§4017 — Title 20 Education | U.S. Code

Summary

Before getting a loan or grant under the program, anyone who receives money must let the U.S. government sue people the Attorney General finds responsible for the costs of the work paid for by that loan or grant. If the government (or the recipient, if it sues) wins money from that lawsuit, the funds must be used to pay back the U.S. by depositing them into the Asbestos Trust Fund. The repayment must cover the unpaid loan and any grant amounts, plus interest equal to what a commercial lender would have charged at prevailing rates set by the Administrator, but only up to the amount recovered. The Attorney General must move quickly to get back the money the United States spent from the people the Attorney General says are liable.

Title 20, §4017

Education — Source: USLM XML via OLRC

(a)(1)As a condition of the award of any financial assistance under section 4014 of this title, the recipient of any such loan or grant shall permit the United States to sue on behalf of such recipient any person determined by the Attorney General to be liable to the recipient for the costs of any activities undertaken by the recipient under such section.

(2)The proceeds from any judgment recovered in any suit brought by the United States under paragraph (1) (or, if the recipient files a similar suit on its own behalf, the proceeds from a judgment recovered by the recipient in such suit) shall be used to repay to the United States, by deposit in the Asbestos Trust Fund established by section 4022 of this title, to the extent that the proceeds are sufficient to provide for such repayment, an amount equal to the sum of—

(A)the amount (i) outstanding on any loan and (ii) of any grant made to the recipient; and

(B)an amount equal to the interest which would have been charged on such loan were the loan made by a commercial lender at prevailing interest rates (as determined by the Administrator).

(b)The Attorney General shall, where appropriate, proceed in an expeditious manner to recover the amounts expended by the United States to carry out this subchapter from the persons identified by the Attorney General as being liable for such costs.

Notes & Related Subsidiaries

Editorial Notes

Amendments

1990—Pub. L. 101–637, § 14(a)(8), inserted section catchline. Subsec. (a). Pub. L. 101–637, § 14(b)(10), inserted heading. Subsec. (a)(1). Pub. L. 101–637, § 14(c)(5), substituted “section” for “sections” after “such”. Subsec. (a)(2). Pub. L. 101–637, § 9, inserted “by deposit in the Asbestos Trust Fund established by section 4022 of this title,” after “repay to the United States,”. Subsec. (b). Pub. L. 101–637, § 14(b)(11), inserted heading.

§4017 Recovery of costs

Summary

Title 20, §4017

Notes & Related Subsidiaries

Editorial Notes

Amendments

Citations & Metadata