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38 U.S.C. § 7617 — Breach of agreement: liability

Federal law — U.S. Code and appendices · legal_authorities

38 U.S.C. § 7617 — Breach of agreement: liability

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Source file: Laws/federal/codes/united-states-code/title-38/section-7617-breach-of-agreement-liability--976429e811.md
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Source location: Title 38, Chapter 76, § 7617; chapter-076-health-professionals-educational-assistance-program.md

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**(a)** A participant in the Scholarship Program (other than a participant described in subsection (b) of this section) who fails to accept payment, or instructs the educational institution in which the participant is enrolled not to accept payment, in whole or in part, of a scholarship under the agreement entered into under [section 7603 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title38-section7603&num=0&edition=prelim) shall be liable to the United States for liquidated damages in the amount of $1,500. Such liability is in addition to any period of obligated service or other obligation or liability under the agreement. **(b)** A participant in the Scholarship Program shall be liable to the United States for the amount which has been paid to or on behalf of the participant under the agreement if any of the following occurs: (1) The participant fails to maintain an acceptable level of academic standing in the educational institution in which the participant is enrolled (as determined by the educational institution under regulations prescribed by the Secretary). (2) The participant is dismissed from such educational institution for disciplinary reasons. (3) The participant voluntarily terminates the course of training in such educational institution before the completion of such course of training. (4) In the case of a participant who is enrolled in a program or education or training leading to employment as a physician, the participant fails to successfully complete post-graduate training leading to eligibility for board certification in a specialty. (5) The participant fails to become licensed to practice medicine, osteopathy, dentistry, podiatry, or optometry in a State, fails to become licensed as a registered nurse in a State, or fails to meet any applicable licensure requirement in the case of any other health-care personnel who provide either direct patient-care services or services incident to direct patient-care services, during a period of time determined under regulations prescribed by the Secretary. (6) In the case of a participant who is a part-time student, the participant fails to maintain employment, while enrolled in the course of training being pursued by such participant, as a Department employee permanently assigned to a Department health-care facility. Liability under this subsection is in lieu of any service obligation arising under the participant’s agreement. **(c)** (1) If a participant in the Scholarship Program breaches the agreement by failing (for any reason) to complete such participant’s period of obligated service, the United States shall be entitled to recover from the participant an amount determined in accordance with the following formula: t−s A=3Φ A——B t In such formula: (A) “A” is the amount the United States is entitled to recover. (B) “Φ” is the sum of (i) the amounts paid under this subchapter to or on behalf of the participant, and (ii) the interest on such amounts which would be payable if at the time the amounts were paid they were loans bearing interest at the maximum legal prevailing rate, as determined by the Treasurer of the United States. (C) “t” is the total number of months in the participant’s period of obligated service, including any additional period of obligated service in accordance with [section 7616(b)(4) of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title38-section7616/b/4&num=0&edition=prelim). (D) “s” is the number of months of such period served by the participant in accordance with [section 7613 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title38-section7613&num=0&edition=prelim). (2) Any amount of damages which the United States is entitled to recover under this section shall be paid to the United States within the one-year period beginning on the date of the breach of the agreement.

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Federal law — U.S. Code and appendices · legal_authorities

38 U.S.C. § 4317 — Health plans

**(a)** (1) In any case in which a person (or the person’s dependents) has coverage under a health plan in connection with the person’s position of employment, including a group health plan (as defined in section 607(1) of the Employee Retirement Income Security Act of 1974), and such person is absent from such position of employment by reason of service in the uniformed services, or such person becomes eligible for medical and dental care under chapter 55 of title 10 by reason of subsection (d) of section 1074 of that title, the plan shall provide that the person may elect to continue such coverage as provided in this subsection. The maximum period of coverage of a person and the person’s dependents under such an election shall be the lesser of— (A) the 24-month period beginning on the date on which the person’s absence begins; or (B) the day after the date on which the person fails to apply for or return to a position of employment, as determined under section 4312(e). (2) A person who elects to continue health-plan coverage under this paragraph may be required to pay not more than 102 percent of the full premium under the plan (determined in the same manner as the applicable premium under section 4980B(f)(4) of the Internal Revenue Code of 1986) associated with such coverage for the employer’s other employees, except that in the case of a person who performs service in the uniformed services for less than 31 days, such person may not be required to pay more than the employee share, if any, for such coverage. (3) In the case of a health plan that is a multiemployer plan, as defined in section 3(37) of the Employee Retirement Income Security Act of 1974, any liability under the plan for employer contributions and benefits arising under this paragraph shall be

Source: Supplied U.S. Code snapshot — release unconfirmed · 38 U.S.C. § 4317

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Federal law — U.S. Code and appendices · legal_authorities

38 U.S.C. § 7603 — Application and acceptance

**(a)** (1) To apply to participate in the Educational Assistance Program under subchapter II, III, V, VI, VIII, or IX of this chapter, an individual shall submit to the Secretary an application for such participation together with an agreement described in [section 7604 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title38-section7604&num=0&edition=prelim) under which the participant agrees to serve a period of obligated service in the Veterans Health Administration as provided in the agreement in return for payment of educational assistance as provided in the agreement. (2) To apply to participate in the Educational Assistance Program under subchapter VII of this chapter, an individual shall submit to the Secretary an application for such participation. **(b)** (1) An individual becomes a participant in the Educational Assistance Program upon the Secretary’s approval of the individual’s application and the Secretary’s acceptance of the agreement (if required). (2) Upon the Secretary’s approval of an individual’s participation in the program, the Secretary shall promptly notify the individual of that approval. Such notice shall be in writing. **(c)** (1) In distributing application forms and agreement forms to individuals desiring to participate in the Educational Assistance Program, the Secretary shall include with such forms the following: (A) A fair summary of the rights and liabilities of an individual whose application is approved (and whose agreement is accepted) by the Secretary, including a clear explanation of the damages to which the United States is entitled if the individual breaches the agreement. (B) A full description of the terms and conditions that apply to participation in the Educational Assistance Program a

Source: Supplied U.S. Code snapshot — release unconfirmed · 38 U.S.C. § 7603

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Federal law — U.S. Code and appendices · legal_authorities

38 U.S.C. § 7613 — Scholarship

**(a)** A scholarship provided to a participant in the Scholarship Program for a school year under the Scholarship Program shall consist of payment of the tuition of the participant for that school year, payment of other reasonable educational expenses (including fees, books, and laboratory expenses) for that school year, and a stipend determined under subsection (b) of this section. **(b)** A stipend under this section for a school year shall be payment to the participant of not in excess of $485 per month (adjusted in accordance with [section 7631 of this title](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title38-section7631&num=0&edition=prelim)) for each of the 12 consecutive months beginning with the first month of the school year, except that a stipend may not be paid to a participant who is a full-time employee of the Department. The stipend of a participant who is a part-time student shall be adjusted as provided in sections 7614(1) and 7614(2) of this title. **(c)** The Secretary may arrange with an educational institution in which a participant in the Scholarship Program is enrolled for the payment to the educational institution of the amounts of tuition and other reasonable educational expenses described in subsection (a) of this section. Such payments may be made without regard to subsections (a) and (b) of [section 3324 of title 31](https://uscode.house.gov/view.xhtml?req=granuleid:USC-prelim-title31-section3324&num=0&edition=prelim).

Source: Supplied U.S. Code snapshot — release unconfirmed · 38 U.S.C. § 7613

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Federal law — U.S. Code and appendices · legal_authorities

38 U.S.C. § 7617 — Breach of agreement: liability

Page 1270 TITLE 38—VETERANS’ BENEFITS § 7617 service commencement date is the later of (i) the participant’s course completion date, or (ii) the date upon which the participant becomes li- censed as a registered nurse in a State. (C) In the case of a participant not covered by subparagraph (A) or (B) of this paragraph, the participant’s service commencement date is the later of (i) the participant’s course completion date, or (ii) the date the participant meets any applicable licensure or certification require- ments. (4) A participant whose period of obligated service is deferred under paragraph (3)(A) of this subsection shall be required to undertake in- ternship or residency or other advanced clinical training in an accredited program in an edu- cational institution which is an affiliated insti- tution (as defined in section 7423(d)(1) of this title) and with respect to which the affiliation agreement provides that all or part of the in- ternship or residency or other advanced clinical training will be undertaken in a Department health-care facility. Such a participant may, at the discretion of the Secretary and upon the rec- ommendation of the Under Secretary for Health, incur an additional period of obligated service— (A) at the rate of one-half of a calendar year for each year of internship or residency or other advanced clinical training (or a propor- tionate ratio thereof), if the internship, resi- dency, or advanced clinical training is in a medical specialty necessary to meet the health-care requirements of the Department (as determined under regulations prescribed by the Secretary); or (B) at the rate of three-quarters of a cal- endar year for each year of internship or resi- dency or other advanced clinical training (or a proportion

Source: Supplied 2024 U.S. Code historical extraction · 38 U.S.C. § 7617

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