Title 38Veterans' BenefitsRelease 119-73

§7655 Breach of agreement; liability

Title 38 › Part PART V— - BOARDS, ADMINISTRATIONS, AND SERVICES › Chapter CHAPTER 76— - HEALTH PROFESSIONALS EDUCATIONAL ASSISTANCE PROGRAM › Subchapter SUBCHAPTER V— - STIPEND PROGRAM FOR MEMBERS OF THE SELECTED RESERVE › § 7655

Last updated Apr 6, 2026|Official source

Summary

If someone receives a reserve stipend and then does not do the service they agreed to, they must pay the United States an amount set by law. If the person could not do the service because they were on active duty (including active-duty training), they may do the service after that duty ends. The Secretary can also excuse the service requirement if the person truly cannot do it or if excusing it is in the best interest of the person and the United States. Any money owed must be paid within one year from the date the agreement was broken.

Full Legal Text

Title 38, §7655

Veterans' Benefits — Source: USLM XML via OLRC

(a)(1)Subject to paragraph (2), an individual who is receiving or has received a reserve member stipend under this subchapter and who fails to perform the service for which the individual is obligated under section 7654 of this title shall be liable to the United States in an amount determined in accordance with section 7617(c)(1) of this title.
(2)An individual who, as a result of performing active duty (including active duty for training), is unable to perform the service for which the individual is obligated under section 7654 of this title shall be permitted to perform that service upon completion of the active duty service (or active duty for training). The Secretary may, by regulation, waive the requirement for the performance of the service for which the individual is obligated under section 7654 of this title in any case in which the Secretary determines that the individual is unable to perform the service for reasons beyond the control of the individual or in any case in which the waiver would be in the best interest of the individual and the United States.
(b)Any amount owed the United States under subsection (a) of this section shall be paid to the United States during the one-year period beginning on the date of the breach of the agreement.

Legislative History

Notes & Related Subsidiaries

Editorial Notes

Amendments

1991—Pub. L. 102–40, § 402(b)(1), renumbered section 4355 of this title as this section. Subsec. (a)(1). Pub. L. 102–40, § 402(d)(1), substituted “7654” for “4354” and “7617(c)(1)” for “4317(c)(1)”. Subsec. (a)(2). Pub. L. 102–40, § 402(d)(1), substituted “7654” for “4354” in two places.

Reference

Citations & Metadata

Citation

38 U.S.C. § 7655

Title 38Veterans' Benefits

Last Updated

Apr 6, 2026

Release point: 119-73