating
authority examines the appeal,
determines whether the appeal complies
with this regulation, and reviews the
claims investigative file to ensure it is
complete. The claim, with the complete
investigative file and a memorandum of
law, will be forwarded to the appellate
authority for action. If the evidence in
the file, including information
submitted by the claimant with the
appeal, indicates the appeal should be
approved, the adjudicating authority
may treat the appeal as a request for
reconsideration.
(c) Processing of the appeal may be
delayed pending further efforts by the
adjudicating authority to settle the
claim. Where the adjudicating authority
does not reach a final agreement on an
appealed claim, it shall send the entire
claim file to the next higher settlement
authority, who is the appellate authority
for that claim.
(d) The appellate authority shall
notify the claimant in writing of the
determination on appeal; that such
determination constitutes the final
administrative action on the claim; and
there is no right to sue under the MCA.
§ 750.40
Cross-servicing.
(a) Single service claims
responsibility. See § 750.10 for
information about single-service claims
responsibility under DoDI 5515.08 of 11
Nov 2006.
(b) Claims settlement procedures.
Where a single service has been
assigned a country or area claims
responsibility, that service will settle
claims cognizable under the MCA under
the regulations of that service. The
forwarding command shall afford any
assistance necessary to the appropriate
service in the investigation and
adjudication of such claims.
§ 750.41 Payments related to certain
medical or legal malpractice claims.
(a) General. Requests for
reimbursement/indemnification of
costs, settlements, and judgments
cognizable under 10 U.S.C. 1089(f) [for
personal injury or death caused by any
physician, dentist, nurse, pharmacist,
paramedic, or other supporting
personnel (including medical and
dental technicians, nurse assistants, and
therapists)] or 10 U.S.C. 1054(f) [for
damages for injury or loss of property
caused by any attorney, paralegal, or
other member of a legal staff] while
acting as DON personnel will be paid if:
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(1) The alleged negligent or wrongful
actions or omissions arose in connection
with either providing health care
functions or legal services and within
the scope of employment; and
(2) Such personnel furnish prompt
notification and delivery of all process
served or received, and other
documents, information, and assistance
as requested; and cooperate in
defending the action on the merits.
(b) Requests for indemnification. All
requests for indemnification for
personal liability of DON personnel for
acts or omissions arising out of assigned
duties shall be forwarded to the Judge
Advocate General for action.
§ 750.42
Attorney fees.
Attorney fees not in excess of 20
percent of any settlement may be
allowed. Attorney fees so determined
are to be paid out of the amount
awarded and not in addition to the
award. These fee limitations shall be
incorporated in any settlement
agreement secured from a claimant.
Subpart D—Claims Under the Foreign
Claims Act (FCA)
§ 750.43
Scope of subpart D.
This section provides information
regarding the administrative processing
of claims against the United States
under the Foreign Claims Act (FCA).
Foreign claims are demands for
payment against the United States
presented by inhabitants of foreign
countries for property damage, personal
injury, or death occurring outside the
United States caused either by the
negligent or wrongful act or omission of
military members or civilian employees
of the U.S. Armed Forces or by the
noncombat activities of these forces in
foreign countries. The statutory purpose
of the FCA is to ‘‘promote and maintain
friendly relations through the prompt
settlement of meritorious claims’’ in
foreign countries.
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§ 750.44
Statutory authority.
(a) The statutory provisions of the
Foreign Claims Act (FCA) are at 10
U.S.C. 2734. The FCA authorizes filing,
investigating, processing, and settling
foreign claims under such regulations as
the service Secretary shall prescribe.
(b) The regulations implementing the
FCA are separate and distinct from the
procedures governing implementation
of the International Agreement Claims
Act (IACA), 10 U.S.C. 2734a and 2734b.
§ 750.45
Scope of liability.
(a) General. The Foreign Claims Act
and its implementing regulations should
be broadly construed to carry out the
statutory purpose. The United States
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generally accepts responsibility for
damage, injury, or death to local
inhabitants caused by either the
negligent or wrongful act or omission of
military members or civilian employees
of the U.S. Armed Forces or by the
noncombat activities of our armed
forces in foreign countries. Meritorious
claims should be settled fairly and
promptly, without regard to whether the
acts giving rise to them are mistaken,
negligent, intentional, or even criminal.
(b) Claims Payable. For a claim to be
payable under the FCA, both the
claimant and the incident giving rise to
the claim must be covered by the statute
(10 U.S.C. 2734).
(1) Covered claimants. The FCA
applies only to inhabitants of foreign
countries who are defined as persons,
corporations, or other Government or
business entities, whose usual place of
abode or activity is in a foreign country.
The claimant need not be an inhabitant
of the particular country in which the
claim arose. Examples of covered
claimants include foreign nationals
residing in a foreign country; foreign
nationals visiting or traveling in a
foreign country where they do not
reside; U.S. citizens residing in a foreign
country if they are inhabitants of a
foreign country and are not there as U.S.
Service members or civilian employees
(or their sponsored dependents) or as
U.S. civilian contractors performing
work pursuant to an agreement with the
U.S. Government; a corporation or other
organization doing business in a foreign
country on a permanent basis, even if
organized under U.S. law, provided that
the corporation or organization is not
providing work pursuant to a contract
with the U.S. Government; and foreign
governments and their political
subdivisions, including the equivalents
of State, county, and city governments,
unless excluded by waiver provisions of
an international agreement.
(2) Covered incidents. Unless
otherwise prescribed, a claim for
personal injury, death, or damage to or
loss of real or personal property may be
paid under these regulations if the
incident occurred outside the U.S. and
was caused by either the negligent or
wrongful act or omission of military
members or civilian employees of the
U.S. Armed Forces or caused by the
non-combat activities of these forces.
(3) Scope of Employment. As a
general rule, scope of employment of
the service member or civilian employee
that allegedly caused the loss is
immaterial. If, however, a claim arises
from the act of a U.S. employee who is
an indigenous person (local hire),
prisoner of war, or interned enemy
alien, scope of employment is a
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prerequisite to United States
responsibility. Claims arising from the
operation of a U.S. Armed Forces
vehicle by a U.S. employee who is an
indigenous person (local hire), prisoner
of war, or interned enemy alien are
cognizable and may be paid if local law
imposes liability on the owner of the
vehicle under the circumstances.
(c) Claims Not Payable. (1) Claims of
insurers and other subrogees.
(2) Claims of sponsored dependents
accompanying members and civilian
employees of the U.S. Armed Forces, or
U.S. national civilians employed by
either the U.S. Government or a civilian
contractor performing under an
agreement or contract with the U.S.
Government.
(3) Claims of foreign military
personnel suffering injury or death
incident to a joint military mission or
exercise with U.S. Armed Forces, or as
a result of the actions of a member or
civilian employee of the U.S. Armed
Forces, acting within the scope of
employment, unless a treaty specifically
provides for recovery.
(4) Claims of civilian employees of the
U.S., including local inhabitants,
injured incident to their employment.
Compensation for such injuries is
separately provided in Federal statutes
and agreements with foreign
governments.
(5) Claims of national governments or
their political subdivisions engaging in
combat with the United States or its
allies.
(6) Claims of a national or a
corporation controlled by a national of
a country engaging in combat with the
United States or its allies, unless it is
determined that the claimant is friendly.
(7) Claims resulting from combat
activities, except that claims arising
from an accident or malfunction
incident to aircraft operations, including
airborne ordnance, occurring while
preparing for, going to, or returning
from a combat mission may be paid.
(8) Claims previously paid or denied.
(9) Claims purely contractual in
nature.
(10) Claims involving private
contractual and domestic obligations of
individuals.
(11) Claims based solely on
compassionate grounds.
(12) Claims for paternity or
illegitimacy.
(13) Claims payable under other
Federal statutes.
(14) Claims for damage caused by
naval vessels, unless payment is
specifically authorized by the Office of
the Judge Advocate General of the Navy
(Code 11) in accordance with JAGINST
5800.7F, Chapter XI.
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§ 750.46
Statute of limitations.
An FCA claim must be presented in
writing to the appropriate U.S. military
authorities within 2 years of the date it
accrues. A claim accrues when the
claimant discovers or reasonably should
have discovered the personal injury or
property damage giving rise to the
claim. To compute the statutory time
period, exclude the day the claim
accrued and include the day the claim
was filed.
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§ 750.47
Filing a claim.
(a) Presentation of the Claim. An FCA
claim may be presented to the Office of
the Judge Advocate General, Tort Claims
Unit (TCU) Norfolk, 9620 Maryland
Ave, Suite 205, Norfolk, VA 23511–
2949. In the alternative, the claim may
be presented to any U.S. authority or to
foreign government authorities if
authorized under a Status of Forces
Agreement (SOFA) or other applicable
treaty or agreement. Claims shall be
promptly transferred to the appropriate
authorities for processing (see paragraph
(b) of this section).
(b) Appropriate Authorities—(1)
General. The commanding officer of the
organization or individual(s) whose
activities gave rise to the claim has
authority to process claims under these
regulations, subject to the restrictions of
any SOFA provisions or DODI 5515.18
(series) which assigns single-service
claims responsibility. A commander
who receives a claim that is not under
his cognizance shall forward the claim
promptly to the appropriate authority
and shall provide assistance necessary
to investigate and adjudicate the claim.
(2) RLSO EURAFSWA. The
Commanding Officer RLSO EURAFSWA
has authority to process all claims under
the Foreign Claims Act arising in their
Area of Responsibility. The
Commanding Officer RLSO EURAFSWA
is authorized to pay any claim
regardless of the amount claimed when
payment does not exceed $50,000.00
and has unlimited denial authority.
(3) International agreements. Article
VIII of the NATO SOFA and similar
provisions of SOFAs with individual
foreign countries may restrict the use of
the FCA by authorizing foreign
government officials to process claims
that would otherwise be cognizable
under the FCA. Therefore, consult the
pertinent directives of the area
commander to ensure proper
processing.
(4) Single-service claims
responsibility. DoDI 5515.08 (series)
assigns single-service claims
responsibility to individual military
departments for processing claims in
specified foreign countries. It also
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authorizes the Navy to settle claims for
less than $2,500 arising in foreign ports
visited by U.S. forces afloat, including
those arising in countries assigned to
the Departments of the Army and the
Air Force. If a claim arises in a country
not specifically assigned by either of
these references, the military service
component of the employee who caused
the damage/injury is responsible for
adjudication. Claims arising out of DON
activities in countries assigned to the
Army and the Air Force must be
forwarded promptly to the appropriate
military department and may not be
processed by DON entities.
(5) Claims under admiralty
jurisdiction. Admiralty claims arising in
foreign countries may be adjudicated
under the FCA provided that the claim
is not otherwise cognizable under
applicable admiralty statutes and
regulations. In particular, the reciprocity
provisions of the Public Vessels Act (46
U.S.C. 781 and 785) must be met. Prior
authorization by the Judge Advocate
General (OJAG Code 11) is required.
§ 750.48
The administrative claim.
A proper claim must be in writing and
filed on a Standard Form 95 or other
written notification of the incident. If a
letter or other written notification is
used, it must set forth the same basic
information required by Standard Form
95.
(a) Proper signature. The claim may
be signed by either the injured party or
an authorized agent. A claim signed by
an agent or legal representative will be
filed in the name of the claimant, show
the title or legal capacity of the person
signing, and be accompanied by
evidence of their authority to sign the
claim on behalf of the claimant.
(b) Sufficiently detailed. The claim
must describe the incident in sufficient
detail to give reasonable notice of the
time, place, circumstances, and
resulting harm so as to allow the DON
to investigate.
(c) Sum certain. A proper claim must
include a demand for a specific and
definite sum of money damages for
property damage, personal injury, or
death alleged to have occurred as a
result of the incident.
(d) Substantiation. See subpart B,
§ 750.19 for a detailed discussion of the
supporting documentation required to
substantiate a tort claim presented
against the United States under any of
the claims statutes. Supporting
documentation requirements will vary
according to the type of claim presented
(i.e., property damage, personal injury,
or wrongful death).
(e) Amending the claim. A claim may
be amended in writing at any time prior
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51385
to final settlement or denial and must be
signed by the claimant or an authorized
agent.
§ 750.49
Damages.
(a) General. The local laws, standards,
and customs, of the country where the
incident occurred control when
computing damages for personal injury,
death, or damage to property.
(b) Compensation. An appropriate
award is generally limited to reasonable
compensation for the injury, death, or
property damage, or loss only and does
not extend to payment of punitive
damages, interests, costs, attorneys fees,
or any other such charges, regardless of
whether they are allowed by local laws,
standards, or customs. In cases of
personal injury or death, compensation
may include medical expenses, pain
and suffering, burial expenses, loss of
society and companionship, and lost
income. In cases of permanent
disability, compensation may also
include diminished earning capacity
and costs of medical care in the future.
In cases of property damage,
compensation mayinclude cost of
repair, cost of replacement or
diminished value, and loss of use of the
property.
(c) Comparative fault. A claimant’s
negligence or wrongful act contributing
to the injury, death, or damage that is
the basis of the claim may bar the claim
entirely or diminish the claim
proportionately.
§ 750.50
Foreign Claims Commissions.
(a) Purpose. The purpose of a Foreign
Claims Commission (FCC) is to settle
meritorious claims fairly and promptly.
An FCC shall deny or pay (in full or in
part) all claims in accordance with its
adjudicating authority or, when
required under these regulations,
forward adjudication recommendations
to appropriate higher authorities.
(b) Authority to appoint. (1) All
commanding officers of the Navy and
Marine Corps have authority to appoint
an FCC, unless restricted by a
competent superior commander.
(2) For the purpose of the FCA and
these regulations, the following officers
are considered commanding officers:
The Judge Advocate General of the
Navy; Commanding Officer, RLSO
EURAFSWA; Chiefs of Naval Missions
(including Chiefs of the Naval Section of
Military Missions); Chiefs of Military
Assistance Advisory Groups (including
chiefs of the naval section of such
groups); and naval attache´s.
(c) Composition of the FCC. An FCC
shall be composed of either one or three
members. Members shall be
commissioned officers of the Navy or
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Marine Corps of sufficient grade and
experience to carry out the purpose of
the Commission. Whenever possible, at
least one member of the Commission
shall be a judge advocate. For detailed
discussion of the composition of an
FCC, the qualification of its members,
and the various levels of adjudicating
authority held by each type of
Commission (ranging from $5,000 to
$20,000 depending on the composition
of the Commission), see JAGINST
5800.7F, Chapter VIII (paragraph 0815).
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§ 750.51
Processing claims.
(a) Action by the Appointing
Authority. The cognizant commanding
officer [see § 750.47(b)(1)] is the
appointing authority for the FCC that
will adjudicate the claim. The staff
judge advocate for the cognizant
commanding officer is responsible for
providing advice, guidance, and review
to the commanding officer, the FCC, and
claims investigating officer on the
policies and procedures in these
regulations. The appointing authority
shall convene an appropriate
investigation or obtain the report of
investigation if one has already been
conducted, refer the claim with the
investigative report to the FCC for
adjudication, and take action or forward
it as appropriate.
(b) Action by the Claims Investigating
Officer. There is no formal procedure for
conducting an investigation of a foreign
claim. A transcript of witness testimony
is not required; a written summary of
the substance of any statement is
adequate. The formal rules of evidence
do not apply, and any relevant evidence
may be received to establish the
essential facts of the incident. A written
report of the investigation shall be
submitted to the appointing authority as
soon as practicable.
(c) Action by the FCC. The FCC will
review the claim and the investigation.
If appropriate, the FCC will negotiate
with the claimant for settlement of the
claim within the limits of the FCC’s
adjudicating authority. The FCC will
deny or pay the claim, in full or in part,
within the limits of the FCC’s denial or
payment authority ($20,000 max). When
an FCC recommends payment or denial
of a claim in excess of its denial or
payment authority, the original report
and all related documents shall be
forwarded to the appointing authority
for retention with a copy forwarded by
the appointing authority to OJAG Code
15 for further action.
§ 750.52
Action on forwarded claims.
When the FCC recommends payment
or denial of a claim in excess of the
FCC’s authority, the following officers
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may approve or disapprove the
recommendation and pay the claim, in
whole or in part, or return the claim
with instructions to the appointing
authority or the FCC:
(a) Claims up to $50,000.00. The
Deputy Judge Advocate General of the
Navy, the Assistant Judge Advocate
General (Civil Law), the Division
Director (Claims and Tort Litigation)
and for claims arising in his area of
responsibility, the Commanding Officer,
RLSO EURAFSWA. These officials have
unlimited denial authority.
(b) Claims from $50,000.00 to
$100,000.00. The Judge Advocate
General of the Navy.
(c) Claims in excess of $100,000.00.
The Secretary of the Navy.
§ 750.53
Reconsideration, appeal, and suit.
(a) Reconsideration. (1) A claim may
be reconsidered when it appears that the
original action was incorrect in law or
fact based on the evidence of record at
the time of the action or based on
evidence subsequently received. The
request for reconsideration must be
received by the FCC within 60 days of
the date of the denial letter unless good
cause is shown.
(2) Claimant’s request for
reconsideration should indicate the
legal or factual basis asserted as grounds
for relief.
(3) The claim may be reconsidered by
the original FCC, a successor FCC, or a
newly appointed FCC upon written
request from the claimant, upon the
original FCC’s initiative, or upon
direction by a superior officer
authorized to take action on the claim.
(4) If the FCC concludes that the
original action was incorrect, it will
modify the decision or forward a
supplemental recommendation through
the appointing authority for action. If
the FCC concludes that the original
action was correct, it will affirm the
decision, and forward a memorandum
for information through the appointing
authority.
(5) When action on reconsideration
has been completed and approved, the
appointing authority shall notify the
claimant that such action is final and
conclusive by law.
(b) Appeal. There is no right of appeal
under this statute.
(c) Suit. The United States has not
consented to be sued under this statute.
§ 750.54
Payment.
(a) Release. A settlement agreement
and release shall be obtained from the
claimant when payment of an award is
accepted. The settlement amount shall
be set forth in U.S. Dollars to be paid in
local currency at the currency exchange
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rate in effect at the time of payment. If
payment will be made by electronic
wire transfer, the necessary banking and
routing information should be included
on the settlement agreement.
(b) Advance Payments. Advance
payments may be paid under this
section.
(c) Currency. Due to Federal currency
restrictions, all payments under this
chapter shall be made in the local
currency of the country in which the
claim arose or in the currency of the
country where the claimant resides at
the time of such payment.
Subpart E—Claims Under the
Nonscope Claims Act (NSCA)
§ 750.55
Scope of subpart E.
This section provides information on
payment of claims against the United
States, not payable under any other
statute, for damages caused by the act or
omission, negligent, wrongful, or
otherwise involving fault, of DON
personnel acting outside the scope of
their employment or by latent defects in
certain Government equipment.
§ 750.56
Statutory authority.
Title 10 U.S.C. 2737 provides
authority for the administrative
settlement in an amount not to exceed
$1,000.00 of any claim against the
United States not cognizable under any
other provision of law for damage, loss,
or destruction of property or for
personal injury or death caused by
military personnel or a civilian official
or employee of a military department
incident to the use of a vehicle of the
United States at any place, or any other
property of the United States on a
Government installation. There is no
right to sue. There are no territorial
limitations and the Act has worldwide
application.
§ 750.57
Definitions.
(a) Civilian official or employee. Any
civilian employee of the DON paid from
appropriated funds at the time of the
incident.
(b) Vehicle. Includes every
description of carriage or other artificial
contrivance used, or capable of being
used, as a means of transportation on
land.
(c) Government installation. Any
Federal facility having fixed boundaries
and owned or controlled by the U.S.
Government. It includes both military
bases and nonmilitary installations.
§ 750.58
Claim procedures.
(a) The general provisions of subpart
A of this part shall apply in determining
what is a proper claim, who is a proper
claimant, and how a claim is to be
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processed under 10 U.S.C. 2737 and this
section.
(b) A claim is presented when the
DON receives from a claimant or the
claimant’s duly authorized agent,
written notification of a nonscope claim
incident accompanied by a demand for
money damages in a sum certain.
(c) A claimant may amend a claim at
any time prior to final action.
Amendments will be submitted in
writing and signed by the claimant or
the claimant’s duly authorized agent.
(d) Claims submitted under the
provisions of the FTCA or MCA shall be
considered automatically for an award
under this section when payment would
otherwise be barred because the DON
personnel were not in the scope of their
employment at the time of the incident.
If a tender of payment under this section
is not accepted by the claimant in full
satisfaction of the claim, no award will
be made, and the claim will be denied
pursuant to the rules applicable to the
statute under which it was submitted.
(e) Damages caused by latent defects
of ordinary, commercial type,
Government equipment that were not
payable under the MCA, Foreign Claims
Act, or FTCA are payable under this
section.
(f) Nonscope claims for damages
caused by local national DON
employees overseas are also payable
under this section if the injury was
caused by the use of Government
equipment.
(g) Payment may not be made on a
nonscope claim unless the claimant
accepts the amount offered in full
satisfaction of the claim and signs a
settlement agreement.
(h) Payment for nonscope claims
adjudicated by field commands will be
affected through their local disbursing
office by use of funds obtained from the
Judge Advocate General.
(i) If a nonscope claim is denied, the
claimant shall be informed of reasons in
writing and advised he may appeal in
writing to the Secretary of the Navy
(Judge Advocate General) provided the
appeal is received within 30 days of the
notice of denial. The provisions of
§ 750.38(c) of subpart C also apply to
denials of nonscope claims.
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§ 750.59
Statute of limitations.
(a) A claim must be presented in
writing within 2 years after it accrues.
It accrues at the time the claimant
discovers, or in the exercise of
reasonable care should have discovered,
the existence of the act or omission for
which the claim is filed.
(b) In computing time to determine
whether the period of limitation has
expired, exclude the incident date and
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include the date the claim was
presented.
§ 750.60
Officials with authority to settle.
The Judge Advocate General; Deputy
Judge Advocate General; Assistant Judge
Advocate General, Civil Law; Director,
Claims and Tort Litigation; and Head,
Tort Claims Branch, Claims and Tort
Litigation may settle a nonscope claim.
§ 750.61
Scope of liability.
(a) Subject to the exceptions in
§ 750.50 of specific claims not payable,
the United States shall not pay more
than $1,000.00 for a claim against the
United States, not cognizable under any
other provision of law, except Article
139, UCMJ.
(b) Article 139, UCMJ, 10 U.S.C. 939,
is not preemptive. The prohibition in 10
U.S.C. 2737 on paying claims ‘‘not
cognizable under any other provisions
of law’’ applies only to law authorizing
claims against the United States. Article
139 authorizes claims against service
members. See subpart H of this part.
§ 750.62
Claims not payable.
(a) A claim for damage, loss, or
destruction of property or the personal
injury or death caused wholly or partly
by a negligent or wrongful act of the
claimant or his agent or employee.
(b) A claim, or any part thereof, that
is legally recoverable by the claimant
under an indemnifying law or
indemnity contract.
(c) A subrogated claim.
§ 750.63
Measure of damages.
Generally, the measure-of-damage
provisions under the MCA are used to
determine the extent of recovery for
nonscope claims. Compensation is
computed in accordance with §§ 750.34
and 750.35 of subpart C, except damages
for personal injury or death under this
section shall not be for more than the
cost of reasonable medical, hospital, and
burial expenses actually incurred and
not otherwise furnished or paid for by
the United States.
Subpart F—Claims Under the
Personnel Claims Act (PCA)
§ 750.64
Scope of subpart F.
(a) This subpart describes the
procedures and substantive bases for
administrative settlement of claims
submitted by Department of the Navy
(DON) personnel and civilian
employees under the Military Personnel
and Civilian Employees’ Claims Act
(PCA), 31 U.S.C. 3721, and for the
administrative pursuit by DON of
recovery from carriers, contractors, or
insurers responsible for loss, damage or
destruction of such personal property.
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(b) The PCA is a gratuitous payment
statute that Congress intended to help
lessen the hardships of military life by
providing limited compensation for
certain types of property losses. The
PCA authorizes payment of claims for
the fair market value (FMV) of personal
property lost, damaged or destroyed
incident to service. This limited
compensation is not a substitute for
private insurance. Intangible property
and consequential and incidental
damages are not considered personal
property and are not payable under the
statute. ‘‘Fair market value’’ is the price
that an item would sell for from a
retailer who routinely sells the product
minus the depreciation based upon its
age or, if the item cannot be purchased,
what it cost to replace on the open
market, given its age and condition.
(c) The PCA and the provisions of this
enclosure preempt payment under any
other claims statute. Claims not
cognizable under the PCA may,
however, be cognizable under another
claims statute.
§ 750.65
Statutory authority.
(a) 31 U.S.C. 3721, The Military
Personnel and Civilian Employees’
Claims Act (PCA).
(b) 10 U.S.C. 2636a (Full Replacement
Value).
(c) 10 U.S.C. 2740 (Gap Legislation).
(d) 31 U.S.C. 3711—3720e, The
Federal Claims Collection Act.
(e) 49 U.S.C. 14706, The Carmack
Amendment to the Interstate Commerce
Act.
§ 750.66
Adjudicating authority.
(a) Responsibility for adjudicating
claims under the PCA and asserting and
settling claims against carriers,
contractors, or insurers rests with the
Personnel Claims Unit (PCU) located in
Norfolk, Virginia.
(b) The Judge Advocate General, the
Deputy Judge Advocate General, the
Assistant Judge Advocate General (Civil
Law), the Director, Claims and Tort
Litigation (OJAG Code 15), and the
Head, Affirmative and Personnel Claims
Branch (OJAG Code 15) have been
delegated authority to adjudicate claims
against the DON for $100,000.00 or less
and denial authority in any amount.
Any individual who has been
personally designated by the Director,
Claims and Tort Litigation, may
adjudicate claims up to $40,000.00 and
may deny claims in any amount.
§ 750.67
Proper claimants.
The definition of a proper claimant is
based on a claimant’s status at the time
the claim accrued, even if the member
or employee has separated from Federal
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service at the time the claim is filed.
The following are proper claimants:
(a) Navy and Marine Corps active
duty members and reservists on active
duty or active duty for training at the
time the claim accrued;
(b) Civilian employees of the Navy
and Marines who are paid from
appropriated funds;
(c) Non-appropriated Fund
Instrumentality (NAFI) employees
whose salaries are paid from nonappropriated funds;
(d) Department of Defense (DoD)
Education Activity (DoDEA) teachers;
and
(e) Authorized agents or legal
representatives of the claimant, who
provide a Power of Attorney and certain
relatives of a deceased claimant.
§ 750.68
Claims payable.
(a) Claims for loss of property are
compensable if the loss was incident to
service and possession of the property
was reasonable and useful under the
circumstances.
(1) Claims may be payable for loss of
property at assigned quarters or other
authorized places, i.e., non-household
goods (non-HHG) claims, if caused by
theft, vandalism, fire, flood, or other
unusual occurrence.
(2) Claims may also be payable for the
loss of property incurred during
transportation or storage under orders
and at Government expense, i.e.,
household goods (HHG) claims.
§ 750.69
Claims not payable.
(a) Any part of the loss that was
caused in any part by the negligence or
wrongful act of the claimant.
(b) Any part of the loss that is payable
by any available insurance, except for
the loss of HHG shipped or stored at
Government expense pursuant to the
Full Replacement Act. In this case, the
claimant would first file a claim with
the Transportation Service Provider
(TSP) in accordance with the contract
requirements. In cases where a
catastrophic event occurs during transit,
and the loss exceeds the TSP’s
maximum liability, the member must
then pursue through any available
insurance before filing a PCA claim.
(c) Any claim presented more than
two years from the date of accrual.
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§ 750.70
Statute of limitations.
A claim must be filed within two
years from the date it accrues unless it
accrues during armed conflict and good
cause is shown, in which case the time
limitation may be extended until the
armed conflict is terminated. A claim
accrues on the day the claimant knows
or should know of the loss—either the
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day of the incident or in the case of
HHG claims, the date of delivery.
§ 750.71
Filing a claim.
(a) Non-HHG claims as well as HHG
claims not electronically filed in the
USTRANSCOM-managed claims filing
system should be submitted on DD
Form 1842 (Claim for Loss of or Damage
to Personal Property Incident to Service)
accompanied by DD Form 1844
(Schedule of Property). However, any
writing will be accepted and considered
as long as it substantially describes the
facts necessary to support a claim
cognizable under these regulations. The
claim must be signed by a proper
claimant or by a person with
appropriate power of attorney (POA)
from a proper claimant. The claim must
be submitted to the PCU at the address,
email, or facsimile number indicated at
the U.S. Navy Judge Advocate General’s
Corps website at https://
www.jag.navy.mil/organization/code_
15.htm.
(b) HHG Claims electronically filed in
a USTRANSCOM-managed claims filing
system can be transferred to the PCU
electronically by selecting the ‘‘transfer
to MCO option available in the system.
(c) If a HHG claim is received by a
PCU within nine months after the date
of delivery, and the member has not first
filed with the TSP, the PCU will
transmit the claim to the TSP in order
to ensure the member meets the
requirements to qualify for FRV, unless
the claimant directs otherwise.
§ 750.72
Computation of payment.
The military services publish an
Allowance List-Depreciation Guide
(ALDG) that specifies rates of
depreciation and maximum payments
applicable to categories of property that
governs all PCU payments. For HHG,
the value of a loss is first determined
consistent with the ALDG and then
adjusted to reflect payments, repairs, or
replacement by TSPs or insurance
companies, or lost potential recoveries
except in very limited cases involving
HHG shipments where the PCU may pay
Full Replacement Value (FRV).
§ 750.73
Notice of decision.
Upon adjudication, the claimant will
be notified in writing of the amount
authorized and of the right to request
reconsideration of the decision.
§ 750.74
Reconsideration.
A request for reconsideration must be
submitted to the original adjudicating
authority within six months from the
date the claimant received the initial
claim adjudication.
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§ 750.75
Carrier recovery claims.
For Naval and Marine Corps
personnel whose PCA claims for HHGs
lost or damaged during shipment were
adjudicated and compensated by the
PCU, assertion of a claim against the
carrier to recover the amount paid is the
responsibility of the PCU unless the
shipment was arranged by the
Department of State (DOS). In those
moves, recovery is the responsibility of
DOS. Recovery efforts will be in
accordance with the Defense Personal
Property Program Claims and Liability
Business Rules.
Subpart G—Admiralty Tort Claims
§ 750.76
Scope of subpart G.
This part applies to admiralty tort
claims. These include claims against the
United States for damage caused by a
vessel in the naval service or by other
property under the jurisdiction of the
Navy, or damage caused by a maritime
tort committed by an agent or employee
of the Navy for which the Navy has
assumed an obligation to respond for
damage. Affirmative claims by the
United States for damage caused by a
vessel or floating object to Navy
property are covered under this part.
§ 750.77
Statutory authority.
28 U.S.C. 1333; 46 U.S.C. 740; 10
U.S.C. 7621–7623; 32 CFR 700.105 and
700.331.
§ 750.78
Organization.
(a) Administrative authority of the
Secretary of the Navy. The Secretary of
the Navy has administrative authority
for settlement and direct payment where
the amount paid does not exceed $
15,000,000 and where the matter is not
in litigation, of claims for damage
caused by naval vessels or by other
property under the jurisdiction of the
Navy, or damage caused by a maritime
tort committed by an agent or employee
of the Navy, and for towage or salvage
services rendered to naval vessels (10
U.S.C. 7622). The Secretary also has
authority to settle affirmative admiralty
claims for damage caused by a vessel or
floating object to property under the
jurisdiction of the Navy (10 U.S.C.
7623).
(b) Admiralty and Maritime Law
Division of the Office of the Judge
Advocate General. The Navy’s admiralty
tort claims are processed and
adjudicated in the Admiralty and
Maritime Law Division of the Office of
the Judge Advocate General. All
correspondence with the Admiralty and
Maritime Law Division should be
addressed to the Office of the Judge
Advocate General (Code 11), 1322
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Washington Navy Yard, DC 20374–
5066.
(c) Mission and policy. The primary
mission of the Admiralty and Maritime
Law Division is to effect prompt and
equitable settlements of admiralty
claims, both against and in favor of the
United States. The settlement procedure
has evolved to eliminate the expenses
and delays arising out of litigation and
to obtain results advantageous to the
financial interests of the United States.
Where settlements cannot be made,
litigation ensues in the Federal Courts.
The final test of whether a settlement is
justified is the probable result of
litigation. Settlements are therefore
considered and determined by the
probable results of litigation. The policy
of the Navy is to effect fair and prompt
settlements of admiralty claims
wherever legal liability exists.
(d) Admiralty tort claims. As
indicated in paragraphs (a) through (c)
of this section, the Admiralty and
Maritime Law Division primarily
handles admiralty tort claims. These are
claims for damage caused by vessels in
the naval service or by other property
under the jurisdiction of the Navy, or
damage caused by a maritime tort
committed by an agent or employee of
the Navy, and claims for damage caused
by a privately owned vessel to a vessel
or property of the Navy (affirmative
claims). The Admiralty and Maritime
Law Division also handles claims for
towage and salvage services rendered to
a vessel in the naval service.
(e) Admiralty contract claims.
Admiralty contract claims arising out of
the operations of the Military Sealift
Command (MSC) are handled by its
Office of Counsel. MSC is responsible
for the procurement of vessels and space
for the commercial ocean transportation
of DoD cargo, mail, and personnel. It is
also responsible for the maintenance,
repair, and alteration of Governmentowned vessels assigned to it. The Office
of Counsel, MSC, deals with the various
claims of a contract nature which arise
out of these operations. These include
claims for cargo damage, charter hire,
redelivery, general average, and claims
arising under MSC ship-repair contracts.
(f) Damage caused by Navy contract
stevedores. Office of Counsel, Naval
Supply Systems Command, has
cognizance of admiralty claims for
damage caused by Navy contract
stevedores. Under these stevedore
contracts, the stevedoring companies are
responsible for negligent acts of their
employees which result in vessel
damage. It is important that the extent
of any such damage be accurately
determined and promptly reported to
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the contracting officer having
cognizance of the particular stevedore
contract involved.
(g) Resolving conflicts. Admiralty tort
claims, such as collision, personal
injury, and death claims, are dealt with
by the Admiralty and Maritime Law
Division, irrespective of whether an
MSC vessel or other naval vessel is
involved. Whether any particular claim
is to be handled by JAG or by MSC,
therefore, is determined by the nature of
the claim. Cases may arise which could
be handled by either office. If doubt
exists, such matters should be reported
both to JAG and to MSC. An agreement
will then be reached between the
Admiralty and Maritime Law Division
and the Office of Counsel, MSC, as to
how the incident should be handled.
§ 750.79
Claims against the Navy.
(a) Settlement authority. 10 U.S.C.
8822 provides settlement authority for
damage caused by a vessel in the naval
service or by other property under the
jurisdiction of the DON; compensation
for towage or salvage service, including
contract salvage, rendered to a vessel in
the naval service or to other property of
the Navy; or damage caused by a
maritime tort committed by any agent or
employee of the DON or by property
under the jurisdiction of the DON. The
limit on the Secretary’s settlement
authority is payment of $15,000,000. A
claim which is settled for an amount
over $15,000,000 is certified to Congress
for payment. Section 8822 provides that
the Secretary may delegate his
settlement authority in matters where
the amount to be paid is not over
$1,000,000. Under the Secretary’s
delegation, settlements not exceeding
$300,000 may be effected by the Judge
Advocate General. Under the Secretary’s
delegation, settlements not exceeding
$250,000 may be effected by the Deputy
Assistant Judge Advocate General
(Admiralty and Maritime Law).
(b) Settlement is final. The legislation
specifically authorizes the Secretary to
settle, compromise, and pay claims. The
settlement, upon acceptance of payment
by the claimant, is final and conclusive
for all purposes.
(c) Settlement procedures. Where the
amount paid is over $300,000, after
agreement is reached with counsel or
claimants, the procedure is to prepare a
settlement recommendation for the
approval of the Secretary of the Navy.
When settlement has been approved, the
voucher required for effecting payment
is prepared. The settlement check is
then exchanged, in keeping with the
commercial practice, for an executed
release. In some situations, where the
exchange of documents is impracticable,
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51389
a claimant is requested to forward the
executed release by mail, on the
understanding that the release does not
become effective until the check is
received in payment. Claims settled
under 10 U.S.C. 8822 are paid out of
annual DoD appropriations.
(d) Limitation period. The Secretary’s
settlement authorization is subject to a
two-year limitation. This limitation is
not extended by the filing of claim nor
by negotiations or correspondence. A
settlement agreement must be reached
before the end of the two-year period. If
settlement is not accomplished, then the
claimant must file suit under the
appropriate statute to avoid the
limitation bar. The agreement reached
in negotiations must receive the
approval of the Secretary of the Navy or
his designee, depending on the amount
involved, prior to the expiration of the
two-year period.
(e) Matters in litigation. When suit is
filed, the matter comes within the
cognizance of the Department of Justice,
and the Secretary of the Navy is no
longer able to entertain a claim or to
make administrative settlement.
§ 750.80
Affirmative claims.
(a) Settlement authority. The Navy
has the same authority to settle
affirmative admiralty claims as it does
claims against the Navy. The statute
conferring this authorization is codified
in 10 U.S.C. 8823, and is the reciprocal
of 10 U.S.C. 8822 referred to in § 750.79.
(b) Scope. 10 U.S.C. 8823 is a tort
claims-settlement statute. It is not
limited to affirmative claims arising out
of collision, but embraces all instances
of damage caused by a vessel or floating
object to property of the United States
under the jurisdiction of the DON or for
which the DON has assumed an
obligation to respond. Perhaps the most
frequent instance is where a privately
owned vessel damages a Navy pier or
shore structure. To eliminate any issue
of whether the damaging
instrumentality was a vessel, the words
‘‘or floating object’’ were included.
(c) Statute of limitation. The United
States is subject to a three-year statute
of limitation when it asserts an
affirmative claim for money damages
grounded in tort. This limitation is
subject to the usual exclusions, such as
inability to prosecute due to war,
unavailability of the ‘‘res’’ or defendant,
and certain exemptions from legal
process (28 U.S.C. 2415, 2416).
(d) Litigation. 10 U.S.C. 8823 does not
apply to any claim where suit is filed.
If the Admiralty and Maritime Law
Division is unable to effect settlement,
the matter is referred to the Department
of Justice for the filing of a complaint
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against the offending party. Thereafter,
as in the case of adverse litigated claims,
the Navy has no further authority to
effect settlement.
§ 750.81
Salvage.
(a) Scope. This section relates to
salvage claims against or by the Navy for
compensation for towage and salvage
services, including contract salvage,
rendered to a vessel in the naval service
or to other property under the
jurisdiction of the DON, or for salvage
services rendered by the DON. Suits for
salvage may be maintained under the
Public Vessels Act, and salvage claims
are within the Secretary of the Navy’s
administrative-settlement authority
under 10 U.S.C. 8822. Salvage claims
against the Navy are reported to and
processed by the Judge Advocate
General (Admiralty and Maritime Law
Division). Both claims and suits for
salvage against the United States are
subject to the two-year limitation of the
Public Vessels Act and the Navy’s
settlement authority.
(b) Affirmative claims. Authorization
for the settlement of affirmative salvage
claims is contained in 10 U.S.C. 8703.
Assertion of such claims is handled in
the first instance by the Assistant
Supervisor of Salvage (Admiralty), USN,
Naval Sea Systems Command,
SUPSALV—00CL, 1333 Isaac Hull Ave.
SE, Stop 1070, Washington Navy Yard,
DC 20376–1070. Salvage claims are
referred to the Admiralty Division only
if the Assistant Supervisor of Salvage
(Admiralty) is unsuccessful in making
collection. Any money received in
settlement of affirmative salvage claims
is credited to appropriations for
maintaining salvage facilities by the
Navy, pursuant to 10 U.S.C. 8704.
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Scope of subpart G.
This chapter provides for assessments
against the pay of members of the naval
service in satisfaction of claims for
property damage caused under certain
circumstances. Claims for damage, loss,
or destruction of privately owned
property caused by a person or persons
in the naval service, are payable under
Article 139, UCMJ, only if such damage,
loss, or destruction is caused by riotous
conduct, willful conduct, or acts
showing such reckless or wanton
disregard of the property rights of others
that willful damage or destruction is
implied. Acts of the type punishable
under Article 109, UCMJ, are cognizable
under Article 139, UCMJ. Charges
against pay under these regulations
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§ 750.83
Statutory authority.
10 U.S.C. 939, commonly referred to
as Uniform Code of Military Justice,
Article 139: Redress of injuries to
property.
§ 750.84
Claims not cognizable.
The following claims are not
cognizable under this subpart:
(a) Claims resulting from simple
negligence;
(b) Claims of subrogees;
(c) Claims for personal injury or
death;
(d) Claims arising from acts or
omissions within the scope of
employment of the offender; and
(e) Claims for reimbursement for
damage, loss, or destruction of
Government property.
§ 750.85
Limitation on claims.
(a) Time limitations. A claim must be
submitted within 90 days of the
incident giving rise to it.
(b) Acts of property owner. When the
acts or omissions of the property owner,
his lessee, or agent were a proximate
contributing factor to the loss or damage
of the property, assessments will not be
made against members of the naval
service in excess of the amount for
which they are found to be directly
responsible, i.e., comparative
responsibility for the loss will be the
standard for determining financial
responsibility.
(c) Only direct damages considered.
Assessment will be made only for direct
physical damages to the property.
Indirect, remote, or inconsequential
damage will not be considered.
§ 750.86 Complaint by the injured party
and investigation.
Subpart H—Claims for Property
Damage Under Article 139, Uniform
Code of Military Justice
§ 750.82
shall be made only against the pay of
persons shown to have been principal
offenders or accessories.
(a) A claim shall contain a statement
setting forth the amount of the claim,
the facts and circumstances surrounding
the claim, and any other information
that will assist in the investigation and
resolution of the matter. When there is
more than one complaint resulting from
a single incident, each claimant must
file a claim separately and individually.
The claim shall be personally signed by
the claimant or his duly authorized
representative or agent.
(b) Where a complaint is received by
a commanding officer to whose
command the alleged offenders do not
report, he shall forward the claim and
other pertinent information about the
matter to the member’s commanding
officer. Where the command of the
alleged offenders cannot be determined,
the claim and supporting materials shall
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be forwarded to the Chief of Naval
Personnel or the Commandant of the
Marine Corps, as appropriate, for action.
(c) Once a complaint is received, the
responsible commanding officer will
convene an investigation into the
circumstances surrounding the claim,
gather all relevant information about the
matter (answering the who, what,
where, when, why, and how questions),
and make findings and opinions, as
appropriate, about the validity of the
claim under Article 139, UCMJ, and
these regulations. The investigation
shall determine the amount of damage
suffered by the property owner.
(d) The investigation shall make
recommendations about the amount to
be assessed against the pay of the
responsible parties. If more than one
person is found responsible,
recommendations shall be made about
the assessments against all individuals.
§ 750.87 Action where offenders are
members of one command.
(a) Action by commanding officer.
The commanding officer shall ensure
the alleged offenders are shown the
investigative report and are advised they
have 20 days within which to submit a
statement or additional information on
the incident. If the member declines to
submit information, he shall so state in
writing within the 20-day period. The
commanding officer shall review the
investigation and determine whether the
claim is properly within the provisions
of Article 139, UCMJ, and these
regulations, and whether the facts
indicate responsibility for the damage
on members of the command. If the
commanding officer finds the claim
payable under these regulations, he
shall fix the amount to be assessed
against the offenders.
(b) Review. If the commanding officer
has authority to convene a general
court-martial, no further review of the
investigation is required as to the
redress of injuries to property. If the
commanding officer does not have
general court-martial convening
authority, the investigation and the
commanding officer’s action thereon
shall be forwarded to the officer
exercising general court-martial
jurisdiction (OEGCMJ) over the
command for review and action on the
claim. That officer’s action on the claim
shall be communicated to the
commanding officer who will take
action consistent with the
determination.
(c) Charge against pay. Where the
amount does not exceed $5,000.00, the
amount ordered by the commanding
officer shall, as provided in the Navy
Comptroller Manual, be charged against
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the pay of the offenders and the
amounts so collected will be paid to the
claimant. Where the amount exceeds
$5,000.00, the claim, the investigation,
and the commanding officer’s
recommendation shall be forwarded for
review prior to checkage to
Headquarters, U.S. Marine Corps (JCA)
or the Judge Advocate General, as
appropriate. The amount charged in any
single month against the pay of
offenders shall not exceed one-half of
basic pay, as defined in paragraph
126h(2), Manual for Courts-Martial. The
action of the commanding officer in
ordering the assessment shall be
conclusive on any disbursing officer for
payment to the claimant of the damages
assessed, approved, charged, and
collected.
§ 750.88 Action where offenders are
members of different commands.
(a) Action by common superior. The
investigative report shall be forwarded
to the common superior exercising
general court-martial jurisdiction over
the commands to which the alleged
offenders are assigned. That officer shall
ensure the alleged offenders are shown
the investigative report and permitted to
comment on it, should they desire,
before action is taken on the claim. That
officer shall review the investigation
and determine whether the claim is
properly within the provisions of
Article 139, UCMJ, and these
regulations, and whether the facts
indicate responsibility for the damage
on members of his command. If the
claim is found payable under these
regulations, he shall fix the amount to
be assessed against the offenders and
direct the appropriate commanding
officers to take action accordingly.
(b) Forwarding to the Secretary of the
Navy (JAG). Where it is not practical or
possible to carry out the procedure set
forth in subpart A, the investigation or
investigations shall be forwarded to the
Secretary of the Navy (Judge Advocate
General) who will take action in the
matter. Commanding officers, in such a
situation, are not to make charges
against the pay of their members until
directed by the Secretary of the Navy
(Judge Advocate General).
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§ 750.89
Reconsideration and appeal.
(a) Reconsideration. The OEGCMJ
may, upon a receipt of a request for
reconsideration by either the claimant
or a member who has been assessed
pecuniary liability, reopen the
investigation or take any other action he
believes is necessary in the interests of
justice. If the OEGCMJ contemplates
acting favorably on the request, he will
provide all individuals interested in the
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claim with notice and an opportunity to
respond. The basis for any change will
be noted in the OEGCMJ’s decision.
(b) Appeal. In claims involving
$5,000.00 or less, a claimant or member
who has been assessed pecuniary
liability may appeal the decision to the
OEGCMJ. An appeal must be submitted
within 5 days of the receipt of the
OEGCMJ’s decision. Appeals will be
forwarded, via the OEGCMJ, to the
Judge Advocate General or
Headquarters, U.S. Marine Corps (JCA),
as appropriate, for review and final
action. In the event of an appeal, the
imposition of the OEGCMJ’s decision
will be held in abeyance pending final
action by the Judge Advocate General or
Headquarters, U.S. Marine Corps (JCA).
If it appears that good cause exists that
would make it impracticable for an
appeal to be submitted within 5 days,
the OEGCMJ may, in his discretion,
grant an extension of time, as
appropriate. His decision on extensions
is final and non-appealable.
Subpart I—Claims Involving NonAppropriated Fund (NAFI) Activities
and Their Employees
§ 750.90
Scope of subpart I.
This part explains how to process
claims for and against the United States
for property damage, personal injury, or
death arising out of the operation of
non-appropriated fund activities (NAFI).
A NAFI is a Federal agency within the
meaning of the FTCA if the NAFI is
charged with an essential function of
the DON and if the degree of control and
supervision by the Navy is more than
casual or perfunctory.
§ 750.91
Statutory authority.
To the extent sovereign immunity is
waived by the FTCA, 28 U.S.C. 1346(b),
2671–2672, 2674–2680, the United
States remains ultimately liable for
payment of NAFI claims under the
FTCA. DoD Directive 5515.6,
‘‘Processing Claims Arising out of
Operations of Nonappropriated Fund
Activities’’ (available at https://
www.esd.whs.mil/Portals/54/
Documents/DD/issuances/dodd/
551506p.pdf) establishes policy
governing the administrative processing
of claims arising out of the operation of
non-appropriated fund activities.
§ 750.92
Definitions.
(a) Non-appropriated-fund
instrumentality (NAFI). An
instrumentality of the Federal
Government established to generate and
administer non-appropriated funds for
programs and services contributing to
the mental and physical well-being of
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51391
DoD personnel and their dependents. A
NAFI is not incorporated under the laws
of any State and enjoys the privileges
and immunities of the Federal
Government.
(b) Non-appropriated funds. Funds
generated through the use and patronage
of NAFI’s, not including funds
appropriated by Congress.
(c) Employees of NAFIs. Personnel
employed by NAFIs whose salaries are
paid from non-appropriated funds.
§ 750.93 Participation in insurance
programs.
(a) Unlike all other tort claims against
the Government (which are paid by the
United States Treasury using
appropriated funds), NAFI claims are
paid by the NAFI whose employee
caused the damage. Accordingly, some
NAFI’s, such as flying clubs, carry
private commercial insurance to protect
them from claims for property damage
and personal injury attributable to their
operations. The Commandant of the
Marine Corps, the Chief of Naval
Personnel, and the Commander, Naval
Supply Systems Command determine
whether NAFI’s within their cognizance
shall carry liability insurance or become
self-insurers, in whole or in part.
(b) The Marine Corps requires
mandatory participation in the Morale,
Welfare and Recreation (MWR)
Composite Insurance Program by the
following operations: MWR operations
and retail services, food and hospitality,
recreation; and special NAFI activities
including flying clubs, rod and gun
clubs, Inter-service Rifle Fund, Marine
Corps Marathon and Dependent
Cafeteria Fund. The following
organizations may also participate in the
MWR Composite Insurance Program, if
desired: Child welfare centers, billeting
funds, chapel funds, and civilian
welfare funds.
(c) When the operations of a NAFI
result in property damage or personal
injury, the NAFI’s insurance carrier, if
any, should be given immediate written
notification. Notification should not be
postponed until a claim is filed. When
the activity is self-insured, the selfinsurance fund shall be notified of the
potential liability by the activity.
§ 750.94
Responsibility.
TCU Norfolk has cognizance over all
DON claims. Accordingly, TCU Norfolk
has primary responsibility for the
negotiation and settlement of NAFI
claims. Those NAFI’s which carry third
party insurance or are self-insured [e.g.,
Navy Exchange Service Command
(NEXCOM) and Marine Corps
Community Services (MCCS)] are
authorized to settle and pay their own
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claims. All other NAFI claims are
adjudicated by TCU Norfolk and
forwarded to the cognizant NAFI’s
headquarters for payment. Only TCU
Norfolk has the authority to deny a
NAFI claim.
§ 750.95
Negotiation.
(a) General. Claims from NAFIs
should be processed primarily through
procedures, regulations, and statutes
applicable to similar appropriated fund
activity claims.
(b) When the NAFI is insured. When
a NAFI is insured, the insurer or the
contracted third-party claims
administrator (TPA) will normally
conduct negotiations with claimants.
The TCU Norfolk shall monitor the
negotiations conducted by the insurer or
TPA. Monitoring is normally limited to
ascertaining that someone has been
assigned to negotiate, to obtain periodic
status reports, and to close files on
settled claims. Any dissatisfaction with
the insurer’s or TPA’s handling of the
negotiations should be referred directly
to the Judge Advocate General (Claims
and Tort Litigation) for appropriate
action. If requested by the insurer or
TPA, the TCU Norfolk may conduct
negotiations. If TCU Norfolk negotiates
a final settlement, however, request for
payment will be forwarded to the
insurer or TPA for payment.
Concurrence by the insurer or TPA in
the amount of the settlement is not
necessary.
(c) When the NAFI is not insured.
When there is no private commercial
insurer and the NAFI has made no
independent arrangements for
negotiations, the TCU Norfolk is
responsible for conducting negotiations.
When an appropriate settlement is
negotiated by the Navy, the
recommended award will be forwarded
to the NAFI for payment from nonappropriated funds.
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§ 750.96
Payment.
(a) Claims that can be settled for less
than $1,500.00. A claim not covered by
insurance (or not paid by the insurer)
that can be settled for $1,500.00 or less,
may be adjudicated by the TCU Norfolk
or single-service authority and
forwarded to the commanding officer of
the activity concerned or designee for
payment out of funds available to the
commanding officer. The TCU Norfolk
or single-service authority will obtain
the required release from the claimant.
(b) Claims that cannot be settled for
less than $1,500.00. A claim negotiated
by the Navy, not covered by insurance,
that is for more than $1,500.00 will be
forwarded to the cognizant nonappropriated fund (NAF) headquarters
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command for payment from its nonappropriated funds.
(c) When payment is possible under
another statute. In some cases, neither
the NAFI nor its insurer may be legally
responsible. In those instances when
there is no negligence, and payment is
authorized under some other statute,
such as the Foreign Claims Act, 10
U.S.C. 2734–2736, the claim may be
considered for payment from
appropriated funds or may be referred to
the TCU Norfolk for appropriate action.
(d) Other claims. A NAFI’s private
insurance policy is usually not available
to cover losses that result from some act
or omission of a mere participant in a
non-appropriated fund activity. In the
event the NAFI declines to pay the
claim, the file shall be forwarded to the
TCU Norfolk for determination.
§ 750.97
Denial.
Denial of a NAFI claim will begin the
six-month limitation on filing suit
against the United States for claims filed
under the FTCA. If a claim is denied, it
will be in writing and in accordance
with subparts A and B of part 750 of this
chapter, as appropriate. TCU Norfolk
should not deny claims that have
initially been processed and negotiated
by a non-appropriated fund activity, its
insurer, or TPA, until the activity or its
insurer has clearly stated in writing that
it does not intend to pay the claim and
has elected to defend the claim in court.
§ 750.98
Claims by employees.
(a) Property. Claims by employees of
NAFIs for loss, damage, or destruction
of personal property incident to their
employment shall be processed and
adjudicated in accordance with subparts
A or B of this part, as appropriate. The
claims will then be forwarded to the
appropriate NAFI for payment from
non-appropriated funds.
(b) Personal injury or death—(1)
Personal injury or death of citizens or
permanent residents of the United
States employed anywhere, or foreign
nationals employed within the United
States. Compensation is provided by the
Longshore and Harbor Workers’
Compensation Act (33 U.S.C. 901–950)
for employees of NAFIs who have
suffered injury or death arising out of,
and in the course of, their employment
(5 U.S.C. 8171). That Act is the
exclusive basis for Government liability
for such injuries or deaths that are
covered (5 U.S.C. 8173). A claim should
first be made under that Act if there is
a substantial possibility the injury or
death is covered under the Act’s
provisions.
(2) Personal injury or death of foreign
nationals employed outside of the
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continental United States. Employees
who are not citizens or permanent
residents, and who are employed
outside the continental United States,
may be protected by private insurance
of the NAFI or by other arrangements.
When a non-appropriated fund activity
has elected not to obtain insurance
coverage or to make other arrangements,
compensation is separately provided by
Federal statute, military regulations, and
agreements with foreign countries. See 5
U.S.C. 8172, DoD 1401.1–M, Personnel
Policy Manual for Non-appropriated
Fund Instrumentalities and
BUPERSINST 5300.10A, NAF Personnel
Manual.
Subpart J—Affirmative Claims
Regulations (Property Damage Claims)
§ 750.99
Scope of subpart J.
This subpart describes how to assert,
administer, and collect claims for
damage to or loss or destruction of
Government property through
negligence or wrongful acts.
The regulations published in 31 CFR
chapter IX control the collection and
settlement of affirmative claims. This
section supplements the material
contained in those regulations. Where
this section conflicts with the materials
and procedure published in 31 CFR
chapter IX, the latter controls.
§ 750.100
Statutory authority.
(a) General. All affirmative claims for
damage to or loss of Government
property in favor of the United States
are processed in accordance with the
Federal Collections Claims Act (31
U.S.C. 3711), as amended by the Debt
Collection Act of 1982, Public Law 97–
365, 96 Stat. 1749 (25 October 1982),
Public Law 101–552, 104 Stat. 2736 (15
November 1990) and the Debt Collection
Improvement Act of 1996, Public Law
104–134, 110 Stat. 1321, 1358 (26 April
1996).
(b) Statute of limitations. Subject to
specific provisions in other statutes,
there is a general 3-year statute of
limitations on affirmative Government
tort claims pursuant to 28 U.S.C.
2415(b).
§ 750.101
Claims that may be collected.
(a) Against responsible third parties
for damage to Government property, or
the property of non-appropriated fund
activities. Generally, the Government
does not seek payment from service
members and Government employees
for damages caused by their simple
negligence while acting within the
scope of their employment. Exceptions
to this general policy will be made
when the incident involves aggravating
circumstances.
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(b) For money paid or reimbursed by
the government for damage to a rental
car in accordance with the Joint Travel
Regulations (1 Mar 2018), Chapter 2,
para. 020209. Collection action shall be
taken against third parties liable in tort.
Collection action shall not be taken
against Government personnel who
rented the vehicle.
(c) Other claims. Any other claim for
money or property in favor of the
United States cognizable under the
Federal Claims Collections Act not
specifically listed in this section.
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§ 750.102 Assertion of claims and
collection procedures.
(a) General. The controlling
procedures for administrative collection
of claims are established in 31 CFR part
901.
(b) Officials authorized to pursue
claims. The Judge Advocate General; the
Deputy Judge Advocate General; any
Assistant Judge Advocate General; and
the Director, Claims and Tort Litigation
are authorized to pursue and collect all
affirmative claims in favor of the United
States, except in countries where
another service has single service
responsibility in accordance with DoDI
5515.08 (series).
(c) Dollar limitations. All of the
officers listed in paragraph (b) of this
section are authorized to compromise
and terminate collection action on
affirmative claims of $100,000.00 or
less.
(d) Determining liability. Liability
must be determined in accordance with
the law of the place in which the
damage occurred, including the
applicable traffic laws, elements of tort,
and possible defenses.
(e) Assertion of a claim. Assertion of
the claim is accomplished in accordance
with 31 CFR part 901 by mailing to the
tortfeasor a ‘‘Notice of Claim.’’ The
notice is to be mailed certified mail,
return receipt requested, and should
include the following information:
(1) Reference to the statutory right to
collect;
(2) A demand for payment or
restoration;
(3) A description of damage and
estimate of repair;
(4) A description of the incident,
including date and place; and
(5) The name, phone number, and
office address of the claims personnel to
contact.
(f) Full payment. When a responsible
party or insurer tenders full payment or
a compromise settlement on a claim, the
payment should be in the form of a
check or money order made payable to
‘‘United States Treasury.’’ The check or
money order shall then be forwarded to
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the disbursing officer serving the
collecting activity for deposit in
accordance with the provisions of the
Navy Comptroller Manual. For
collections for damages to real property,
the collection is credited to the account
available for the repair or replacement
of the real property at the time of
recovery. For damages to personal
property, the money is returned to the
general treasury.
(g) Installment payments. In general,
if the debtor is financially unable to pay
the debt in one lump sum, an
installment payment plan may be
arranged. Installment payments will be
required on a monthly basis and the size
of payment must bear a reasonable
relation to the size of the debt and the
debtor’s ability to pay. The installment
agreements should specify payments of
such size and frequency to liquidate the
Government’s claim in not more than 3
years. Installment payments of less than
$50.00 per month should be accepted
only if justified on the grounds of
financial hardship or for some other
reasonable cause. In all installment
arrangements, a confession of judgment
note setting out a repayment schedule
should be executed. See 31 CFR 901.8
for specific procedures.
(h) Damage to nonappropriated-fund
instrumentality (NAFI) property. Any
amount collected for loss or damage to
property of a NAFI shall be forwarded
to the headquarters of the
nonappropriated-fund activity for
deposit with that activity. In those
situations where the recovery involves
damage to both NAFI-owned property
and other Government property (e.g.,
destruction of an exchange building
resulting in damage to both the building
and the exchange-owned property
inside), recovery for the exchangeowned property shall be forwarded to
the NAFI. Recovery for building damage
shall be deposited in accordance with
§ 750.102(f).
(i) Damage to industrial-commercial
property. When a loss or cost of repair
has been borne by an industrialcommercial activity, payment shall be
deposited in the Navy Industrial Fund
of the activity in accordance with the
provisions of the Navy Comptroller
Manual.
(j) Replacement in kind or repair. The
responsible party, or insurer, may want
to repair or replace in kind damaged
property. The commanding officer or
officer in charge of the activity
sustaining the loss is authorized to
accept repair or replacement if, in his
discretion, it is considered to be in the
best interests of the United States.
(k) Release. A release of the claim
shall be executed when all repairs have
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51393
been completed to the Government’s
satisfaction, and/or when all repair bills
have been paid. If repair or replacement
is made, a notation shall be made in any
investigation or claims file.
§ 750.103 Waiver, compromise, and
referral of claims.
(a) Officials authorized to compromise
claims. The officers identified in
§ 750.89(b) may collect the full amount
on all claims, and may compromise,
execute releases or terminate collection
action on all claims of $20,000.00 or
less. Collection action may be
terminated for the convenience of the
Government if the tortfeasor cannot be
located, is found to be judgment-proof,
has denied liability, or has refused to
respond to repeated correspondence
concerning legal liability involving a
small claim. A termination for the
convenience of the Government is made
after it is determined that the case does
not warrant litigation or that it is not
cost-effective to pursue recovery efforts.
(b) Claims over $100,000.00. Claims
in excess of $100,000.00 may not be
compromised for less than the full
amount or collection action terminated
without approval from the DOJ.
Subpart K—Affirmative Claims
Regulations (Medical Care Recovery
Act and Claims Asserted Pursuant to
the Third Party Payers Act)
§ 750.104
Scope of subpart K.
(a) This part describes the assertion
and collection of claims for medical care
against third parties who are legally
liable for the injury or disease, as well
as collection through insurance
companies.
(b) The DON is entitled to recover the
costs of medical care furnished to Navy
and Marine Corps active duty
personnel, retirees or their dependents,
or any other person when appropriate,
and third-party tort or contract liability
exists for payment for medical expenses
resulting from the injury or disease.
Claims are asserted for treatment
provided at a military treatment facility
(MTF) or paid for by the DON at a
facility that does not belong to the
Federal Government.
§ 750.105
Statutory authority.
(a) The Medical Care Recovery Act
(MCRA), 42 U.S.C. 2651–2653, as
amended by the National Defense
Authorization Act for Fiscal Year 1997,
Public Law 104–201, 10 U.S.C. 1075,
110 Stat. 2422, authorizes the
Government to recover the reasonable
value of treatment provided to an
eligible beneficiary from any third party
who is legally liable for the injury or
disease.
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Federal Register / Vol. 85, No. 162 / Thursday, August 20, 2020 / Proposed Rules
(b) The Third Party Payers Act
(TPPA), 10 U.S.C. 1095 and 10 U.S.C.
1095b, allows for the collection of the
costs of medical care to eligible
beneficiaries from a third party, such as
an insurance company.
(c) 10 U.S.C. 1079a (CHAMPUS:
Treatment of refunds and other amounts
collected) authorizes the recovery of
medical care costs expended to eligible
beneficiaries.
§ 750.106
Responsibility.
Responsibility for investigating,
asserting, and collecting DON MCRA/
TPPA claims or, if required, properly
forwarding claims to other Federal
departments or agencies rests with
Claims and Tort Litigation Division’s
Medical Care Recovery Units (MCRUs)
located in Norfolk, VA; San Diego, CA;
and Pensacola, FL, and Regional Legal
Service Office Europe, Africa, and
Southwest Asia (RLSO EURAFSWA) for
MCRA/TPPA claims arising in their area
of responsibility. All other claims
arising overseas and outside the RLSO
EURAFSWA will be asserted by either
MCRU Norfolk or MCRU San Diego
depending upon the country of origin.
jbell on DSKJLSW7X2PROD with PROPOSALS
§ 750.107
Claims asserted.
(a) The MCRA creates an independent
cause of action for the United States and
the Government can administratively
assert and litigate MCRA claims in its
own name and for its own benefit.
Procedural defenses, such as a failure of
the injured party (IP) to properly file
and/or serve a complaint on the third
party, that may prevent the IP from
recovering damages, do not prevent the
United States from pursuing its own
action to recover the value of medical
treatment provided to the IP. In creating
an independent right for the
Government, the MCRA prevents a
release given by the IP to a third party
from affecting the Government’s claim.
(b) When recovery under the MCRA is
not possible because no third-party tort
liability exists, the TPPA provides the
Government an alternate means for
recovery. Under the TPPA, claims are
asserted by the United States as a third
party beneficiary of an insurance
contract of the IP. This includes but is
not limited to:
(1) Medical Payments Coverage in an
automobile or homeowner’s policy;
(2) Uninsured/Underinsured Coverage
in an automobile policy;
(3) No-fault coverage in an automobile
policy; and
(4) On-the-job injury compensable
under a worker’s employment contract
at the job.
(c) Determination of Amount
Asserted.
VerDate Sep<11>2014
15:51 Aug 19, 2020
Jkt 250001
(1) MTF costs. The costs of care
provided by the MTF are based on
Diagnostic Related Group (DRG) rates or
a Relative Value Unit (RVU). Rates are
established by the Office of Management
and Budget (OMB) and/or the DOD and
published annually in the Federal
Register. The MCRU must ensure all
MTF bills include only expenses related
to the injury and include all charges for
care provided by or paid for by the
MTF.
(2) Defense Health Agency (DHA)
costs. The costs of care provided by
DHA are the actual amount that DHA
paid even if this amount exceeds the
amount that the civilian hospital billed
DHA.
(d) The DON will not assert claims
against the following:
(1) Any department, agency or
instrumentality of the United States,
including self-insured NAF activities
but not private associations (e.g., flying
clubs or equestrian clubs);
(2) Against a service member, a
dependent family member of a service
member, or an employee of the United
States who is injured as a result of his/
her own willful or negligent acts or the
willful or negligent acts of others (the
United States does assert claims,
however, against insurance policies that
cover the IP);
(3) The employer of a merchant
seaman who receives medical care in a
Federal facility pursuant to 42 U.S.C.
249; and
(4) For care provided to a veteran by
the VA when the care is for a serviceconnected disability. The United States
will, however, claim for the reasonable
value of care provided a member before
transfer to a VA hospital or in those
instances where TRICARE pays a VA
hospital directly.
§ 750.108
Assertion of claims.
(a) The MCRUs will promptly assert
claims by mailing a notice of claim or
demand for payment to identified thirdparty tortfeasors and/or their insurers or
to the insurer for any third party
beneficiary coverage. The notice of
claim or demand will outline the facts
and cite the applicable Federal statutes.
(b) The MCRU will attempt to
coordinate collection of the claim with
any action brought by the IP.
(1) When the IP is represented by
counsel, the MCRU will request to have
the IP’s attorney agree in writing to
protect the Government’s interests.
(2) 5 U.S.C. 3106 prohibits the
payment of a fee for assertion or
collection of the Government’s claim.
As such, attorney’s fees and costs will
not be paid by the Government or
PO 00000
Frm 00027
Fmt 4702
Sfmt 4702
computed on the basis of the
Government’s portion of recovery.
(3) If the IP is not pursuing a claim or
has expressly refused to include the
Government’s claim, the MCRU will
pursue independent collection.
(c) Waiver or compromise of the claim
may be appropriate when the IP, his
attorney, or a lien resolution group files
a written request and it is determined
that collection of the full amount of the
claim would result in undue hardship to
the IP.
(1) In assessing undue hardship, the
following factors shall be considered:
Permanent disability or disfigurement;
lost earning capacity; out-of-pocket
expenses; financial status; amount of
settlement or award from a third-party
tortfeasor or contract insurer; and any
other factors that objectively indicate
that fairness requires waiver.
(2) Only the Department of Justice
may authorize the compromise or
waiver of a MCRA/TPPA claim in
excess of $300,000.00. The Director and
the Head, Affirmative and Personnel
Claims Branch, Claims and Tort
Litigation (OJAG Code 15) may
authorize the compromise or waiver of
a MCRA/TPPA claim up to $300,000.00.
The Director and the Head, Affirmative
and Personnel Claims Branch, may
further delegate authority to personnel
in the MCRUs.
D.J. Antenucci,
Commander, Judge Advocate General’s Corps,
U.S. Navy, Federal Register Liaison Officer.
[FR Doc. 2020–15408 Filed 8–19–20; 8:45 am]
BILLING CODE 3810–FF–P
ENVIRONMENTAL PROTECTION
AGENCY
40 CFR Part 152
[EPA–HQ–OPP–2019–0701; FRL–10009–23]
RIN 2070–AK56
Notification of Submission to the
Secretary of Agriculture; Pesticides;
Proposal To Add Chitosan to the List
of Active Ingredients Permitted in
Exempted Minimum Risk Pesticide
Products
Environmental Protection
Agency (EPA).
ACTION: Notification of submission to
the Secretary of Agriculture.
AGENCY:
This document notifies the
public as required by the Federal
Insecticide, Fungicide, and Rodenticide
Act (FIFRA) that the EPA Administrator
has forwarded to the Secretary of the
United States Department of Agriculture
SUMMARY:
E:\FR\FM\20AUP1.SGM
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Agencies
[Federal Register Volume 85, Number 162 (Thursday, August 20, 2020)]
[Proposed Rules]
[Pages 51374-51394]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 2020-15408]
=======================================================================
-----------------------------------------------------------------------
DEPARTMENT OF DEFENSE
Department of the Navy
32 CFR Part 750
[Docket ID: USN-2018-HQ-0012]
RIN 0703-AB22
General Claims Regulations
AGENCY: Department of the Navy, Department of Defense.
ACTION: Proposed rule.
-----------------------------------------------------------------------
SUMMARY: This proposed rule updates and consolidates the Department of
the Navy (DON) regulations concerning General Claims Regulations, and
the processes and procedures to be used for filing specific claims
against and in favor of the DON. Upon completion of this consolidation,
the obsolete parts will be removed from the CFR.
DATES: Consideration will be given to all comments received by
September 21, 2020.
ADDRESSES: You may submit comments, identified by docket number and/or
RIN number and title, by any of the following methods:
Federal Rulemaking Portal: https://www.regulations.gov. Follow the
instructions for submitting comments.
Mail: DoD cannot receive written comments at this time due to the
COVID-19 pandemic. Comments should be sent electronically to the docket
listed above.
Instructions: All submissions received must include the agency name
and docket number or Regulatory Information Number (RIN) for this
document. The general policy is for submissions to be made available
for public viewing at https://www.regulations.gov without change,
including any personal identifiers or contact information.
FOR FURTHER INFORMATION CONTACT: Mr. Randy Russell, Claims and Tort
Litigation Division (Code 15), Office of the Judge Advocate General,
1322 Patterson Avenue SE, Washington Navy Yard, DC 20374, telephone:
202-685-4600.
SUPPLEMENTARY INFORMATION:
Purpose of the Proposed Rule
The revision clarifies the rule for public use and consolidates DON
claims information into one part.
Revisions Implemented by This Rule
This rule consolidates 32 CFR parts 751, 752, 755, 756, and 757 and
their underlying subparts into 32 CFR part 750. Primary revisions are
deletion of unnecessary information. Although there are no substantive
changes, many of the sub-parts were clarified to allow a better
understanding of the claims process.
Legal Authority for This Program
The Military Personnel and Civilian Employees' Claims Act (PCA) is
codified at 31 U.S.C. 3721. Claims for Redress of injuries to property
by service members are codified at Article 139 of the Uniform Code of
Military Justice, 10 U.S.C. 939. Additional claims statutes are
codified as follows: The Federal Claims Collection Act (FCCA): 31
U.S.C. 3711; Third Party Payers' Act (TPPA), 10 U.S.C. 1095; and
Medical Care Recovery Act (MCRA), 42 U.S.C. 2651(a). DON's General
Claims Regulations for implementing the Federal Tort Claims Act (FTCA):
28 U.S.C. 1346(b), 2671-2672, and 2674-2680; Military Claims Act (MCA),
10 U.S.C. 2733; and the Non-Scope Claims Act (NSCA), 10 U.S.C. 2737.
Regulatory History
The DON last updated 32 CFR parts 750 and 751 on October 15, 2008;
part 752 on October 3, 2007; and parts 756 and 757 on September 19,
2007. The internal Navy document, JAG Instruction 5890.1A,
``Administrative Processing and Consideration of Claims on Behalf and
Against the United States'' (available at https://www.jag.navy.mil/library/instructions/5890_1a.pdf), was originally promulgated on
January 17, 1991, and updated in February 1992. The JAG Instruction was
slightly revised in 2005 with changes to the rule in 2007.
Regulatory Analyses
Regulatory Planning and Review Executive Orders 12866, 13563, and 13771
Executive Order 12866 (Regulatory Planning and Review) and
Executive Order 13563 (Improving Regulation and Regulatory Review)
direct agencies to assess the costs and benefits of available
regulatory alternatives and, if regulation is necessary, to select
regulatory approaches that maximize net benefits (including potential
economic, environmental, public health and safety effects, distributive
impacts, and equity). Executive Order 13563 emphasizes the importance
of quantifying both costs and benefits, of reducing costs, of
harmonizing rules, and of promoting flexibility. Executive Order 13771
(Reducing Regulation and Controlling Regulatory Costs) directs agencies
to reduce regulation and control regulatory costs and provides that
``for every one new regulation
[[Page 51375]]
issued, at least two prior regulations be identified for elimination,
and that the cost of planned regulations be prudently managed and
controlled through a budgeting process.'' This rule is not significant
under Executive Order (E.O.) 12866, ``Regulatory Planning and Review;''
therefore, E.O. 13771, ``Reducing Regulation and Controlling Regulatory
Costs'' does not apply.
Congressional Review Act (5 U.S.C. 801, et seq.)
Under the Congressional Review Act, a major rule may not take
effect until at least 60 days after submission to Congress of a report
regarding the rule. A major rule is one that would have an annual
effect on the economy of $100 million or more or have certain other
impacts. This rule is not a major rule under the Congressional Review
Act.
Impact on Small Entities
The Regulatory Flexibility Act of 1980, 5 U.S.C. 601-612, as
amended, requires Federal agencies to consider the potential impact of
regulations on small entities during rulemaking. The term ``small
entities'' comprises small businesses, not-for-profit organizations
that are independently owned and operated and are not dominant in their
fields, and governmental jurisdictions with populations of less than
50,000. This rule will not impose any impacts on any entities. This
means that there will be no economic impacts on any entities.
Therefore, the DoD under 5 U.S.C. 605 certifies that this rule will not
have a significant economic impact on a substantial number of small
entities.
Unfunded Mandates Reform Act
Section 202 of the Unfunded Mandates Reform Act of 1995 requires
that agencies assess anticipated costs and benefits before issuing any
rule whose mandates require spending in any one year of $100M in 1995
dollars, updated annually for inflation. That threshold level is
currently approximately $140M. This rule will not mandate any
requirements for State, local, or tribal governments or the private
sector.
Collection of Information
It has been determined this regulation does not impose reporting or
recordkeeping requirements under the Paperwork Reduction Act of 1995.
Federalism
Executive Order 13132 establishes certain requirements that an
agency must meet when it promulgates a proposed rule (and subsequent
final rule) that imposes substantial direct requirement costs on State
and local governments, preempts State law, or otherwise has Federalism
implications. This proposed rule does not have federalism implications
that warrant the preparation of a federalism assessment in accordance
with Executive Order 13132.
List of Subjects in 32 CFR Part 750
Claims, Government employees, Health care, Military law, Military
personnel, Vessels.
Accordingly, 32 CFR part 750 is proposed to be revised to read as
follows:
PART 750--GENERAL CLAIMS REGULATIONS
Subpart A--General Provision for Claims
Sec.
750.1 Scope of subpart A.
750.2 Statutory authority.
750.3 Claims: In general.
750.4 Claims: Proper claimants.
750.5 Claims: Presentment.
750.6 Claims: Responsibility.
750.7 Claims: Settlement and release.
750.8 Claims: Payment.
750.9 Claims: Denial.
750.10 Claims: Single service responsibility.
Subpart B--Claims Under the Federal Tort Claims Act (FTCA)
750.11 Scope of subpart B.
750.12 Statutory authority.
750.13 Exclusiveness of remedy.
750.14 Definitions.
750.15 Scope of liability.
750.16 Statute of limitations.
750.17 Delegations of adjudicating authority.
750.18 The administrative claim.
750.19 Information and supporting documents.
750.20 Damages.
750.21 Amendment of the claim.
750.22 Settlement and payment.
750.23 Denial of the claim.
750.24 Reconsideration.
750.25 Suits under the Federal Tort Claims Act.
750.26 Attorney fees.
Subpart C--Claims Under the Military Claims Act (MCA)
750.27 Scope of subpart C.
750.28 Statutory authority.
750.29 Claims payable.
750.30 Claims not payable.
750.31 Statute of limitations.
750.32 Filing the claim.
750.33 Applicable law.
750.34 Measure of damages for property claims.
750.35 Measure of damages in injury or death cases.
750.36 Delegations of adjudicating authority.
750.37 Advance payments.
750.38 Final disposition.
750.39 Appeal.
750.40 Cross-servicing.
750.41 Payments related to certain medical or legal malpractice
claims.
750.42 Attorney fees.
Subpart D--Claims Under the Foreign Claims Act (FCA)
750.43 Scope of subpart D.
750.44 Statutory authority.
750.45 Scope of liability.
750.46 Statute of limitations.
750.47 Filing a claim.
750.48 The administrative claim.
750.49 Damages.
750.50 Foreign Claims Commissions.
750.51 Processing claims.
750.52 Action on forwarded claims.
750.53 Reconsideration, appeal, and suit.
750.54 Payment.
Subpart E--Claims Under the Nonscope Claims Act (NSCA)
750.55 Scope of subpart E.
750.56 Statutory authority.
750.57 Definitions.
750.58 Claim procedures.
750.59 Statute of limitations.
750.60 Officials with authority to settle.
750.61 Scope of liability.
750.62 Claims not payable.
750.63 Measure of damages.
Subpart F--Claims Under the Personnel Claims Act (PCA)
750.64 Scope of subpart F.
750.65 Statutory authority.
750.66 Adjudication authority.
750.67 Proper claimants.
750.68 Claims payable.
750.69 Claims not payable.
750.70 Statute of limitations.
750.71 Filing a claim.
750.72 Computation of payment.
750.73 Notice of decision.
750.74 Reconsideration.
750.74 Carrier recovery claims.
Subpart G--Admiralty Tort Claims
750.76 Scope of subpart G.
750.77 Statutory authority.
750.78 Organization.
750.79 Claims against the Navy.
750.80 Affirmative claims.
750.81 Salvage.
Subpart H--Claims for Property Damage Under Article 139, Uniform Code
of Military Justice
750.82 Scope of subpart H.
750.83 Statutory authority.
750.84 Claims not cognizable.
750.85 Limitation on claims.
750.86 Complaint by the injured party and investigation.
750.87 Action where offenders are members of one command.
750.88 Action where offenders are members of different commands.
750.89 Reconsideration and appeal.
Subpart I--Claims Involving Non-Appropriated Fund (NAFI) Activities and
Their Employees
750.90 Scope of subpart I.
750.91 Statutory authority.
750.92 Definitions.
[[Page 51376]]
750.93 Participation in insurance programs.
750.94 Responsibility.
750.95 Negotiation.
750.96 Payment.
750.97 Denial.
750.98 Claims by employees.
Subpart J--Affirmative Claims Regulations (Property Damage Claims)
750.99 Scope of subpart J.
750.100 Statutory authority.
750.101 Claims that may be collected.
750.102 Assertion of claims and collection procedures.
750.103 Waiver, compromise, and referral of claims.
Subpart K--Affirmative Claims Regulations (Medical Care Recovery Act
and Claims Asserted Pursuant to the Third Party Payers Act)
750.104 Scope of subpart K.
750.105 Statutory authority.
750.106 Responsibility.
750.107 Claims asserted.
750.108 Assertion of claims.
Authority: 5 U.S.C. 301; 5 U.S.C. 552; 10 U.S.C. 939, 5013,
5148, and 7621-7623; 3 CFR, 1984 Comp., p. 201; Article 139, UCMJ;
E.O. 11476; 3 CFR, 1969 Comp., p. 132.
Subpart A--General Provisions for Claims
Sec. 750.1 Scope of subpart A.
(a) General. (1) The Judge Advocate General of the Navy is
responsible for the administration and supervision of the resolution of
claims arising under the Federal Tort Claims Act (subpart B of this
part), the Military Claims Act (subpart C of this part), the Foreign
Claims Act and the International Agreements Claims Act pertaining to
cost sharing of claims pursuant to international agreements (subpart D
of this part), the Nonscope Claims Act (subpart E of this part), the
Personnel Claims Act (subpart F of this part), Admiralty tort claims
(subpart G of this part), the Federal Claims Collection Act (subpart J
of this part), and the Medical Care Recovery Act and Claims asserted
pursuant to the Third Party Payers Act (subpart K of this part).
(2) The Director, Claims and Tort Litigation is the manager of the
Navy claims system established to evaluate, adjudicate, and provide
litigation support for claims arising under the acts listed above
(except admiralty claims) and is responsible to the Judge Advocate
General for the management of that system. The claims system consists
of the Claims and Tort Litigation Division of the Office of the Judge
Advocate General (Code 15) and three subordinate units: The Tort Claims
Unit (TCU), Norfolk, Virginia; the Personnel Claims Unit (PCU),
Norfolk, Virginia; and three Medical Care Recovery Units (MCRUs) in
Norfolk, Virginia; San Diego, California; and Pensacola, Florida.
(3) The Director, Admiralty and Maritime Law is the manager of the
Navy claims system established to evaluate, adjudicate, and provide
litigation support for claims arising in admiralty.
(b) This subpart delineates general investigative and claims-
processing requirements to be followed in the handling of all incidents
and claims within the provisions of this part. Where the general
provisions of this subpart conflict with the specific provisions of any
subsequent section, the specific provisions govern.
(c) Additional guidance on the processing and adjudication of
claims can be found in JAG Instruction 5800.7 series (JAGMAN) and
JAGINST 5890.1 series [which may be retrieved at the official website
of the United States Navy Judge Advocate General's Corps at https://www.jag.navy.mil].
Sec. 750.2 Statutory authority.
(a) Authority applicable to entire part: 5 U.S.C. 301, 5 U.S.C.
552, 10 U.S.C. 5013, and 5148.
(b) History: 57 FR 4722, Feb. 7, 1992; 72 FR 53417, Sept. 19, 2007,
as confirmed at 73 FR 60948, Oct. 15, 2008.
Sec. 750.3 Claims: In general.
(a) Claims against the United States. Claims against the United
States shall receive prompt and professional disposition. Every effort
will be made to ensure an investigation is thoroughly and accurately
completed, the claimant's allegations evaluated promptly, and where
liability is established, payment issued as quickly as possible to
prevent further harm to a meritorious claimant. Similarly, claims not
payable will be processed promptly and the claimant advised of the
reasons for the denial.
(b) Claims in favor of the United States. Potential claims in favor
of the United States will be critically evaluated and, where
appropriate, promptly asserted and aggressively pursued.
(c) Assistance to claimants. Claimants or potential claimants who
inquire about their rights or the procedures to be followed in the
resolution of their claims should be referred to the responsible claims
unit. The unit will provide claims forms, advise where the forms should
be filed, and inform the requester of the type of substantiating
information required. Claims unit employees may provide advice on the
claims process but shall not provide advice or opinions about the
merits or the wisdom of filing a particular claim.
Sec. 750.4 Claims: Proper claimants.
(a) Damage to property cases. A claim for damage to, or destruction
or loss of, property shall be presented by the owner of the property or
a duly authorized agent or legal representative. ``Owner'' includes a
bailee, lessee, or mortgagor, but does not include a mortgagee,
conditional vendor, or other person having title for security purposes
only.
(b) Personal injury and death cases. A claim for personal injury
shall be presented by the person injured or a duly authorized agent or
legal representative, or, in the case of death, by the properly
appointed legal representative of the deceased's estate or survivor
where authorized by State law.
(c) Subrogation. A subrogor and a subrogee may file claims jointly
or separately. A medical expense subrogee may pursue a claim when
permitted under applicable state law.
(d) Limitation on transfers and assignment. All transfers and
assignments made of any claim upon the United States, and all powers of
attorney, orders, or other authorities for receiving payment of any
such claim, are absolutely null and void unless they are made after the
allowance of such a claim, the ascertainment of the amount due, and the
issuing of a warrant for the payment thereof. 31 U.S.C. 203. This
statutory provision does not apply to the assignment of a claim by
operation of law, as in the case of a receiver or trustee in bankruptcy
appointed for an individual, firm, or corporation, or the case of an
administrator or executor of the estate of a person deceased, or an
insurer subrogated to the rights of the insured.
Sec. 750.5 Claims: Presentment.
(a) Written demand. A claim shall be submitted by presenting a
written statement with the amount of the claim expressed in a sum
certain, and, as far as possible, describing the detailed facts and
circumstances surrounding the incident from which the claim arose. The
Claim for Damage or Injury, Standard Form 95, shall be used whenever
practical for claims based in tort. Personnel Claims Act claims for
loss and damage that occurred during a DoD contracted move (Household
goods) shall be submitted electronically utilizing the USTRANSCOM
approved claims management system. All other Personnel Claims Act
claims shall be submitted in writing on the DD Form 1842 and 1844 [both
forms are available at the website of the United States Navy
[[Page 51377]]
Judge Advocate General's Corps at https://www.jag.navy.mil/organization/code_15.htm]. The claim and all other papers requiring the
signature of the claimant shall be signed by the proper claimant
personally or by a duly authorized agent. If signed by an agent or
legal representative, the claim shall indicate the title or capacity of
the person signing and be accompanied by evidence of appointment. When
more than one person has a claim arising from the same incident, each
person shall file a claim separately.
(b) Submission of claims. Claims should be submitted to the
appropriate claims unit (see subparts for addresses), or to the Office
of the Judge Advocate General, Claims and Tort Litigation Division,
1322 Patterson Avenue SE, Suite 3000, Washington Navy Yard, Washington,
DC 20374-5066.
Sec. 750.6 Claims: Responsibility.
(a) Determining the sufficiency of the claim. Once received, each
claim will be reviewed and a determination of its sufficiency made. A
claim is deemed sufficient if it presents a written statement, signed
by the claimant, stating the amount of the claim in a sum certain and
describing the facts and circumstances in enough detail to allow the
Navy to identify the incident so that an investigation can be
commenced. If the claim is not sufficient as received, it shall be
immediately returned to the party who submitted it along with an
explanation of the insufficiency. This does not constitute denial of
the claim. The claim shall not be considered ``presented'' until it is
received in proper form.
(b) Adjudicating the claim. The responsible unit shall evaluate
every claim promptly and, where liability is established or payment
deemed appropriate, attempt to settle claims for amounts within its
adjudicating authority. Negotiation at settlement figures above a
unit's payment limits may be attempted if the claimant is informed that
the final decision on the claim will be made at a higher level.
Sec. 750.7 Claims: Settlement and release.
(a) Fully and partially approved claims. When a claim is approved
for payment in the amount claimed, a settlement agreement may not be
necessary. When a claim based in tort is approved for payment in a
lesser amount than that claimed, the claimant must indicate in writing
a willingness to accept the offered amount in full settlement and final
satisfaction of the claim. No payment will be made until a signed
settlement agreement has been received. PCA claims do not require a
settlement agreement.
(b) Release. (1) Acceptance by the claimant of an award or
settlement made by the Secretary of the Navy or designees, or the
Attorney General or designees, is final upon acceptance by the
claimant. Acceptance is a complete release by claimant of any claim
against the United States by reason of the same subject manner.
Claimant's acceptance of an advance payment does not have the same
effect.
(2) In the case of claims based in tort, the claimant's acceptance
of an award or settlement made under the provisions governing the
administrative settlement of Federal tort claims or the civil action
provisions of 28 U.S.C. 1346(b) also constitutes a complete release of
any claim against any employee of the Government whose act or omission
gave rise to the claim.
Sec. 750.8 Claims: Payment.
Claims approved for payment shall be expeditiously forwarded to the
appropriate payment authority for payment.
Sec. 750.9 Claims: Denial.
The final denial of any claim within this chapter shall be in
writing and sent to the claimant, his attorney, or legal
representative. The denial notification shall include a statement
notifying the claimant of the right to appeal or request
reconsideration of the decision.
Sec. 750.10 Claims: Single service responsibility.
(a) DoD Instruction (DoDI) 5515.08 (series), ``Assignment of Claims
Responsibility'' (available at https://www.esd.whs.mil/Portals/54/Documents/DD/issuances/dodi/551508_2016.pdf) assigns ``single-service
claims responsibility'' to individual military departments for
processing claims in specified foreign countries. Claims arising in
unassigned countries will be processed and adjudicated by the Service
of the service member whose actions resulted in the claim.
(b) U.S. forces afloat cases under $2,500.00. Notwithstanding the
single service assignments above, DON may settle claims under $2,500.00
caused by personnel not acting within the scope of employment and
arising in foreign ports visited by U.S. forces afloat and may, subject
to the concurrence of the authorities of the receiving state concerned,
process such claims.
Subpart B--Claims Under the Federal Tort Claims Act (FTCA)
Sec. 750.11 Scope of subpart B.
This subpart provides information regarding the administrative
processing and consideration of claims against the United States under
the FTCA. The FTCA is a limited waiver of sovereign immunity. Under the
FTCA, an individual can seek money damages for personal injury, death,
or property damage caused by the negligent or wrongful act or omission
of a Federal employee acting within the scope of employment. The FTCA
also provides for compensation for injuries caused by certain
intentional, wrongful conduct. The liability of the United States is
determined in accordance with the law of the State where the act or
omission occurred.
Sec. 750.12 Statutory authority.
The statutory provisions of the FTCA are at 28 U.S.C. 1346(b),
2671-2672, and 2674-2680. The Attorney General of the United States has
issued regulations on administrative claims filed under the FTCA at 28
CFR part 14. If the provisions of this section and the Attorney
General's regulations conflict, the Attorney General's regulations
prevail.
Sec. 750.13 Exclusiveness of remedy.
(a) The Federal Employees Liability Reform and Tort Compensation
Act of 1988, Public Law 100-694 (amending 28 U.S.C. 2679(b) and
2679(d)), provides that the exclusive remedy for damage or loss of
property, or personal injury or death arising from the negligent or
wrongful acts or omissions of all employees of the Government acting
within the scope of their employment will be against the United States.
This immunity from personal liability does not extend to allegations of
constitutional torts nor to allegations of violations of statutes
specifically authorizing suits against individuals.
(b) Other statutory provisions create immunity from personal
liability for specific categories of Federal employees whose conduct
within the scope of their employment gives rise to claims against the
Government. Department of Defense (DoD) health care providers are
specifically protected by 10 U.S.C. 1089, the Gonzalez Act. DoD
attorneys are specifically protected by 10 U.S.C. 1054.
Sec. 750.14 Definitions.
(a) Negligent conduct. Generally, negligence is the failure to
exercise that degree of care, skill, or diligence a reasonable person
would exercise under similar circumstances. Negligent
[[Page 51378]]
conduct can result from either an act or a failure to act. The law of
the place where the conduct occurred will determine whether a cause of
action lies against the Government.
(b) Intentional torts. Although any employee who commits an
intentional tort is normally considered to be acting outside the scope
of employment, the FTCA does allow claimants to seek compensation for
injuries arising out of the intentional torts of assault, battery,
false imprisonment, false arrest, abuse of process, and malicious
prosecution, if committed by a Federal investigative or law enforcement
officer. An ``investigative or law enforcement officer'' is any officer
of the United States empowered by law to execute searches, to seize
evidence, or to make arrests for violations of Federal law.
(c) Government employees. (1) ``Employee of the Government,''
defined at 28 U.S.C. 2671, includes officers or employees of any
Federal agency, members of the U.S. military or naval forces, and
persons acting on behalf of a Federal agency in an official capacity.
(2) ``Government contractors'' (also referred to as independent
contractors) are those individuals or businesses who enter into
contracts with the United States to provide goods or services. Because
the definition of ``Federal agency,'' found at 28 U.S.C. 2671,
specifically excludes ``any contractor with the United States,'' the
United States is generally not liable for the negligence of Government
contractors. There are, however, three limited exceptions to the
general rule, under which a cause of action against the United States
has been found to exist in some jurisdictions.
They are:
(i) Where the thing or service contracted for is deemed to be an
``inherently dangerous activity'';
(ii) Where a nondelegable duty in the employer has been created by
law; or
(iii) Where the employer retains control over certain aspects of
the contract and fails to discharge that control in a reasonable
manner.
(3) Employees of nonappropriated-fund activities. Nonappropriated-
fund (NAF) activities are entities established and operated for the
benefit of military members and their dependents, and have been
judicially determined to be ``arms'' of the Federal government. These
entities operate from self-generated funds, rather than from funds
appropriated by Congress. Examples include Navy and Marine Corps
Exchanges, officer or enlisted clubs, and recreational services
activities. A claim arising out of the act or omission of an employee
of a nonappropriated-fund activity not located in a foreign country
acting within the scope of employment is an act or omission committed
by a Federal employee and will be handled in accordance with the FTCA.
(d) Scope of employment. ``Scope of employment'' is defined by the
law of respondeat superior (master and servant) of the place where the
act or omission occurred. Although 28 U.S.C. 2671 states that acting
within the scope of employment means acting in the line of duty, the
converse is not always true. For administrative purposes, a Government
employee may be found ``in the line of duty,'' yet not meet the
criteria for a finding of ``within the scope of employment'' under the
law of the place where the act or omission occurred.
Sec. 750.15 Scope of liability.
(a) Territorial limitations. The FTCA does not apply to any claim
arising in a foreign country.
(b) Exclusions from liability. Statutes and case law have
established categories of exclusions from FTCA liability.
(1) Statutory exclusions. Title 28 U.S.C. 2680 lists claims not
cognizable under the FTCA. They include:
(i) Claims based on the exercise or performance of, or the failure
to exercise or perform, a discretionary Government function;
(ii) Admiralty claims under 46 U.S.C. 741-752 or 781-790. Claims
under the Death on the High Seas Act (46 U.S.C. 761), however, are
cognizable under the FTCA. All admiralty claims will be referred to the
Judge Advocate General for adjudication. Admiralty claims against the
Navy shall be processed under subpart F of this part;
(iii) Claims arising from certain intentional torts enumerated in
28 U.S.C. 2680(h); and
(iv) Claims arising from the combat activities of the military or
naval forces, or the Coast Guard, during time of war.
(2) Additional claims not payable. Although not expressly
statutorily excepted, the following types of claims will not be paid
under the FTCA:
(i) A claim for personal injury or death of a member of the armed
forces of the United States incurred incident to military service or
duty;
(ii) Any claim by military personnel or civilian employees of the
Navy, paid from appropriated funds, for personal property damage
occurring incident to service or Federal employment, cognizable under
31 U.S.C. 3721 and the applicable Personnel Claims Regulations (subpart
E of this part);
(iii) Any claim by employees of nonappropriated-fund activities for
personal property damage occurring incident to Federal employment.
These claims will be processed as indicated under subpart H of this
part;
(iv) Any claim for personal injury or death covered by the Federal
Employees' Compensation Act (5 U.S.C. 8116c);
(v) Any claim for personal injury or death covered by the Longshore
and Harbor Workers' Compensation Act (33 U.S.C. 905 and 5 U.S.C. 8171);
(vi) That portion of any claim for personal injury or property
damage caused by the negligence or fault of a Government contractor to
the extent such contractor may have assumed liability under the terms
of the contract;
(vii) Any claim against the DON by another Federal agency. Property
belonging to the Government is not owned by any one department of the
Government. The Government does not reimburse itself for the loss of
its own property except where specifically provided for by law; and
(viii) Any claim for damage to a vehicle rented pursuant to travel
orders.
Sec. 750.16 Statute of limitations.
An administrative claim against the United States under the FTCA
must be presented in writing within 2 years after the claim accrues.
Federal law determines the date of accrual. A claim accrues when the
claimant discovers or reasonably should have discovered the existence
of the act giving rise to the claim. In computing the statutory time
period, the day of the incident is excluded and the day the claim was
presented included.
Sec. 750.17 Delegations of adjudicating authority.
(a) Settlement authority. (1) The Judge Advocate General; the
Deputy Judge Advocate General; the Assistant Judge Advocate General
(Civil Law); the Director, Claims and Tort Litigation; and the Head,
Tort Claims Branch, Claims and Tort Litigation, have delegated
authority to settle FTCA claims up to $500,000. Any settlement,
including aggregate settlements (i.e., all claims arising from a single
incident) in excess of OJAG's settlement authority ($500,000) require
approval and written authorization from the Department of Justice--
Torts Branch.
(2) Individuals with settlement authority under paragraph (a)(1) of
this section may delegate all or part of their settlement authority.
Such delegation shall be in writing.
(b) Appeal authority. Adjudicating authorities have the same
authority as delegated on paragraph (a) of this section to act on
appeals.
[[Page 51379]]
Sec. 750.18 The administrative claim.
(a) Proper claimant. See Sec. 750.4 of this part.
(b) Claim presented by agent or legal representative. A claim filed
by an agent or legal representative will be filed in the name of the
claimant; be signed by the agent or legal representative; show the
title or legal capacity of the person signing; and be accompanied by
evidence of the individual's authority to file a claim on behalf of the
claimant.
(c) Proper claim. A claim is a notice in writing to the appropriate
Federal agency of an incident giving rise to Government liability under
the FTCA. It must include a demand for money damages in a definite sum
for property damage, personal injury, or death alleged to have occurred
by reason of the incident. The Attorney General's regulations specify
that the claim be filed on a Standard Form 95 or other written
notification of the incident. If a letter or other written notification
is used, it is essential that it set forth the same basic information
required by Standard Form 95. Failure to do so may result in a
determination that the administrative claim is incomplete.
(d) Presentment. A claim is deemed presented when received by the
Navy in proper form. A claim against another agency, mistakenly
addressed to or filed with the Navy shall be transferred to the
appropriate agency, if ascertainable, or returned to the claimant. A
claimant presenting identical claims with more than one agency should
identify every agency to which the claim is submitted on every claim
form presented. In such cases, a lead agency will be designated.
Sec. 750.19 Information and supporting documents.
(a) Proper documentation. Depending on the type of claim, claimants
may be required to submit information, as follows:
(1) Death. (i) An authenticated death certificate or other
competent evidence showing cause of death, date of death, and age of
the decedent;
(ii) Decedent's employment or occupation at time of death,
including monthly or yearly earnings and the duration of last
employment;
(iii) Full names, addresses, birth dates, relationship, and marital
status of the decedent's survivors, including identification of
survivors dependent for support upon decedent at the time of death;
(iv) Degree of support provided by decedent to each survivor at
time of death;
(v) Decedent's general physical and mental condition before death;
(vi) Itemized bills for medical and burial expenses; and
(vii) If damages for pain and suffering are claimed, a physician's
detailed statement specifying the injuries suffered, duration of pain
and suffering, any drugs administered for pain, and the decedent's
physical condition during the interval between injury and death.
(2) Personal injury. (i) A written report by attending physician or
dentist on the nature and extent of the injury, nature and extent of
treatment, any degree of temporary or permanent disability, the
prognosis, period of hospitalization, and any diminished earning
capacity. In addition, the claimant may be required to submit to a
physical or mental examination by a physician employed by any Federal
agency. Upon written request, a copy of the report of the examining
physician shall be provided;
(ii) Itemized bills for medical, dental, and hospital expenses
incurred, or itemized receipts of payments of such expenses;
(iii) A statement of expected expenses for future treatment;
(iv) If a claim is made for lost wages, a written statement from
the employer itemizing actual time and wages lost; and
(v) If a claim is made for lost self-employed income, documentary
evidence showing the amount of earnings actually lost.
(3) Property damage. (i) Proof of ownership;
(ii) A detailed statement of the amount claimed for each item of
property;
(iii) An itemized receipt of payment for necessary repairs or
itemized written estimates of the cost of repairs; and
(iv) A statement listing date of purchase, purchase price, and
salvage value where repair is not economical.
(b) Failure to submit necessary documentation. If claimant fails to
provide sufficient supporting documentation, claimant should be
notified of the deficiency. If after a reasonable period of time the
information is still not provided, the appropriate adjudicating
authority should deny the claim.
Sec. 750.20 Damages.
(a) Generally. The measure of damages is determined by the law of
the place where the act or omission occurred. When there is a conflict
between local and applicable Federal law, the latter governs.
(b) Limitations on liability. The United States is not liable for
interest prior to judgment or for punitive damages. In a death case, if
the place where the act or omission complained of occurred provides for
only punitive damages, the United States will be liable in lieu
thereof, for actual or compensatory damages.
(c) Setoff. The United States is not obligated to pay twice for the
same injury. Claimants under the FTCA may have received Government
benefits or services as the result of the alleged tort. The cost of
these services or benefits shall be considered in arriving at any award
of damages. For example, the cost of medical or hospital services
furnished at Government expense, including TRICARE payments, shall be
considered. Additionally, benefits or services received under the
Veterans Act (38 U.S.C. 101-800) must be considered.
(d) Suit. Any damage award in a suit brought under the FTCA is
limited to the amount claimed administratively unless based on newly
discovered evidence. Plaintiff must prove the increased demand is based
on facts not reasonably discoverable at the time of the presentment of
the claim or on intervening facts relating to the amount of the claim.
Sec. 750.21 Amendment of the claim.
Proper claim may be amended at any time prior to settlement,
denial, or the filing of suit. An amendment must be submitted in
writing and must be signed by the claimant or duly authorized agent or
legal representative. No finally denied claim for which reconsideration
has not been requested under Sec. 750.24 may be amended. Upon timely
filing of an amendment to a pending claim, the DON shall have 6 months
to make a final disposition of the claim as amended, and the claimant's
option to file suit under 28 U.S.C. 2675(a) shall not accrue until 6
months after the presentment of an amendment.
Sec. 750.22 Settlement and payment.
(a) Settlement agreement. A settlement agreement, signed by the
claimant, must be received prior to payment in every case in which the
claim is either:
(1) Settled for less than the full amount claimed, or
(2) The claim was not presented on a Standard Form 95.
(b) Contents. Every settlement agreement must contain language
indicating payment is in full and final settlement of the applicable
claim. Each settlement agreement shall contain language indicating
acceptance of the settlement amount by the claimant, or his agent or
legal representative, shall be final and conclusive on the claimant, or
[[Page 51380]]
his agent or legal representative, and any other person on whose behalf
or for whose benefit the claim has been presented, and shall constitute
a complete release of any claim against the United States and against
any employee of the Government whose conduct gave rise to the claim, by
reason of the same subject matter. All settlement agreements shall
contain a recitation of the applicable statutory limitation of attorney
fees.
(c) Payment of the claim. Pursuant to 28 U.S.C. 2672 and in
accordance with 28 CFR 14.6(a), the Secretary of the Navy or designee,
acting on behalf of the United States may compromise or settle any
claim filed against the Navy under the FTCA, provided any award,
compromise, or settlement by the Navy in excess of $500,000.00 may be
effected only with the prior written approval of the Attorney General
or designee.
Sec. 750.23 Denial of the claim.
Final denial of an administrative claim shall be in writing and
shall be sent to the claimant, his duly authorized agent or legal
representative by certified or registered mail, with return receipt
requested. The notification of final denial may include the reasons for
the denial. The notification shall include a statement informing the
claimant of his right to file suit in the appropriate Federal district
court not later than 6 months after the date of the mailing of the
notification.
Sec. 750.24 Reconsideration.
(a) Request. Prior to the commencement of suit and prior to the
expiration of the 6-month period for filing suit, a claimant or his
duly authorized agent or legal representative may present a request for
reconsideration to the authority who denied the claim. The request
shall be in writing and shall state the reasons for the requested
reconsideration. A request for reconsideration is presented on the date
it is received by the DON.
(b) Proper basis. A request for reconsideration shall set forth
claimant's reasons for the request and shall include any supplemental
supporting evidence or information. Any writing communicating a desire
for reconsideration that reasonably appears to have been presented
solely for the purpose of extending the statutory period for filing
suit, shall not be treated as a request for reconsideration. Claimant
or claimant's authorized representative shall be notified promptly that
the writing is not considered a proper request for reconsideration.
(c) Effect of presentment of request. The presentment of a proper
request for reconsideration starts a new 6-month period for the DON to
act on the request to reconsider. The claimant may not file suit until
the expiration of the new 6-month period, or until after the date of
mailing of the final denial of the request. Final denial of a request
for reconsideration shall be accomplished in the manner prescribed in
Sec. 750.23.
Sec. 750.25 Suits Under the Federal Tort Claims Act.
(a) Time limit for filing suit. A civil action is barred unless
suit is filed against the United States not later than 6 months after
the date of mailing of notice of final denial of the claim. The failure
of DON to make final disposition of a claim within 6 months after it is
presented shall, at the option of the claimant any time thereafter, be
deemed a final denial of the claim.
(b) Venue. Venue is proper only in the judicial district where the
plaintiff resides or where the act or omission complained of occurred.
(c) Jury trial. There is no right to trial by jury in suits brought
under the FTCA.
(d) Settlement. The Attorney General of the United States, or
designee, may arbitrate, compromise, or settle any action filed under
the FTCA.
Sec. 750.26 Attorney fees.
Attorney fees are limited to 20 percent of any compromise or
settlement of an administrative claim, and are limited to 25 percent of
any judgment rendered in favor of a plaintiff, or of any settlement
accomplished after suit is filed. These amounts are to be paid out of
the amount awarded and not in addition to the award.
Subpart C--Claims Under the Military Claims Act (MCA)
Sec. 750.27 Scope of subpart C.
(a) General. This section prescribes the substantive bases and
special procedural requirements for the settlement of claims against
the United States for death, personal injury, or damage, loss, or
destruction of property under the MCA:
(1) Caused by military personnel or civilian employees of the DON
(hereinafter DON personnel). For the purposes of this section, DON
personnel include all military personnel of the Navy and Marine Corps,
volunteer workers, and others serving as employees of the DON with or
without compensation, and members of the National Oceanic and
Atmospheric Administration or of the Public Health Service when serving
with the DON. DON personnel does not include DON contractors or their
employees; or
(2) Incident to noncombat activities of the DON. Claims for
personal injury or death of a member of the Armed Forces or Coast
Guard, or civilian officer or employee of the U.S. Government whose
injury or death is incident to service, however, are not payable.
(b) Territorial limitation. There is no geographical limitation on
the application of the MCA, but if a claim arising in a foreign country
is cognizable under the Foreign Claims Act, the claim shall be
processed under that statute.
(c) Suit. The MCA authorizes the administrative settlement and
payment of certain claims. The United States has not consented to be
sued.
Sec. 750.28 Statutory authority.
10 U.S.C. 2733, as amended, commonly referred to as the MCA.
Sec. 750.29 Claims payable.
(a) General. Unless otherwise prescribed, a claim for personal
injury, death, or damage or loss of real or personal property is
payable under this provision when:
(1) Caused by an act or omission determined to be negligent,
wrongful, or otherwise involving fault of DON personnel acting within
the scope of their employment; or
(2) Incident to noncombat activities of the DON. A claim may be
settled under this provision if it arises from authorized activities
essentially military in nature, having little parallel in civilian
pursuits, and in which the U.S. Government has historically assumed a
broad liability, even if not shown to have been caused by any
particular act or omission by DON personnel while acting within the
scope of their employment. Activities incident to combat, whether or
not in time of war, and use of DON personnel during civil disturbances
are excluded.
(b) Specific claims payable. Claims payable by the DON under the
MCA shall include, but not be limited to:
(1) Registered or insured mail. Claims for damage to, loss, or
destruction, even if by criminal acts, of registered or insured mail
while in the possession of DON authorities are payable under the MCA.
This provision is an exception to the general requirement that
compensable damage, loss, or destruction of personal property be caused
by DON personnel while acting within the scope of their employment or
otherwise incident to noncombat activities of the DON. The maximum
award to a claimant under this section is limited to that to which the
claimant would be entitled from the Postal
[[Page 51381]]
Service under the registry or insurance fee paid. The award shall not
exceed the cost of the item to the claimant regardless of the fees
paid. Claimant may be reimbursed for the postage and registry or
insurance fees;
(2) Property bailed to the DON. Claims for damage to or loss of
personal property bailed to the DON under an express or implied
agreement are payable under the MCA, even though legally enforceable
against the U.S. Government as contract claims, unless by express
agreement the bailor has assumed the risk of damage, loss, or
destruction. Claims filed under this paragraph may, if in the best
interest of the U.S. Government, be referred to and processed by the
Office of the General Counsel, DON, as contract claims;
(3) Real property. Claims for damage to real property incident to
the use and occupancy by the DON, whether under an express or implied
lease or otherwise, are payable under the MCA even though legally
enforceable against the DON as contract claims. Claims filed under this
paragraph may, if in the best interest of the U.S. Government, be
referred to and processed by the Office of the General Counsel, DON, as
contract claims;
(4) Property of U.S. military personnel. Claims of U.S. military
personnel for property lost, damaged, or destroyed under conditions in
Sec. 750.29(a) (1) and (2), occurring incident to service, not payable
under the Military Personnel and Civilian Employees' Claims Act, are
payable under the MCA;
(5) Health care and Legal Assistance Providers. Claims arising from
the personal liability of DON health care and legal assistance
personnel for costs, settlements, or judgments for negligent acts or
omissions while acting within the scope of assigned duties or
employment are payable under the MCA. See Sec. 750.41.
Sec. 750.30 Claims not payable.
(a) Any claim for damage, loss, destruction, injury, or death which
was proximately caused, in whole or in part, by any negligence or
wrongful act on the part of the claimant, or his agent or employee,
unless the law of the place where the act or omission complained of
occurred would permit recovery from a private individual under like
circumstances, and then only to the extent permitted by the law.
(b) Any claim resulting from action by the enemy or resulting
directly or indirectly from any act by armed forces engaged in combat.
(c) Any claim for reimbursement of medical, hospital, or burial
expenses to the extent already paid by the U.S. Government.
(d) Any claim cognizable under:
(1) Military Personnel and Civilian Employees' Claims Act, as
amended. 31 U.S.C. 3721.
(2) Foreign Claims Act. 10 U.S.C. 2734.
(3) 10 U.S.C. 7622, relating to admiralty claims. See subpart G of
this part.
(4) Federal Tort Claims Act. 28 U.S.C. 2671, 2672, and 2674-2680.
(5) International Agreements Claims Act. 10 U.S.C. 2734a and 2734b.
(6) Federal Employees' Compensation Act. 5 U.S.C. 8101-8150.
(7) Longshore and Harbor Workers' Compensation Act. 33 U.S.C. 901-
950.
(e) Any claim for damage to or loss or destruction of real or
personal property founded in written contract [except as provided in
Sec. 750.29(b)(1) and (2)].
(f) Any claim for rent of real or personal property [except as
provided in Sec. 750.29(b) (1) and (2)].
(g) Any claim involving infringement of patents.
(h) Any claim for damage, loss, or destruction of mail prior to
delivery by the Postal Service to authorized DON personnel or occurring
due to the fault of, or while in the hands of, bonded personnel.
(i) Any claim by a national, or corporation controlled by a
national, of a country in armed conflict with the United States, or an
ally of such country, unless the claimant is determined to be friendly
to the United States.
(j) Any claim for personal injury or death of a member of the Armed
Forces or civilian employee incident to his service.
(k) Any claim for damage to or loss of bailed property when bailor
specifically assumes such risk.
(l) Any claim for taking private real property by a continuing
trespass or by technical trespass such as overflights of aircraft.
(m) Any claim based solely on compassionate grounds.
(n) Any claim to which the exceptions in 28 U.S.C. 2680 apply.
Sec. 750.31 Statute of limitations.
Claims against DON under the MCA must be presented in writing
within 2 years after they accrue. In computing the 2 year period, the
day the claim accrues is excluded and the day the claim is presented is
included. If the incident occurs in time of war or armed conflict,
however, or if war or armed conflict intervenes within 2 years after
its occurrence, an MCA claim, on good cause shown, may be presented
within 2 years after the war or armed conflict is terminated. For the
purposes of the MCA, the date of termination of the war or armed
conflict is the date established by concurrent resolution of Congress
or by the President.
Sec. 750.32 Filing the claim.
(a) Who may file. Under the MCA, specifically, the following are
proper claimants:
(1) U.S. citizens and inhabitants;
(2) U.S. military personnel and civilian employees, except not for
personal injury or death incident to service;
(3) Persons in foreign countries who are not inhabitants;
(4) States and their political subdivisions (including agencies);
(5) Prisoners of war for personal property, but not personal
injury; and
(6) Subrogees, to the extent they paid the claim.
(b) Who may not file. (1) Inhabitants of foreign nations for loss
or injury occurring in the country they inhabit; and
(2) U.S. Government agencies and departments.
(c) Where to file. The claim should be submitted by the claimant to
the Office of the Judge Advocate General of the Navy, Claims and Tort
Litigation (Code 15), 1322 Patterson Avenue SE, Suite 3000, Washington
Navy Yard, DC 20374-5066, or to Tort Claims Unit Norfolk, 9620 Maryland
Avenue, Ste. 205, Norfolk, VA 23434. Alternatively, the claim may be
submitted to the commanding officer of the naval activity involved, if
it is known, or to the commanding officer of any naval activity,
preferably the one within which, or nearest to which, the incident
occurred.
(d) Claim form. A claim is correct in form if it constitutes
written notification of an incident, signed by the claimant or a duly
authorized agent or legal representative, with a claim for money
damages in a sum certain and sufficient information so as to allow an
investigation to commence. A Standard Form 95 is preferred. A claim
should be substantiated as described in Sec. 750.19 of this part in
order to be paid.
(e) Amendment of claim. A proper claim may be amended by the
claimant at any time prior to final denial or payment of the claim. An
amendment shall be submitted in writing and signed by the claimant or a
duly authorized agent or legal representative.
Sec. 750.33 Applicable law.
(a) Claims arising within the United States or its territories,
commonwealth, or possessions. The law of the place
[[Page 51382]]
where the act or omission occurred will be applied in determining
liability and the effect of contributory or comparative negligence on
claimant's right of recovery.
(b) Claims arising within foreign countries. (1) Where the claim is
for personal injury, death, or damage to or loss or destruction of real
or personal property caused by an act or omission determined to be
negligent, wrongful, or otherwise involving fault of DON personnel
acting within the scope of their employment, liability of the United
States will be assessed under general principles of tort law common to
the majority of American jurisdictions.
(2) Apply the law of the foreign country governing the legal effect
of contributory or comparative negligence by the claimant to determine
the relative merits of the claim. If there is no foreign law on
contributory or comparative negligence, apply traditional rules of
contributory negligence. Apply foreign rules and regulations on
operation of motor vehicles (rules of the road) to the extent those
rules are not specifically superseded or preempted by U.S. Armed Forces
traffic regulations.
(c) Principles applicable to all MCA claims. (1) ``Scope of
employment'' is determined in accordance with Federal law. Reported
FTCA cases provide guidance on this determination;
(2) Claims for emotional distress will be considered only from the
injured person or members of the injured person's immediate family.
Claims from the injured person's immediate family will be considered
only if such family member was within the ``zone of danger'' (i.e.,
immediate vicinity of the incident) and the claimant substantiates the
claim with proof of the physical manifestation(s) of the emotional
distress; and
(3) Claims under the MCA do not include the principles of absolute
(strict) liability and punitive damages.
Sec. 750.34 Measure of damages for property claims.
(a) Where the property damage arises in the United States or its
territories, commonwealth, or possessions, determine the measure of
damages under the law of the place where the incident occurred.
(b) Where the property damage arises overseas, determine the
measure of damages under general principles of American tort law,
stated as follows:
(1) If the property has been or can be economically repaired, the
measure of damages shall be the actual or estimated net cost of the
repairs necessary to substantially restore the property to the
condition that existed immediately prior to the incident. Damages shall
not exceed the value of the property immediately prior to the incident
less the value thereof immediately after the incident. To determine the
actual or estimated net cost of repairs, the value of any salvaged
parts or materials and the amount of any net appreciation in value
effected through the repair shall be deducted from the actual or
estimated gross cost of repairs. The amount of any net depreciation in
the value of the property shall be added to such gross cost of repairs
if such adjustments are sufficiently substantial in amount to warrant
consideration. Estimates of the cost of repairs shall be based upon the
lower or lowest of two or more competitive bids, or upon statements or
estimates by one or more competent and disinterested persons,
preferably reputable dealers or officials familiar with the type of
property damaged, lost, or destroyed.
(2) If the property cannot be economically repaired, the measure of
damages shall be the value of the property immediately prior to the
incident less the value immediately after the incident. Estimates of
value shall be made, if possible, by one or more competent and
disinterested persons, preferably reputable dealers or officials
familiar with the type of property damaged, lost, or destroyed.
(3) Loss of use of damaged property which is economically
repairable may, if claimed, be included as an additional element of
damage to the extent of the reasonable expense actually incurred for
appropriate substitute property, for such period reasonably necessary
for repairs, as long as idle property of the claimant was not employed
as a substitute. When substitute property is not obtainable, other
competent evidence such as rental value, if not speculative or remote,
may be considered. When substitute property is reasonably available but
not obtained and used by the claimant, loss of use is normally not
payable.
Sec. 750.35 Measure of damages in injury or death cases.
(a) Injury or death arising in the United States. When the injury
or death arises within the United States or its territories,
commonwealth, or possessions, determine the measure of damages under
the law of the location where the injury arises.
(b) Injury or death arising in a foreign country. When the injury
or death arises in a foreign country and is otherwise cognizable and
meritorious under this provision, damages will be determined in
accordance with general principles of American tort law. The following
is provided as guidance.
(1) Measure of damages for overseas personal injury claims.
Allowable compensation includes reasonable medical and hospital
expenses necessarily incurred, compensation for lost earnings and
services, diminution of earning capacity, anticipated medical expenses,
physical disfigurement, and pain and suffering.
(2) Wrongful death claims arising in foreign countries.
(i) Allowable compensation includes that in paragraph (b)(1) of
this section, burial expenses, loss of support and services, loss of
companionship, comfort, society, protection, and consortium, and loss
of training, guidance, education, and nurturing, as applicable.
(ii) The claim may be presented by or on behalf of the decedent's
spouse, parent, child, or dependent relative. Claims may be
consolidated for joint presentation by a representative of some or all
of the beneficiaries or may be filed by a proper beneficiary
individually.
Sec. 750.36 Delegations of adjudicating authority.
(a) Settlement authority. (1) The Secretary of the Navy may settle
or deny claims in any amount. The Secretary may pay the first
$100,000.00 and report the excess to the Comptroller General for
payment under 31 U.S.C. 1304.
(2) The Judge Advocate General has delegated authority to settle
claims for $100,000.00 or less.
(3) The Deputy Judge Advocate General, the Assistant Judge Advocate
General (Civil Law), the Director, Claims and Tort Litigation, and
Head, Tort Claims Branch, Claims and Tort Litigation, have delegated
authority to settle claims for $25,000.00 or less, and have denial
authority in any amount.
(4) Individuals with settlement authority under paragraph (a)(3) of
this section may delegate all or part of their settlement authority.
Such delegation must be in writing.
(b) Appellate authority. Adjudicating authorities have the same
authority as delegated in paragraph (a) of this section to act upon
appeals. No appellate authority below the Secretary of the Navy may
deny an appeal of a claim it had previously denied.
Sec. 750.37 Advance payments.
(a) Scope. This paragraph applies exclusively to the payment of
amounts not to exceed $100,000.00 under 10 U.S.C. 2736 in advance of
submission of a claim.
(b) Statutory authority. Title 10 U.S.C. 2736 authorizes the
Secretary of the
[[Page 51383]]
Navy or designee to pay an amount not in excess of $100,000.00 in
advance of the submission of a claim to or for any person, or the legal
representative of any person, who was injured or killed, or whose
property was damaged or lost, as the result of an accident for which
allowance of a claim is authorized by law. Payment under this law is
limited to that which would be payable under the MCA (10 U.S.C. 2733).
Payment of an amount under this law is not an admission by the United
States of liability for the accident concerned. Any amount so paid
shall be deducted from any amount that may be allowed under any other
provision of law to the person or his legal representative for injury,
death, damage, or loss attributable to the accident concerned.
(c) Officials with authority to make advance payments. (1) The
Secretary of the Navy has authority to make advance payments up to
$100,000.00.
(2) The Judge Advocate General has delegated authority to make
advance payments up to $100,000.00.
(3) The Director, Claims and Tort Litigation and the Head, Tort
Claims Branch, Claims and Tort Litigation have delegated authority to
make advance payments up to $25,000.00.
(d) Conditions for advance payments. Prior to making an advance
payment under 10 U.S.C. 2736, the adjudicating authority shall
ascertain that:
(1) The injury, death, damage, or loss would be payable under the
MCA;
(2) The payee, insofar as can be determined, would be a proper
claimant, or is the spouse or next of kin of a proper claimant who is
incapacitated;
(3) The provable damages are estimated to exceed the amount to be
paid;
(4) There exists an immediate need of the person who suffered the
injury, damage, or loss, or of his family, or of the family of a person
who was killed, for food, clothing, shelter, medical, or burial
expenses, or other necessities, and other resources for such expenses
are not reasonably available;
(5) The prospective payee has signed a statement that it is
understood that payment is not an admission by the Navy or the United
States of liability for the accident concerned, and that the amount
paid is not a gratuity but shall constitute an advance against and
shall be deducted from any amount that may be allowed under any other
provision of law to the person or his legal representative for injury,
death, damage, or loss attributable to the accident concerned; and
(6) No payment under 10 U.S.C. 2736 may be made if the accident
occurred in a foreign country in which the NATO Status of Forces
Agreement (4 U.S.C. 1792, TIAS 2846) or other similar agreement is in
effect and the injury, death, damage, or loss:
(i) Was caused by a member or employee of the DON acting within the
scope of employment; or
(ii) Occurred ``incident to noncombat activities'' of the DON as
defined in Sec. 750.29(a)(2).
Sec. 750.38 Final disposition.
(a) Claimant to be notified. The adjudicating authority shall
notify the claimant, in writing, of the action taken on the claim.
(b) Payment. Claims approved for payment require a settlement
agreement, signed by the claimant, in every case in which the MCA claim
is settled for less than the full amount claimed or the claim was not
presented on an SF95. The payment voucher will be forwarded to such
disbursing officer as may be designated by the Comptroller of the Navy
for payment from appropriations designated for that purpose. If the
Secretary of the Navy considers that an MCA claim in excess of
$100,000.00 is meritorious and would otherwise be covered by 10 U.S.C.
2733 and Sec. 750.27 of this part, he may make a partial payment of
$100,000.00 and refer the excess to the Comptroller General for payment
from appropriations provided therefore.
(c) Final denial. A final denial, in whole or in part, of any MCA
claim shall be in writing and sent to the claimant, or his attorney or
legal representative, by certified or registered mail, return receipt
requested. The notification of denial may include a statement of the
reason or reasons for denial and that the claimant may appeal. The
notification shall also inform the claimant:
(1) The title of the appellate authority who will act on the appeal
and that the appeal will be addressed to the adjudicating authority who
last acted on the claim.
(2) No form is prescribed for the appeal, but the grounds for
appeal should be set forth fully.
(3) The appeal must be submitted within 30 days of receipt by the
claimant of notice of action on the claim.
Sec. 750.39 Appeal.
(a) A claim which is disapproved in whole or in part may be
appealed by the claimant at any time within 30 days after receipt of
notification of disapproval. An appeal shall be in writing and state
the grounds relied upon. An appeal is not an adversary proceeding and a
hearing is not authorized; however, the claimant may obtain and submit
any additional evidence or written argument for consideration by the
appellate authority.
(b) Upon receipt, the adjudicating authority examines the appeal,
determines whether the appeal complies with this regulation, and
reviews the claims investigative file to ensure it is complete. The
claim, with the complete investigative file and a memorandum of law,
will be forwarded to the appellate authority for action. If the
evidence in the file, including information submitted by the claimant
with the appeal, indicates the appeal should be approved, the
adjudicating authority may treat the appeal as a request for
reconsideration.
(c) Processing of the appeal may be delayed pending further efforts
by the adjudicating authority to settle the claim. Where the
adjudicating authority does not reach a final agreement on an appealed
claim, it shall send the entire claim file to the next higher
settlement authority, who is the appellate authority for that claim.
(d) The appellate authority shall notify the claimant in writing of
the determination on appeal; that such determination constitutes the
final administrative action on the claim; and there is no right to sue
under the MCA.
Sec. 750.40 Cross-servicing.
(a) Single service claims responsibility. See Sec. 750.10 for
information about single-service claims responsibility under DoDI
5515.08 of 11 Nov 2006.
(b) Claims settlement procedures. Where a single service has been
assigned a country or area claims responsibility, that service will
settle claims cognizable under the MCA under the regulations of that
service. The forwarding command shall afford any assistance necessary
to the appropriate service in the investigation and adjudication of
such claims.
Sec. 750.41 Payments related to certain medical or legal malpractice
claims.
(a) General. Requests for reimbursement/indemnification of costs,
settlements, and judgments cognizable under 10 U.S.C. 1089(f) [for
personal injury or death caused by any physician, dentist, nurse,
pharmacist, paramedic, or other supporting personnel (including medical
and dental technicians, nurse assistants, and therapists)] or 10 U.S.C.
1054(f) [for damages for injury or loss of property caused by any
attorney, paralegal, or other member of a legal staff] while acting as
DON personnel will be paid if:
[[Page 51384]]
(1) The alleged negligent or wrongful actions or omissions arose in
connection with either providing health care functions or legal
services and within the scope of employment; and
(2) Such personnel furnish prompt notification and delivery of all
process served or received, and other documents, information, and
assistance as requested; and cooperate in defending the action on the
merits.
(b) Requests for indemnification. All requests for indemnification
for personal liability of DON personnel for acts or omissions arising
out of assigned duties shall be forwarded to the Judge Advocate General
for action.
Sec. 750.42 Attorney fees.
Attorney fees not in excess of 20 percent of any settlement may be
allowed. Attorney fees so determined are to be paid out of the amount
awarded and not in addition to the award. These fee limitations shall
be incorporated in any settlement agreement secured from a claimant.
Subpart D--Claims Under the Foreign Claims Act (FCA)
Sec. 750.43 Scope of subpart D.
This section provides information regarding the administrative
processing of claims against the United States under the Foreign Claims
Act (FCA). Foreign claims are demands for payment against the United
States presented by inhabitants of foreign countries for property
damage, personal injury, or death occurring outside the United States
caused either by the negligent or wrongful act or omission of military
members or civilian employees of the U.S. Armed Forces or by the
noncombat activities of these forces in foreign countries. The
statutory purpose of the FCA is to ``promote and maintain friendly
relations through the prompt settlement of meritorious claims'' in
foreign countries.
Sec. 750.44 Statutory authority.
(a) The statutory provisions of the Foreign Claims Act (FCA) are at
10 U.S.C. 2734. The FCA authorizes filing, investigating, processing,
and settling foreign claims under such regulations as the service
Secretary shall prescribe.
(b) The regulations implementing the FCA are separate and distinct
from the procedures governing implementation of the International
Agreement Claims Act (IACA), 10 U.S.C. 2734a and 2734b.
Sec. 750.45 Scope of liability.
(a) General. The Foreign Claims Act and its implementing
regulations should be broadly construed to carry out the statutory
purpose. The United States generally accepts responsibility for damage,
injury, or death to local inhabitants caused by either the negligent or
wrongful act or omission of military members or civilian employees of
the U.S. Armed Forces or by the noncombat activities of our armed
forces in foreign countries. Meritorious claims should be settled
fairly and promptly, without regard to whether the acts giving rise to
them are mistaken, negligent, intentional, or even criminal.
(b) Claims Payable. For a claim to be payable under the FCA, both
the claimant and the incident giving rise to the claim must be covered
by the statute (10 U.S.C. 2734).
(1) Covered claimants. The FCA applies only to inhabitants of
foreign countries who are defined as persons, corporations, or other
Government or business entities, whose usual place of abode or activity
is in a foreign country. The claimant need not be an inhabitant of the
particular country in which the claim arose. Examples of covered
claimants include foreign nationals residing in a foreign country;
foreign nationals visiting or traveling in a foreign country where they
do not reside; U.S. citizens residing in a foreign country if they are
inhabitants of a foreign country and are not there as U.S. Service
members or civilian employees (or their sponsored dependents) or as
U.S. civilian contractors performing work pursuant to an agreement with
the U.S. Government; a corporation or other organization doing business
in a foreign country on a permanent basis, even if organized under U.S.
law, provided that the corporation or organization is not providing
work pursuant to a contract with the U.S. Government; and foreign
governments and their political subdivisions, including the equivalents
of State, county, and city governments, unless excluded by waiver
provisions of an international agreement.
(2) Covered incidents. Unless otherwise prescribed, a claim for
personal injury, death, or damage to or loss of real or personal
property may be paid under these regulations if the incident occurred
outside the U.S. and was caused by either the negligent or wrongful act
or omission of military members or civilian employees of the U.S. Armed
Forces or caused by the non-combat activities of these forces.
(3) Scope of Employment. As a general rule, scope of employment of
the service member or civilian employee that allegedly caused the loss
is immaterial. If, however, a claim arises from the act of a U.S.
employee who is an indigenous person (local hire), prisoner of war, or
interned enemy alien, scope of employment is a prerequisite to United
States responsibility. Claims arising from the operation of a U.S.
Armed Forces vehicle by a U.S. employee who is an indigenous person
(local hire), prisoner of war, or interned enemy alien are cognizable
and may be paid if local law imposes liability on the owner of the
vehicle under the circumstances.
(c) Claims Not Payable. (1) Claims of insurers and other subrogees.
(2) Claims of sponsored dependents accompanying members and
civilian employees of the U.S. Armed Forces, or U.S. national civilians
employed by either the U.S. Government or a civilian contractor
performing under an agreement or contract with the U.S. Government.
(3) Claims of foreign military personnel suffering injury or death
incident to a joint military mission or exercise with U.S. Armed
Forces, or as a result of the actions of a member or civilian employee
of the U.S. Armed Forces, acting within the scope of employment, unless
a treaty specifically provides for recovery.
(4) Claims of civilian employees of the U.S., including local
inhabitants, injured incident to their employment. Compensation for
such injuries is separately provided in Federal statutes and agreements
with foreign governments.
(5) Claims of national governments or their political subdivisions
engaging in combat with the United States or its allies.
(6) Claims of a national or a corporation controlled by a national
of a country engaging in combat with the United States or its allies,
unless it is determined that the claimant is friendly.
(7) Claims resulting from combat activities, except that claims
arising from an accident or malfunction incident to aircraft
operations, including airborne ordnance, occurring while preparing for,
going to, or returning from a combat mission may be paid.
(8) Claims previously paid or denied.
(9) Claims purely contractual in nature.
(10) Claims involving private contractual and domestic obligations
of individuals.
(11) Claims based solely on compassionate grounds.
(12) Claims for paternity or illegitimacy.
(13) Claims payable under other Federal statutes.
(14) Claims for damage caused by naval vessels, unless payment is
specifically authorized by the Office of the Judge Advocate General of
the Navy (Code 11) in accordance with JAGINST 5800.7F, Chapter XI.
[[Page 51385]]
Sec. 750.46 Statute of limitations.
An FCA claim must be presented in writing to the appropriate U.S.
military authorities within 2 years of the date it accrues. A claim
accrues when the claimant discovers or reasonably should have
discovered the personal injury or property damage giving rise to the
claim. To compute the statutory time period, exclude the day the claim
accrued and include the day the claim was filed.
Sec. 750.47 Filing a claim.
(a) Presentation of the Claim. An FCA claim may be presented to the
Office of the Judge Advocate General, Tort Claims Unit (TCU) Norfolk,
9620 Maryland Ave, Suite 205, Norfolk, VA 23511-2949. In the
alternative, the claim may be presented to any U.S. authority or to
foreign government authorities if authorized under a Status of Forces
Agreement (SOFA) or other applicable treaty or agreement. Claims shall
be promptly transferred to the appropriate authorities for processing
(see paragraph (b) of this section).
(b) Appropriate Authorities--(1) General. The commanding officer of
the organization or individual(s) whose activities gave rise to the
claim has authority to process claims under these regulations, subject
to the restrictions of any SOFA provisions or DODI 5515.18 (series)
which assigns single-service claims responsibility. A commander who
receives a claim that is not under his cognizance shall forward the
claim promptly to the appropriate authority and shall provide
assistance necessary to investigate and adjudicate the claim.
(2) RLSO EURAFSWA. The Commanding Officer RLSO EURAFSWA has
authority to process all claims under the Foreign Claims Act arising in
their Area of Responsibility. The Commanding Officer RLSO EURAFSWA is
authorized to pay any claim regardless of the amount claimed when
payment does not exceed $50,000.00 and has unlimited denial authority.
(3) International agreements. Article VIII of the NATO SOFA and
similar provisions of SOFAs with individual foreign countries may
restrict the use of the FCA by authorizing foreign government officials
to process claims that would otherwise be cognizable under the FCA.
Therefore, consult the pertinent directives of the area commander to
ensure proper processing.
(4) Single-service claims responsibility. DoDI 5515.08 (series)
assigns single-service claims responsibility to individual military
departments for processing claims in specified foreign countries. It
also authorizes the Navy to settle claims for less than $2,500 arising
in foreign ports visited by U.S. forces afloat, including those arising
in countries assigned to the Departments of the Army and the Air Force.
If a claim arises in a country not specifically assigned by either of
these references, the military service component of the employee who
caused the damage/injury is responsible for adjudication. Claims
arising out of DON activities in countries assigned to the Army and the
Air Force must be forwarded promptly to the appropriate military
department and may not be processed by DON entities.
(5) Claims under admiralty jurisdiction. Admiralty claims arising
in foreign countries may be adjudicated under the FCA provided that the
claim is not otherwise cognizable under applicable admiralty statutes
and regulations. In particular, the reciprocity provisions of the
Public Vessels Act (46 U.S.C. 781 and 785) must be met. Prior
authorization by the Judge Advocate General (OJAG Code 11) is required.
Sec. 750.48 The administrative claim.
A proper claim must be in writing and filed on a Standard Form 95
or other written notification of the incident. If a letter or other
written notification is used, it must set forth the same basic
information required by Standard Form 95.
(a) Proper signature. The claim may be signed by either the injured
party or an authorized agent. A claim signed by an agent or legal
representative will be filed in the name of the claimant, show the
title or legal capacity of the person signing, and be accompanied by
evidence of their authority to sign the claim on behalf of the
claimant.
(b) Sufficiently detailed. The claim must describe the incident in
sufficient detail to give reasonable notice of the time, place,
circumstances, and resulting harm so as to allow the DON to
investigate.
(c) Sum certain. A proper claim must include a demand for a
specific and definite sum of money damages for property damage,
personal injury, or death alleged to have occurred as a result of the
incident.
(d) Substantiation. See subpart B, Sec. 750.19 for a detailed
discussion of the supporting documentation required to substantiate a
tort claim presented against the United States under any of the claims
statutes. Supporting documentation requirements will vary according to
the type of claim presented (i.e., property damage, personal injury, or
wrongful death).
(e) Amending the claim. A claim may be amended in writing at any
time prior to final settlement or denial and must be signed by the
claimant or an authorized agent.
Sec. 750.49 Damages.
(a) General. The local laws, standards, and customs, of the country
where the incident occurred control when computing damages for personal
injury, death, or damage to property.
(b) Compensation. An appropriate award is generally limited to
reasonable compensation for the injury, death, or property damage, or
loss only and does not extend to payment of punitive damages,
interests, costs, attorneys fees, or any other such charges, regardless
of whether they are allowed by local laws, standards, or customs. In
cases of personal injury or death, compensation may include medical
expenses, pain and suffering, burial expenses, loss of society and
companionship, and lost income. In cases of permanent disability,
compensation may also include diminished earning capacity and costs of
medical care in the future. In cases of property damage, compensation
mayinclude cost of repair, cost of replacement or diminished value, and
loss of use of the property.
(c) Comparative fault. A claimant's negligence or wrongful act
contributing to the injury, death, or damage that is the basis of the
claim may bar the claim entirely or diminish the claim proportionately.
Sec. 750.50 Foreign Claims Commissions.
(a) Purpose. The purpose of a Foreign Claims Commission (FCC) is to
settle meritorious claims fairly and promptly. An FCC shall deny or pay
(in full or in part) all claims in accordance with its adjudicating
authority or, when required under these regulations, forward
adjudication recommendations to appropriate higher authorities.
(b) Authority to appoint. (1) All commanding officers of the Navy
and Marine Corps have authority to appoint an FCC, unless restricted by
a competent superior commander.
(2) For the purpose of the FCA and these regulations, the following
officers are considered commanding officers: The Judge Advocate General
of the Navy; Commanding Officer, RLSO EURAFSWA; Chiefs of Naval
Missions (including Chiefs of the Naval Section of Military Missions);
Chiefs of Military Assistance Advisory Groups (including chiefs of the
naval section of such groups); and naval attach[eacute]s.
(c) Composition of the FCC. An FCC shall be composed of either one
or three members. Members shall be commissioned officers of the Navy or
[[Page 51386]]
Marine Corps of sufficient grade and experience to carry out the
purpose of the Commission. Whenever possible, at least one member of
the Commission shall be a judge advocate. For detailed discussion of
the composition of an FCC, the qualification of its members, and the
various levels of adjudicating authority held by each type of
Commission (ranging from $5,000 to $20,000 depending on the composition
of the Commission), see JAGINST 5800.7F, Chapter VIII (paragraph 0815).
Sec. 750.51 Processing claims.
(a) Action by the Appointing Authority. The cognizant commanding
officer [see Sec. 750.47(b)(1)] is the appointing authority for the
FCC that will adjudicate the claim. The staff judge advocate for the
cognizant commanding officer is responsible for providing advice,
guidance, and review to the commanding officer, the FCC, and claims
investigating officer on the policies and procedures in these
regulations. The appointing authority shall convene an appropriate
investigation or obtain the report of investigation if one has already
been conducted, refer the claim with the investigative report to the
FCC for adjudication, and take action or forward it as appropriate.
(b) Action by the Claims Investigating Officer. There is no formal
procedure for conducting an investigation of a foreign claim. A
transcript of witness testimony is not required; a written summary of
the substance of any statement is adequate. The formal rules of
evidence do not apply, and any relevant evidence may be received to
establish the essential facts of the incident. A written report of the
investigation shall be submitted to the appointing authority as soon as
practicable.
(c) Action by the FCC. The FCC will review the claim and the
investigation. If appropriate, the FCC will negotiate with the claimant
for settlement of the claim within the limits of the FCC's adjudicating
authority. The FCC will deny or pay the claim, in full or in part,
within the limits of the FCC's denial or payment authority ($20,000
max). When an FCC recommends payment or denial of a claim in excess of
its denial or payment authority, the original report and all related
documents shall be forwarded to the appointing authority for retention
with a copy forwarded by the appointing authority to OJAG Code 15 for
further action.
Sec. 750.52 Action on forwarded claims.
When the FCC recommends payment or denial of a claim in excess of
the FCC's authority, the following officers may approve or disapprove
the recommendation and pay the claim, in whole or in part, or return
the claim with instructions to the appointing authority or the FCC:
(a) Claims up to $50,000.00. The Deputy Judge Advocate General of
the Navy, the Assistant Judge Advocate General (Civil Law), the
Division Director (Claims and Tort Litigation) and for claims arising
in his area of responsibility, the Commanding Officer, RLSO EURAFSWA.
These officials have unlimited denial authority.
(b) Claims from $50,000.00 to $100,000.00. The Judge Advocate
General of the Navy.
(c) Claims in excess of $100,000.00. The Secretary of the Navy.
Sec. 750.53 Reconsideration, appeal, and suit.
(a) Reconsideration. (1) A claim may be reconsidered when it
appears that the original action was incorrect in law or fact based on
the evidence of record at the time of the action or based on evidence
subsequently received. The request for reconsideration must be received
by the FCC within 60 days of the date of the denial letter unless good
cause is shown.
(2) Claimant's request for reconsideration should indicate the
legal or factual basis asserted as grounds for relief.
(3) The claim may be reconsidered by the original FCC, a successor
FCC, or a newly appointed FCC upon written request from the claimant,
upon the original FCC's initiative, or upon direction by a superior
officer authorized to take action on the claim.
(4) If the FCC concludes that the original action was incorrect, it
will modify the decision or forward a supplemental recommendation
through the appointing authority for action. If the FCC concludes that
the original action was correct, it will affirm the decision, and
forward a memorandum for information through the appointing authority.
(5) When action on reconsideration has been completed and approved,
the appointing authority shall notify the claimant that such action is
final and conclusive by law.
(b) Appeal. There is no right of appeal under this statute.
(c) Suit. The United States has not consented to be sued under this
statute.
Sec. 750.54 Payment.
(a) Release. A settlement agreement and release shall be obtained
from the claimant when payment of an award is accepted. The settlement
amount shall be set forth in U.S. Dollars to be paid in local currency
at the currency exchange rate in effect at the time of payment. If
payment will be made by electronic wire transfer, the necessary banking
and routing information should be included on the settlement agreement.
(b) Advance Payments. Advance payments may be paid under this
section.
(c) Currency. Due to Federal currency restrictions, all payments
under this chapter shall be made in the local currency of the country
in which the claim arose or in the currency of the country where the
claimant resides at the time of such payment.
Subpart E--Claims Under the Nonscope Claims Act (NSCA)
Sec. 750.55 Scope of subpart E.
This section provides information on payment of claims against the
United States, not payable under any other statute, for damages caused
by the act or omission, negligent, wrongful, or otherwise involving
fault, of DON personnel acting outside the scope of their employment or
by latent defects in certain Government equipment.
Sec. 750.56 Statutory authority.
Title 10 U.S.C. 2737 provides authority for the administrative
settlement in an amount not to exceed $1,000.00 of any claim against
the United States not cognizable under any other provision of law for
damage, loss, or destruction of property or for personal injury or
death caused by military personnel or a civilian official or employee
of a military department incident to the use of a vehicle of the United
States at any place, or any other property of the United States on a
Government installation. There is no right to sue. There are no
territorial limitations and the Act has worldwide application.
Sec. 750.57 Definitions.
(a) Civilian official or employee. Any civilian employee of the DON
paid from appropriated funds at the time of the incident.
(b) Vehicle. Includes every description of carriage or other
artificial contrivance used, or capable of being used, as a means of
transportation on land.
(c) Government installation. Any Federal facility having fixed
boundaries and owned or controlled by the U.S. Government. It includes
both military bases and nonmilitary installations.
Sec. 750.58 Claim procedures.
(a) The general provisions of subpart A of this part shall apply in
determining what is a proper claim, who is a proper claimant, and how a
claim is to be
[[Page 51387]]
processed under 10 U.S.C. 2737 and this section.
(b) A claim is presented when the DON receives from a claimant or
the claimant's duly authorized agent, written notification of a
nonscope claim incident accompanied by a demand for money damages in a
sum certain.
(c) A claimant may amend a claim at any time prior to final action.
Amendments will be submitted in writing and signed by the claimant or
the claimant's duly authorized agent.
(d) Claims submitted under the provisions of the FTCA or MCA shall
be considered automatically for an award under this section when
payment would otherwise be barred because the DON personnel were not in
the scope of their employment at the time of the incident. If a tender
of payment under this section is not accepted by the claimant in full
satisfaction of the claim, no award will be made, and the claim will be
denied pursuant to the rules applicable to the statute under which it
was submitted.
(e) Damages caused by latent defects of ordinary, commercial type,
Government equipment that were not payable under the MCA, Foreign
Claims Act, or FTCA are payable under this section.
(f) Nonscope claims for damages caused by local national DON
employees overseas are also payable under this section if the injury
was caused by the use of Government equipment.
(g) Payment may not be made on a nonscope claim unless the claimant
accepts the amount offered in full satisfaction of the claim and signs
a settlement agreement.
(h) Payment for nonscope claims adjudicated by field commands will
be affected through their local disbursing office by use of funds
obtained from the Judge Advocate General.
(i) If a nonscope claim is denied, the claimant shall be informed
of reasons in writing and advised he may appeal in writing to the
Secretary of the Navy (Judge Advocate General) provided the appeal is
received within 30 days of the notice of denial. The provisions of
Sec. 750.38(c) of subpart C also apply to denials of nonscope claims.
Sec. 750.59 Statute of limitations.
(a) A claim must be presented in writing within 2 years after it
accrues. It accrues at the time the claimant discovers, or in the
exercise of reasonable care should have discovered, the existence of
the act or omission for which the claim is filed.
(b) In computing time to determine whether the period of limitation
has expired, exclude the incident date and include the date the claim
was presented.
Sec. 750.60 Officials with authority to settle.
The Judge Advocate General; Deputy Judge Advocate General;
Assistant Judge Advocate General, Civil Law; Director, Claims and Tort
Litigation; and Head, Tort Claims Branch, Claims and Tort Litigation
may settle a nonscope claim.
Sec. 750.61 Scope of liability.
(a) Subject to the exceptions in Sec. 750.50 of specific claims
not payable, the United States shall not pay more than $1,000.00 for a
claim against the United States, not cognizable under any other
provision of law, except Article 139, UCMJ.
(b) Article 139, UCMJ, 10 U.S.C. 939, is not preemptive. The
prohibition in 10 U.S.C. 2737 on paying claims ``not cognizable under
any other provisions of law'' applies only to law authorizing claims
against the United States. Article 139 authorizes claims against
service members. See subpart H of this part.
Sec. 750.62 Claims not payable.
(a) A claim for damage, loss, or destruction of property or the
personal injury or death caused wholly or partly by a negligent or
wrongful act of the claimant or his agent or employee.
(b) A claim, or any part thereof, that is legally recoverable by
the claimant under an indemnifying law or indemnity contract.
(c) A subrogated claim.
Sec. 750.63 Measure of damages.
Generally, the measure-of-damage provisions under the MCA are used
to determine the extent of recovery for nonscope claims. Compensation
is computed in accordance with Sec. Sec. 750.34 and 750.35 of subpart
C, except damages for personal injury or death under this section shall
not be for more than the cost of reasonable medical, hospital, and
burial expenses actually incurred and not otherwise furnished or paid
for by the United States.
Subpart F--Claims Under the Personnel Claims Act (PCA)
Sec. 750.64 Scope of subpart F.
(a) This subpart describes the procedures and substantive bases for
administrative settlement of claims submitted by Department of the Navy
(DON) personnel and civilian employees under the Military Personnel and
Civilian Employees' Claims Act (PCA), 31 U.S.C. 3721, and for the
administrative pursuit by DON of recovery from carriers, contractors,
or insurers responsible for loss, damage or destruction of such
personal property.
(b) The PCA is a gratuitous payment statute that Congress intended
to help lessen the hardships of military life by providing limited
compensation for certain types of property losses. The PCA authorizes
payment of claims for the fair market value (FMV) of personal property
lost, damaged or destroyed incident to service. This limited
compensation is not a substitute for private insurance. Intangible
property and consequential and incidental damages are not considered
personal property and are not payable under the statute. ``Fair market
value'' is the price that an item would sell for from a retailer who
routinely sells the product minus the depreciation based upon its age
or, if the item cannot be purchased, what it cost to replace on the
open market, given its age and condition.
(c) The PCA and the provisions of this enclosure preempt payment
under any other claims statute. Claims not cognizable under the PCA
may, however, be cognizable under another claims statute.
Sec. 750.65 Statutory authority.
(a) 31 U.S.C. 3721, The Military Personnel and Civilian Employees'
Claims Act (PCA).
(b) 10 U.S.C. 2636a (Full Replacement Value).
(c) 10 U.S.C. 2740 (Gap Legislation).
(d) 31 U.S.C. 3711--3720e, The Federal Claims Collection Act.
(e) 49 U.S.C. 14706, The Carmack Amendment to the Interstate
Commerce Act.
Sec. 750.66 Adjudicating authority.
(a) Responsibility for adjudicating claims under the PCA and
asserting and settling claims against carriers, contractors, or
insurers rests with the Personnel Claims Unit (PCU) located in Norfolk,
Virginia.
(b) The Judge Advocate General, the Deputy Judge Advocate General,
the Assistant Judge Advocate General (Civil Law), the Director, Claims
and Tort Litigation (OJAG Code 15), and the Head, Affirmative and
Personnel Claims Branch (OJAG Code 15) have been delegated authority to
adjudicate claims against the DON for $100,000.00 or less and denial
authority in any amount. Any individual who has been personally
designated by the Director, Claims and Tort Litigation, may adjudicate
claims up to $40,000.00 and may deny claims in any amount.
Sec. 750.67 Proper claimants.
The definition of a proper claimant is based on a claimant's status
at the time the claim accrued, even if the member or employee has
separated from Federal
[[Page 51388]]
service at the time the claim is filed. The following are proper
claimants:
(a) Navy and Marine Corps active duty members and reservists on
active duty or active duty for training at the time the claim accrued;
(b) Civilian employees of the Navy and Marines who are paid from
appropriated funds;
(c) Non-appropriated Fund Instrumentality (NAFI) employees whose
salaries are paid from non-appropriated funds;
(d) Department of Defense (DoD) Education Activity (DoDEA)
teachers; and
(e) Authorized agents or legal representatives of the claimant, who
provide a Power of Attorney and certain relatives of a deceased
claimant.
Sec. 750.68 Claims payable.
(a) Claims for loss of property are compensable if the loss was
incident to service and possession of the property was reasonable and
useful under the circumstances.
(1) Claims may be payable for loss of property at assigned quarters
or other authorized places, i.e., non-household goods (non-HHG) claims,
if caused by theft, vandalism, fire, flood, or other unusual
occurrence.
(2) Claims may also be payable for the loss of property incurred
during transportation or storage under orders and at Government
expense, i.e., household goods (HHG) claims.
Sec. 750.69 Claims not payable.
(a) Any part of the loss that was caused in any part by the
negligence or wrongful act of the claimant.
(b) Any part of the loss that is payable by any available
insurance, except for the loss of HHG shipped or stored at Government
expense pursuant to the Full Replacement Act. In this case, the
claimant would first file a claim with the Transportation Service
Provider (TSP) in accordance with the contract requirements. In cases
where a catastrophic event occurs during transit, and the loss exceeds
the TSP's maximum liability, the member must then pursue through any
available insurance before filing a PCA claim.
(c) Any claim presented more than two years from the date of
accrual.
Sec. 750.70 Statute of limitations.
A claim must be filed within two years from the date it accrues
unless it accrues during armed conflict and good cause is shown, in
which case the time limitation may be extended until the armed conflict
is terminated. A claim accrues on the day the claimant knows or should
know of the loss--either the day of the incident or in the case of HHG
claims, the date of delivery.
Sec. 750.71 Filing a claim.
(a) Non-HHG claims as well as HHG claims not electronically filed
in the USTRANSCOM-managed claims filing system should be submitted on
DD Form 1842 (Claim for Loss of or Damage to Personal Property Incident
to Service) accompanied by DD Form 1844 (Schedule of Property).
However, any writing will be accepted and considered as long as it
substantially describes the facts necessary to support a claim
cognizable under these regulations. The claim must be signed by a
proper claimant or by a person with appropriate power of attorney (POA)
from a proper claimant. The claim must be submitted to the PCU at the
address, email, or facsimile number indicated at the U.S. Navy Judge
Advocate General's Corps website at https://www.jag.navy.mil/organization/code_15.htm.
(b) HHG Claims electronically filed in a USTRANSCOM-managed claims
filing system can be transferred to the PCU electronically by selecting
the ``transfer to MCO option available in the system.
(c) If a HHG claim is received by a PCU within nine months after
the date of delivery, and the member has not first filed with the TSP,
the PCU will transmit the claim to the TSP in order to ensure the
member meets the requirements to qualify for FRV, unless the claimant
directs otherwise.
Sec. 750.72 Computation of payment.
The military services publish an Allowance List-Depreciation Guide
(ALDG) that specifies rates of depreciation and maximum payments
applicable to categories of property that governs all PCU payments. For
HHG, the value of a loss is first determined consistent with the ALDG
and then adjusted to reflect payments, repairs, or replacement by TSPs
or insurance companies, or lost potential recoveries except in very
limited cases involving HHG shipments where the PCU may pay Full
Replacement Value (FRV).
Sec. 750.73 Notice of decision.
Upon adjudication, the claimant will be notified in writing of the
amount authorized and of the right to request reconsideration of the
decision.
Sec. 750.74 Reconsideration.
A request for reconsideration must be submitted to the original
adjudicating authority within six months from the date the claimant
received the initial claim adjudication.
Sec. 750.75 Carrier recovery claims.
For Naval and Marine Corps personnel whose PCA claims for HHGs lost
or damaged during shipment were adjudicated and compensated by the PCU,
assertion of a claim against the carrier to recover the amount paid is
the responsibility of the PCU unless the shipment was arranged by the
Department of State (DOS). In those moves, recovery is the
responsibility of DOS. Recovery efforts will be in accordance with the
Defense Personal Property Program Claims and Liability Business Rules.
Subpart G--Admiralty Tort Claims
Sec. 750.76 Scope of subpart G.
This part applies to admiralty tort claims. These include claims
against the United States for damage caused by a vessel in the naval
service or by other property under the jurisdiction of the Navy, or
damage caused by a maritime tort committed by an agent or employee of
the Navy for which the Navy has assumed an obligation to respond for
damage. Affirmative claims by the United States for damage caused by a
vessel or floating object to Navy property are covered under this part.
Sec. 750.77 Statutory authority.
28 U.S.C. 1333; 46 U.S.C. 740; 10 U.S.C. 7621-7623; 32 CFR 700.105
and 700.331.
Sec. 750.78 Organization.
(a) Administrative authority of the Secretary of the Navy. The
Secretary of the Navy has administrative authority for settlement and
direct payment where the amount paid does not exceed $ 15,000,000 and
where the matter is not in litigation, of claims for damage caused by
naval vessels or by other property under the jurisdiction of the Navy,
or damage caused by a maritime tort committed by an agent or employee
of the Navy, and for towage or salvage services rendered to naval
vessels (10 U.S.C. 7622). The Secretary also has authority to settle
affirmative admiralty claims for damage caused by a vessel or floating
object to property under the jurisdiction of the Navy (10 U.S.C. 7623).
(b) Admiralty and Maritime Law Division of the Office of the Judge
Advocate General. The Navy's admiralty tort claims are processed and
adjudicated in the Admiralty and Maritime Law Division of the Office of
the Judge Advocate General. All correspondence with the Admiralty and
Maritime Law Division should be addressed to the Office of the Judge
Advocate General (Code 11), 1322
[[Page 51389]]
Patterson Avenue SE, Suite 3000, Washington Navy Yard, DC 20374-5066.
(c) Mission and policy. The primary mission of the Admiralty and
Maritime Law Division is to effect prompt and equitable settlements of
admiralty claims, both against and in favor of the United States. The
settlement procedure has evolved to eliminate the expenses and delays
arising out of litigation and to obtain results advantageous to the
financial interests of the United States. Where settlements cannot be
made, litigation ensues in the Federal Courts. The final test of
whether a settlement is justified is the probable result of litigation.
Settlements are therefore considered and determined by the probable
results of litigation. The policy of the Navy is to effect fair and
prompt settlements of admiralty claims wherever legal liability exists.
(d) Admiralty tort claims. As indicated in paragraphs (a) through
(c) of this section, the Admiralty and Maritime Law Division primarily
handles admiralty tort claims. These are claims for damage caused by
vessels in the naval service or by other property under the
jurisdiction of the Navy, or damage caused by a maritime tort committed
by an agent or employee of the Navy, and claims for damage caused by a
privately owned vessel to a vessel or property of the Navy (affirmative
claims). The Admiralty and Maritime Law Division also handles claims
for towage and salvage services rendered to a vessel in the naval
service.
(e) Admiralty contract claims. Admiralty contract claims arising
out of the operations of the Military Sealift Command (MSC) are handled
by its Office of Counsel. MSC is responsible for the procurement of
vessels and space for the commercial ocean transportation of DoD cargo,
mail, and personnel. It is also responsible for the maintenance,
repair, and alteration of Government-owned vessels assigned to it. The
Office of Counsel, MSC, deals with the various claims of a contract
nature which arise out of these operations. These include claims for
cargo damage, charter hire, redelivery, general average, and claims
arising under MSC ship-repair contracts.
(f) Damage caused by Navy contract stevedores. Office of Counsel,
Naval Supply Systems Command, has cognizance of admiralty claims for
damage caused by Navy contract stevedores. Under these stevedore
contracts, the stevedoring companies are responsible for negligent acts
of their employees which result in vessel damage. It is important that
the extent of any such damage be accurately determined and promptly
reported to the contracting officer having cognizance of the particular
stevedore contract involved.
(g) Resolving conflicts. Admiralty tort claims, such as collision,
personal injury, and death claims, are dealt with by the Admiralty and
Maritime Law Division, irrespective of whether an MSC vessel or other
naval vessel is involved. Whether any particular claim is to be handled
by JAG or by MSC, therefore, is determined by the nature of the claim.
Cases may arise which could be handled by either office. If doubt
exists, such matters should be reported both to JAG and to MSC. An
agreement will then be reached between the Admiralty and Maritime Law
Division and the Office of Counsel, MSC, as to how the incident should
be handled.
Sec. 750.79 Claims against the Navy.
(a) Settlement authority. 10 U.S.C. 8822 provides settlement
authority for damage caused by a vessel in the naval service or by
other property under the jurisdiction of the DON; compensation for
towage or salvage service, including contract salvage, rendered to a
vessel in the naval service or to other property of the Navy; or damage
caused by a maritime tort committed by any agent or employee of the DON
or by property under the jurisdiction of the DON. The limit on the
Secretary's settlement authority is payment of $15,000,000. A claim
which is settled for an amount over $15,000,000 is certified to
Congress for payment. Section 8822 provides that the Secretary may
delegate his settlement authority in matters where the amount to be
paid is not over $1,000,000. Under the Secretary's delegation,
settlements not exceeding $300,000 may be effected by the Judge
Advocate General. Under the Secretary's delegation, settlements not
exceeding $250,000 may be effected by the Deputy Assistant Judge
Advocate General (Admiralty and Maritime Law).
(b) Settlement is final. The legislation specifically authorizes
the Secretary to settle, compromise, and pay claims. The settlement,
upon acceptance of payment by the claimant, is final and conclusive for
all purposes.
(c) Settlement procedures. Where the amount paid is over $300,000,
after agreement is reached with counsel or claimants, the procedure is
to prepare a settlement recommendation for the approval of the
Secretary of the Navy. When settlement has been approved, the voucher
required for effecting payment is prepared. The settlement check is
then exchanged, in keeping with the commercial practice, for an
executed release. In some situations, where the exchange of documents
is impracticable, a claimant is requested to forward the executed
release by mail, on the understanding that the release does not become
effective until the check is received in payment. Claims settled under
10 U.S.C. 8822 are paid out of annual DoD appropriations.
(d) Limitation period. The Secretary's settlement authorization is
subject to a two-year limitation. This limitation is not extended by
the filing of claim nor by negotiations or correspondence. A settlement
agreement must be reached before the end of the two-year period. If
settlement is not accomplished, then the claimant must file suit under
the appropriate statute to avoid the limitation bar. The agreement
reached in negotiations must receive the approval of the Secretary of
the Navy or his designee, depending on the amount involved, prior to
the expiration of the two-year period.
(e) Matters in litigation. When suit is filed, the matter comes
within the cognizance of the Department of Justice, and the Secretary
of the Navy is no longer able to entertain a claim or to make
administrative settlement.
Sec. 750.80 Affirmative claims.
(a) Settlement authority. The Navy has the same authority to settle
affirmative admiralty claims as it does claims against the Navy. The
statute conferring this authorization is codified in 10 U.S.C. 8823,
and is the reciprocal of 10 U.S.C. 8822 referred to in Sec. 750.79.
(b) Scope. 10 U.S.C. 8823 is a tort claims-settlement statute. It
is not limited to affirmative claims arising out of collision, but
embraces all instances of damage caused by a vessel or floating object
to property of the United States under the jurisdiction of the DON or
for which the DON has assumed an obligation to respond. Perhaps the
most frequent instance is where a privately owned vessel damages a Navy
pier or shore structure. To eliminate any issue of whether the damaging
instrumentality was a vessel, the words ``or floating object'' were
included.
(c) Statute of limitation. The United States is subject to a three-
year statute of limitation when it asserts an affirmative claim for
money damages grounded in tort. This limitation is subject to the usual
exclusions, such as inability to prosecute due to war, unavailability
of the ``res'' or defendant, and certain exemptions from legal process
(28 U.S.C. 2415, 2416).
(d) Litigation. 10 U.S.C. 8823 does not apply to any claim where
suit is filed. If the Admiralty and Maritime Law Division is unable to
effect settlement, the matter is referred to the Department of Justice
for the filing of a complaint
[[Page 51390]]
against the offending party. Thereafter, as in the case of adverse
litigated claims, the Navy has no further authority to effect
settlement.
Sec. 750.81 Salvage.
(a) Scope. This section relates to salvage claims against or by the
Navy for compensation for towage and salvage services, including
contract salvage, rendered to a vessel in the naval service or to other
property under the jurisdiction of the DON, or for salvage services
rendered by the DON. Suits for salvage may be maintained under the
Public Vessels Act, and salvage claims are within the Secretary of the
Navy's administrative-settlement authority under 10 U.S.C. 8822.
Salvage claims against the Navy are reported to and processed by the
Judge Advocate General (Admiralty and Maritime Law Division). Both
claims and suits for salvage against the United States are subject to
the two-year limitation of the Public Vessels Act and the Navy's
settlement authority.
(b) Affirmative claims. Authorization for the settlement of
affirmative salvage claims is contained in 10 U.S.C. 8703. Assertion of
such claims is handled in the first instance by the Assistant
Supervisor of Salvage (Admiralty), USN, Naval Sea Systems Command,
SUPSALV--00CL, 1333 Isaac Hull Ave. SE, Stop 1070, Washington Navy
Yard, DC 20376-1070. Salvage claims are referred to the Admiralty
Division only if the Assistant Supervisor of Salvage (Admiralty) is
unsuccessful in making collection. Any money received in settlement of
affirmative salvage claims is credited to appropriations for
maintaining salvage facilities by the Navy, pursuant to 10 U.S.C. 8704.
Subpart H--Claims for Property Damage Under Article 139, Uniform
Code of Military Justice
Sec. 750.82 Scope of subpart G.
This chapter provides for assessments against the pay of members of
the naval service in satisfaction of claims for property damage caused
under certain circumstances. Claims for damage, loss, or destruction of
privately owned property caused by a person or persons in the naval
service, are payable under Article 139, UCMJ, only if such damage,
loss, or destruction is caused by riotous conduct, willful conduct, or
acts showing such reckless or wanton disregard of the property rights
of others that willful damage or destruction is implied. Acts of the
type punishable under Article 109, UCMJ, are cognizable under Article
139, UCMJ. Charges against pay under these regulations shall be made
only against the pay of persons shown to have been principal offenders
or accessories.
Sec. 750.83 Statutory authority.
10 U.S.C. 939, commonly referred to as Uniform Code of Military
Justice, Article 139: Redress of injuries to property.
Sec. 750.84 Claims not cognizable.
The following claims are not cognizable under this subpart:
(a) Claims resulting from simple negligence;
(b) Claims of subrogees;
(c) Claims for personal injury or death;
(d) Claims arising from acts or omissions within the scope of
employment of the offender; and
(e) Claims for reimbursement for damage, loss, or destruction of
Government property.
Sec. 750.85 Limitation on claims.
(a) Time limitations. A claim must be submitted within 90 days of
the incident giving rise to it.
(b) Acts of property owner. When the acts or omissions of the
property owner, his lessee, or agent were a proximate contributing
factor to the loss or damage of the property, assessments will not be
made against members of the naval service in excess of the amount for
which they are found to be directly responsible, i.e., comparative
responsibility for the loss will be the standard for determining
financial responsibility.
(c) Only direct damages considered. Assessment will be made only
for direct physical damages to the property. Indirect, remote, or
inconsequential damage will not be considered.
Sec. 750.86 Complaint by the injured party and investigation.
(a) A claim shall contain a statement setting forth the amount of
the claim, the facts and circumstances surrounding the claim, and any
other information that will assist in the investigation and resolution
of the matter. When there is more than one complaint resulting from a
single incident, each claimant must file a claim separately and
individually. The claim shall be personally signed by the claimant or
his duly authorized representative or agent.
(b) Where a complaint is received by a commanding officer to whose
command the alleged offenders do not report, he shall forward the claim
and other pertinent information about the matter to the member's
commanding officer. Where the command of the alleged offenders cannot
be determined, the claim and supporting materials shall be forwarded to
the Chief of Naval Personnel or the Commandant of the Marine Corps, as
appropriate, for action.
(c) Once a complaint is received, the responsible commanding
officer will convene an investigation into the circumstances
surrounding the claim, gather all relevant information about the matter
(answering the who, what, where, when, why, and how questions), and
make findings and opinions, as appropriate, about the validity of the
claim under Article 139, UCMJ, and these regulations. The investigation
shall determine the amount of damage suffered by the property owner.
(d) The investigation shall make recommendations about the amount
to be assessed against the pay of the responsible parties. If more than
one person is found responsible, recommendations shall be made about
the assessments against all individuals.
Sec. 750.87 Action where offenders are members of one command.
(a) Action by commanding officer. The commanding officer shall
ensure the alleged offenders are shown the investigative report and are
advised they have 20 days within which to submit a statement or
additional information on the incident. If the member declines to
submit information, he shall so state in writing within the 20-day
period. The commanding officer shall review the investigation and
determine whether the claim is properly within the provisions of
Article 139, UCMJ, and these regulations, and whether the facts
indicate responsibility for the damage on members of the command. If
the commanding officer finds the claim payable under these regulations,
he shall fix the amount to be assessed against the offenders.
(b) Review. If the commanding officer has authority to convene a
general court-martial, no further review of the investigation is
required as to the redress of injuries to property. If the commanding
officer does not have general court-martial convening authority, the
investigation and the commanding officer's action thereon shall be
forwarded to the officer exercising general court-martial jurisdiction
(OEGCMJ) over the command for review and action on the claim. That
officer's action on the claim shall be communicated to the commanding
officer who will take action consistent with the determination.
(c) Charge against pay. Where the amount does not exceed $5,000.00,
the amount ordered by the commanding officer shall, as provided in the
Navy Comptroller Manual, be charged against
[[Page 51391]]
the pay of the offenders and the amounts so collected will be paid to
the claimant. Where the amount exceeds $5,000.00, the claim, the
investigation, and the commanding officer's recommendation shall be
forwarded for review prior to checkage to Headquarters, U.S. Marine
Corps (JCA) or the Judge Advocate General, as appropriate. The amount
charged in any single month against the pay of offenders shall not
exceed one-half of basic pay, as defined in paragraph 126h(2), Manual
for Courts-Martial. The action of the commanding officer in ordering
the assessment shall be conclusive on any disbursing officer for
payment to the claimant of the damages assessed, approved, charged, and
collected.
Sec. 750.88 Action where offenders are members of different commands.
(a) Action by common superior. The investigative report shall be
forwarded to the common superior exercising general court-martial
jurisdiction over the commands to which the alleged offenders are
assigned. That officer shall ensure the alleged offenders are shown the
investigative report and permitted to comment on it, should they
desire, before action is taken on the claim. That officer shall review
the investigation and determine whether the claim is properly within
the provisions of Article 139, UCMJ, and these regulations, and whether
the facts indicate responsibility for the damage on members of his
command. If the claim is found payable under these regulations, he
shall fix the amount to be assessed against the offenders and direct
the appropriate commanding officers to take action accordingly.
(b) Forwarding to the Secretary of the Navy (JAG). Where it is not
practical or possible to carry out the procedure set forth in subpart
A, the investigation or investigations shall be forwarded to the
Secretary of the Navy (Judge Advocate General) who will take action in
the matter. Commanding officers, in such a situation, are not to make
charges against the pay of their members until directed by the
Secretary of the Navy (Judge Advocate General).
Sec. 750.89 Reconsideration and appeal.
(a) Reconsideration. The OEGCMJ may, upon a receipt of a request
for reconsideration by either the claimant or a member who has been
assessed pecuniary liability, reopen the investigation or take any
other action he believes is necessary in the interests of justice. If
the OEGCMJ contemplates acting favorably on the request, he will
provide all individuals interested in the claim with notice and an
opportunity to respond. The basis for any change will be noted in the
OEGCMJ's decision.
(b) Appeal. In claims involving $5,000.00 or less, a claimant or
member who has been assessed pecuniary liability may appeal the
decision to the OEGCMJ. An appeal must be submitted within 5 days of
the receipt of the OEGCMJ's decision. Appeals will be forwarded, via
the OEGCMJ, to the Judge Advocate General or Headquarters, U.S. Marine
Corps (JCA), as appropriate, for review and final action. In the event
of an appeal, the imposition of the OEGCMJ's decision will be held in
abeyance pending final action by the Judge Advocate General or
Headquarters, U.S. Marine Corps (JCA). If it appears that good cause
exists that would make it impracticable for an appeal to be submitted
within 5 days, the OEGCMJ may, in his discretion, grant an extension of
time, as appropriate. His decision on extensions is final and non-
appealable.
Subpart I--Claims Involving Non-Appropriated Fund (NAFI) Activities
and Their Employees
Sec. 750.90 Scope of subpart I.
This part explains how to process claims for and against the United
States for property damage, personal injury, or death arising out of
the operation of non-appropriated fund activities (NAFI). A NAFI is a
Federal agency within the meaning of the FTCA if the NAFI is charged
with an essential function of the DON and if the degree of control and
supervision by the Navy is more than casual or perfunctory.
Sec. 750.91 Statutory authority.
To the extent sovereign immunity is waived by the FTCA, 28 U.S.C.
1346(b), 2671-2672, 2674-2680, the United States remains ultimately
liable for payment of NAFI claims under the FTCA. DoD Directive 5515.6,
``Processing Claims Arising out of Operations of Nonappropriated Fund
Activities'' (available at https://www.esd.whs.mil/Portals/54/Documents/DD/issuances/dodd/551506p.pdf) establishes policy governing
the administrative processing of claims arising out of the operation of
non-appropriated fund activities.
Sec. 750.92 Definitions.
(a) Non-appropriated-fund instrumentality (NAFI). An
instrumentality of the Federal Government established to generate and
administer non-appropriated funds for programs and services
contributing to the mental and physical well-being of DoD personnel and
their dependents. A NAFI is not incorporated under the laws of any
State and enjoys the privileges and immunities of the Federal
Government.
(b) Non-appropriated funds. Funds generated through the use and
patronage of NAFI's, not including funds appropriated by Congress.
(c) Employees of NAFIs. Personnel employed by NAFIs whose salaries
are paid from non-appropriated funds.
Sec. 750.93 Participation in insurance programs.
(a) Unlike all other tort claims against the Government (which are
paid by the United States Treasury using appropriated funds), NAFI
claims are paid by the NAFI whose employee caused the damage.
Accordingly, some NAFI's, such as flying clubs, carry private
commercial insurance to protect them from claims for property damage
and personal injury attributable to their operations. The Commandant of
the Marine Corps, the Chief of Naval Personnel, and the Commander,
Naval Supply Systems Command determine whether NAFI's within their
cognizance shall carry liability insurance or become self-insurers, in
whole or in part.
(b) The Marine Corps requires mandatory participation in the
Morale, Welfare and Recreation (MWR) Composite Insurance Program by the
following operations: MWR operations and retail services, food and
hospitality, recreation; and special NAFI activities including flying
clubs, rod and gun clubs, Inter-service Rifle Fund, Marine Corps
Marathon and Dependent Cafeteria Fund. The following organizations may
also participate in the MWR Composite Insurance Program, if desired:
Child welfare centers, billeting funds, chapel funds, and civilian
welfare funds.
(c) When the operations of a NAFI result in property damage or
personal injury, the NAFI's insurance carrier, if any, should be given
immediate written notification. Notification should not be postponed
until a claim is filed. When the activity is self-insured, the self-
insurance fund shall be notified of the potential liability by the
activity.
Sec. 750.94 Responsibility.
TCU Norfolk has cognizance over all DON claims. Accordingly, TCU
Norfolk has primary responsibility for the negotiation and settlement
of NAFI claims. Those NAFI's which carry third party insurance or are
self-insured [e.g., Navy Exchange Service Command (NEXCOM) and Marine
Corps Community Services (MCCS)] are authorized to settle and pay their
own
[[Page 51392]]
claims. All other NAFI claims are adjudicated by TCU Norfolk and
forwarded to the cognizant NAFI's headquarters for payment. Only TCU
Norfolk has the authority to deny a NAFI claim.
Sec. 750.95 Negotiation.
(a) General. Claims from NAFIs should be processed primarily
through procedures, regulations, and statutes applicable to similar
appropriated fund activity claims.
(b) When the NAFI is insured. When a NAFI is insured, the insurer
or the contracted third-party claims administrator (TPA) will normally
conduct negotiations with claimants. The TCU Norfolk shall monitor the
negotiations conducted by the insurer or TPA. Monitoring is normally
limited to ascertaining that someone has been assigned to negotiate, to
obtain periodic status reports, and to close files on settled claims.
Any dissatisfaction with the insurer's or TPA's handling of the
negotiations should be referred directly to the Judge Advocate General
(Claims and Tort Litigation) for appropriate action. If requested by
the insurer or TPA, the TCU Norfolk may conduct negotiations. If TCU
Norfolk negotiates a final settlement, however, request for payment
will be forwarded to the insurer or TPA for payment. Concurrence by the
insurer or TPA in the amount of the settlement is not necessary.
(c) When the NAFI is not insured. When there is no private
commercial insurer and the NAFI has made no independent arrangements
for negotiations, the TCU Norfolk is responsible for conducting
negotiations. When an appropriate settlement is negotiated by the Navy,
the recommended award will be forwarded to the NAFI for payment from
non-appropriated funds.
Sec. 750.96 Payment.
(a) Claims that can be settled for less than $1,500.00. A claim not
covered by insurance (or not paid by the insurer) that can be settled
for $1,500.00 or less, may be adjudicated by the TCU Norfolk or single-
service authority and forwarded to the commanding officer of the
activity concerned or designee for payment out of funds available to
the commanding officer. The TCU Norfolk or single-service authority
will obtain the required release from the claimant.
(b) Claims that cannot be settled for less than $1,500.00. A claim
negotiated by the Navy, not covered by insurance, that is for more than
$1,500.00 will be forwarded to the cognizant non-appropriated fund
(NAF) headquarters command for payment from its non-appropriated funds.
(c) When payment is possible under another statute. In some cases,
neither the NAFI nor its insurer may be legally responsible. In those
instances when there is no negligence, and payment is authorized under
some other statute, such as the Foreign Claims Act, 10 U.S.C. 2734-
2736, the claim may be considered for payment from appropriated funds
or may be referred to the TCU Norfolk for appropriate action.
(d) Other claims. A NAFI's private insurance policy is usually not
available to cover losses that result from some act or omission of a
mere participant in a non-appropriated fund activity. In the event the
NAFI declines to pay the claim, the file shall be forwarded to the TCU
Norfolk for determination.
Sec. 750.97 Denial.
Denial of a NAFI claim will begin the six-month limitation on
filing suit against the United States for claims filed under the FTCA.
If a claim is denied, it will be in writing and in accordance with
subparts A and B of part 750 of this chapter, as appropriate. TCU
Norfolk should not deny claims that have initially been processed and
negotiated by a non-appropriated fund activity, its insurer, or TPA,
until the activity or its insurer has clearly stated in writing that it
does not intend to pay the claim and has elected to defend the claim in
court.
Sec. 750.98 Claims by employees.
(a) Property. Claims by employees of NAFIs for loss, damage, or
destruction of personal property incident to their employment shall be
processed and adjudicated in accordance with subparts A or B of this
part, as appropriate. The claims will then be forwarded to the
appropriate NAFI for payment from non-appropriated funds.
(b) Personal injury or death--(1) Personal injury or death of
citizens or permanent residents of the United States employed anywhere,
or foreign nationals employed within the United States. Compensation is
provided by the Longshore and Harbor Workers' Compensation Act (33
U.S.C. 901-950) for employees of NAFIs who have suffered injury or
death arising out of, and in the course of, their employment (5 U.S.C.
8171). That Act is the exclusive basis for Government liability for
such injuries or deaths that are covered (5 U.S.C. 8173). A claim
should first be made under that Act if there is a substantial
possibility the injury or death is covered under the Act's provisions.
(2) Personal injury or death of foreign nationals employed outside
of the continental United States. Employees who are not citizens or
permanent residents, and who are employed outside the continental
United States, may be protected by private insurance of the NAFI or by
other arrangements. When a non-appropriated fund activity has elected
not to obtain insurance coverage or to make other arrangements,
compensation is separately provided by Federal statute, military
regulations, and agreements with foreign countries. See 5 U.S.C. 8172,
DoD 1401.1-M, Personnel Policy Manual for Non-appropriated Fund
Instrumentalities and BUPERSINST 5300.10A, NAF Personnel Manual.
Subpart J--Affirmative Claims Regulations (Property Damage Claims)
Sec. 750.99 Scope of subpart J.
This subpart describes how to assert, administer, and collect
claims for damage to or loss or destruction of Government property
through negligence or wrongful acts.
The regulations published in 31 CFR chapter IX control the
collection and settlement of affirmative claims. This section
supplements the material contained in those regulations. Where this
section conflicts with the materials and procedure published in 31 CFR
chapter IX, the latter controls.
Sec. 750.100 Statutory authority.
(a) General. All affirmative claims for damage to or loss of
Government property in favor of the United States are processed in
accordance with the Federal Collections Claims Act (31 U.S.C. 3711), as
amended by the Debt Collection Act of 1982, Public Law 97-365, 96 Stat.
1749 (25 October 1982), Public Law 101-552, 104 Stat. 2736 (15 November
1990) and the Debt Collection Improvement Act of 1996, Public Law 104-
134, 110 Stat. 1321, 1358 (26 April 1996).
(b) Statute of limitations. Subject to specific provisions in other
statutes, there is a general 3-year statute of limitations on
affirmative Government tort claims pursuant to 28 U.S.C. 2415(b).
Sec. 750.101 Claims that may be collected.
(a) Against responsible third parties for damage to Government
property, or the property of non-appropriated fund activities.
Generally, the Government does not seek payment from service members
and Government employees for damages caused by their simple negligence
while acting within the scope of their employment. Exceptions to this
general policy will be made when the incident involves aggravating
circumstances.
[[Page 51393]]
(b) For money paid or reimbursed by the government for damage to a
rental car in accordance with the Joint Travel Regulations (1 Mar
2018), Chapter 2, para. 020209. Collection action shall be taken
against third parties liable in tort. Collection action shall not be
taken against Government personnel who rented the vehicle.
(c) Other claims. Any other claim for money or property in favor of
the United States cognizable under the Federal Claims Collections Act
not specifically listed in this section.
Sec. 750.102 Assertion of claims and collection procedures.
(a) General. The controlling procedures for administrative
collection of claims are established in 31 CFR part 901.
(b) Officials authorized to pursue claims. The Judge Advocate
General; the Deputy Judge Advocate General; any Assistant Judge
Advocate General; and the Director, Claims and Tort Litigation are
authorized to pursue and collect all affirmative claims in favor of the
United States, except in countries where another service has single
service responsibility in accordance with DoDI 5515.08 (series).
(c) Dollar limitations. All of the officers listed in paragraph (b)
of this section are authorized to compromise and terminate collection
action on affirmative claims of $100,000.00 or less.
(d) Determining liability. Liability must be determined in
accordance with the law of the place in which the damage occurred,
including the applicable traffic laws, elements of tort, and possible
defenses.
(e) Assertion of a claim. Assertion of the claim is accomplished in
accordance with 31 CFR part 901 by mailing to the tortfeasor a ``Notice
of Claim.'' The notice is to be mailed certified mail, return receipt
requested, and should include the following information:
(1) Reference to the statutory right to collect;
(2) A demand for payment or restoration;
(3) A description of damage and estimate of repair;
(4) A description of the incident, including date and place; and
(5) The name, phone number, and office address of the claims
personnel to contact.
(f) Full payment. When a responsible party or insurer tenders full
payment or a compromise settlement on a claim, the payment should be in
the form of a check or money order made payable to ``United States
Treasury.'' The check or money order shall then be forwarded to the
disbursing officer serving the collecting activity for deposit in
accordance with the provisions of the Navy Comptroller Manual. For
collections for damages to real property, the collection is credited to
the account available for the repair or replacement of the real
property at the time of recovery. For damages to personal property, the
money is returned to the general treasury.
(g) Installment payments. In general, if the debtor is financially
unable to pay the debt in one lump sum, an installment payment plan may
be arranged. Installment payments will be required on a monthly basis
and the size of payment must bear a reasonable relation to the size of
the debt and the debtor's ability to pay. The installment agreements
should specify payments of such size and frequency to liquidate the
Government's claim in not more than 3 years. Installment payments of
less than $50.00 per month should be accepted only if justified on the
grounds of financial hardship or for some other reasonable cause. In
all installment arrangements, a confession of judgment note setting out
a repayment schedule should be executed. See 31 CFR 901.8 for specific
procedures.
(h) Damage to nonappropriated-fund instrumentality (NAFI) property.
Any amount collected for loss or damage to property of a NAFI shall be
forwarded to the headquarters of the nonappropriated-fund activity for
deposit with that activity. In those situations where the recovery
involves damage to both NAFI-owned property and other Government
property (e.g., destruction of an exchange building resulting in damage
to both the building and the exchange-owned property inside), recovery
for the exchange-owned property shall be forwarded to the NAFI.
Recovery for building damage shall be deposited in accordance with
Sec. 750.102(f).
(i) Damage to industrial-commercial property. When a loss or cost
of repair has been borne by an industrial-commercial activity, payment
shall be deposited in the Navy Industrial Fund of the activity in
accordance with the provisions of the Navy Comptroller Manual.
(j) Replacement in kind or repair. The responsible party, or
insurer, may want to repair or replace in kind damaged property. The
commanding officer or officer in charge of the activity sustaining the
loss is authorized to accept repair or replacement if, in his
discretion, it is considered to be in the best interests of the United
States.
(k) Release. A release of the claim shall be executed when all
repairs have been completed to the Government's satisfaction, and/or
when all repair bills have been paid. If repair or replacement is made,
a notation shall be made in any investigation or claims file.
Sec. 750.103 Waiver, compromise, and referral of claims.
(a) Officials authorized to compromise claims. The officers
identified in Sec. 750.89(b) may collect the full amount on all
claims, and may compromise, execute releases or terminate collection
action on all claims of $20,000.00 or less. Collection action may be
terminated for the convenience of the Government if the tortfeasor
cannot be located, is found to be judgment-proof, has denied liability,
or has refused to respond to repeated correspondence concerning legal
liability involving a small claim. A termination for the convenience of
the Government is made after it is determined that the case does not
warrant litigation or that it is not cost-effective to pursue recovery
efforts.
(b) Claims over $100,000.00. Claims in excess of $100,000.00 may
not be compromised for less than the full amount or collection action
terminated without approval from the DOJ.
Subpart K--Affirmative Claims Regulations (Medical Care Recovery
Act and Claims Asserted Pursuant to the Third Party Payers Act)
Sec. 750.104 Scope of subpart K.
(a) This part describes the assertion and collection of claims for
medical care against third parties who are legally liable for the
injury or disease, as well as collection through insurance companies.
(b) The DON is entitled to recover the costs of medical care
furnished to Navy and Marine Corps active duty personnel, retirees or
their dependents, or any other person when appropriate, and third-party
tort or contract liability exists for payment for medical expenses
resulting from the injury or disease. Claims are asserted for treatment
provided at a military treatment facility (MTF) or paid for by the DON
at a facility that does not belong to the Federal Government.
Sec. 750.105 Statutory authority.
(a) The Medical Care Recovery Act (MCRA), 42 U.S.C. 2651-2653, as
amended by the National Defense Authorization Act for Fiscal Year 1997,
Public Law 104-201, 10 U.S.C. 1075, 110 Stat. 2422, authorizes the
Government to recover the reasonable value of treatment provided to an
eligible beneficiary from any third party who is legally liable for the
injury or disease.
[[Page 51394]]
(b) The Third Party Payers Act (TPPA), 10 U.S.C. 1095 and 10 U.S.C.
1095b, allows for the collection of the costs of medical care to
eligible beneficiaries from a third party, such as an insurance
company.
(c) 10 U.S.C. 1079a (CHAMPUS: Treatment of refunds and other
amounts collected) authorizes the recovery of medical care costs
expended to eligible beneficiaries.
Sec. 750.106 Responsibility.
Responsibility for investigating, asserting, and collecting DON
MCRA/TPPA claims or, if required, properly forwarding claims to other
Federal departments or agencies rests with Claims and Tort Litigation
Division's Medical Care Recovery Units (MCRUs) located in Norfolk, VA;
San Diego, CA; and Pensacola, FL, and Regional Legal Service Office
Europe, Africa, and Southwest Asia (RLSO EURAFSWA) for MCRA/TPPA claims
arising in their area of responsibility. All other claims arising
overseas and outside the RLSO EURAFSWA will be asserted by either MCRU
Norfolk or MCRU San Diego depending upon the country of origin.
Sec. 750.107 Claims asserted.
(a) The MCRA creates an independent cause of action for the United
States and the Government can administratively assert and litigate MCRA
claims in its own name and for its own benefit. Procedural defenses,
such as a failure of the injured party (IP) to properly file and/or
serve a complaint on the third party, that may prevent the IP from
recovering damages, do not prevent the United States from pursuing its
own action to recover the value of medical treatment provided to the
IP. In creating an independent right for the Government, the MCRA
prevents a release given by the IP to a third party from affecting the
Government's claim.
(b) When recovery under the MCRA is not possible because no third-
party tort liability exists, the TPPA provides the Government an
alternate means for recovery. Under the TPPA, claims are asserted by
the United States as a third party beneficiary of an insurance contract
of the IP. This includes but is not limited to:
(1) Medical Payments Coverage in an automobile or homeowner's
policy;
(2) Uninsured/Underinsured Coverage in an automobile policy;
(3) No-fault coverage in an automobile policy; and
(4) On-the-job injury compensable under a worker's employment
contract at the job.
(c) Determination of Amount Asserted.
(1) MTF costs. The costs of care provided by the MTF are based on
Diagnostic Related Group (DRG) rates or a Relative Value Unit (RVU).
Rates are established by the Office of Management and Budget (OMB) and/
or the DOD and published annually in the Federal Register. The MCRU
must ensure all MTF bills include only expenses related to the injury
and include all charges for care provided by or paid for by the MTF.
(2) Defense Health Agency (DHA) costs. The costs of care provided
by DHA are the actual amount that DHA paid even if this amount exceeds
the amount that the civilian hospital billed DHA.
(d) The DON will not assert claims against the following:
(1) Any department, agency or instrumentality of the United States,
including self-insured NAF activities but not private associations
(e.g., flying clubs or equestrian clubs);
(2) Against a service member, a dependent family member of a
service member, or an employee of the United States who is injured as a
result of his/her own willful or negligent acts or the willful or
negligent acts of others (the United States does assert claims,
however, against insurance policies that cover the IP);
(3) The employer of a merchant seaman who receives medical care in
a Federal facility pursuant to 42 U.S.C. 249; and
(4) For care provided to a veteran by the VA when the care is for a
service-connected disability. The United States will, however, claim
for the reasonable value of care provided a member before transfer to a
VA hospital or in those instances where TRICARE pays a VA hospital
directly.
Sec. 750.108 Assertion of claims.
(a) The MCRUs will promptly assert claims by mailing a notice of
claim or demand for payment to identified third-party tortfeasors and/
or their insurers or to the insurer for any third party beneficiary
coverage. The notice of claim or demand will outline the facts and cite
the applicable Federal statutes.
(b) The MCRU will attempt to coordinate collection of the claim
with any action brought by the IP.
(1) When the IP is represented by counsel, the MCRU will request to
have the IP's attorney agree in writing to protect the Government's
interests.
(2) 5 U.S.C. 3106 prohibits the payment of a fee for assertion or
collection of the Government's claim. As such, attorney's fees and
costs will not be paid by the Government or computed on the basis of
the Government's portion of recovery.
(3) If the IP is not pursuing a claim or has expressly refused to
include the Government's claim, the MCRU will pursue independent
collection.
(c) Waiver or compromise of the claim may be appropriate when the
IP, his attorney, or a lien resolution group files a written request
and it is determined that collection of the full amount of the claim
would result in undue hardship to the IP.
(1) In assessing undue hardship, the following factors shall be
considered: Permanent disability or disfigurement; lost earning
capacity; out-of-pocket expenses; financial status; amount of
settlement or award from a third-party tortfeasor or contract insurer;
and any other factors that objectively indicate that fairness requires
waiver.
(2) Only the Department of Justice may authorize the compromise or
waiver of a MCRA/TPPA claim in excess of $300,000.00. The Director and
the Head, Affirmative and Personnel Claims Branch, Claims and Tort
Litigation (OJAG Code 15) may authorize the compromise or waiver of a
MCRA/TPPA claim up to $300,000.00. The Director and the Head,
Affirmative and Personnel Claims Branch, may further delegate authority
to personnel in the MCRUs.
D.J. Antenucci,
Commander, Judge Advocate General's Corps, U.S. Navy, Federal Register
Liaison Officer.
[FR Doc. 2020-15408 Filed 8-19-20; 8:45 am]
BILLING CODE 3810-FF-P