Laws: Cases and Codes : U.S. Code : Title 41 : Section 15
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U.S. Code as of:
01/19/04
Section 15 - Notes
SOURCE
(R.S. Sec. 3737; Oct. 9, 1940, ch. 779, Sec. 1, 54 Stat. 1029; May
15, 1951, ch. 75, 65 Stat. 41; Pub. L. 103-355, title II, Sec.
2451, Oct. 13, 1994, 108 Stat. 3324; Pub. L. 104-106, div. D, title
XLIII, Sec. 4321(i)(9), Feb. 10, 1996, 110 Stat. 676.)
CODIFICATION
R.S. Sec. 3737 derived from act July 17, 1862, ch. 200, Sec. 14,
12 Stat. 596.
AMENDMENTS
1996 - Subsec. (g). Pub. L. 104-106 substituted "rights or
obligations" for "rights of obligations".
1994 - Pub. L. 103-355, Sec. 2451, amended section generally,
revising it as follows:
Subsec. (a), designated first par. as subsec. (a) and substituted
"is concerned" for "are concerned".
Subsec. (b), designated second par. as subsec. (b) and inserted
subpar. and cl. designations; substituted in introductory
provisions "provisions of subsection (a) of this section" for
"provisions of the preceding paragraph" and "lending agency,
provided:" for "lending agency: Provided,"; in par. designations,
"That," for "That" and periods for semicolons at end; and struck
out former par. 1 which read as follows: "That in the case of any
contract entered into prior to October 9, 1940, no claim shall be
assigned without the consent of the head of the department or
agency concerned;".
Subsec. (c), designated third par. as subsec. (c) and substituted
"this section" for "this section,".
Subsec. (d), designated fourth par. as subsec. (d).
Subsec. (e), designated first part of fifth par. as subsec. (e),
substituted "Department of Energy" for "Atomic Energy Commission",
"may, upon a determination of need by the President, provide" for
"may, in time of war or national emergency proclaimed by the
President (including the national emergency proclaimed December 16,
1950) or by Act or joint resolution of the Congress and until such
war or national emergency has been terminated in such manner,
provide", and "subject to reduction or set-off." for "subject to
reduction or set-off,", and inserted "Each such determination of
need shall be published in the Federal Register."
Subsec. (f), designated last part of fifth par. as subsec. (f),
realigned margins of pars. (1) to (4) and substituted semicolons
for commas at end, and substituted, in introductory provisions, "If
a provision described in subsection (e) of this section or a
provision to the same general effect has been at any time
heretofore or is hereafter included or inserted in any such
contract, payments to be made thereafter to an assignee of any
moneys due or to become due under such contract shall not be
subject to reduction or setoff for any liability of any nature of
the assignor to the United States or any department or agency
thereof which arises independently of such contract, or hereafter
for any liability of the assignor on account of - " for "and if
such provision or one to the same general effect has been at any
time heretofore or is hereafter included or inserted in any such
contract, payments to be made thereafter to an assignee of any
moneys due or to become due under such contract, whether during or
after such war or emergency, shall not be subject to reduction or
set-off for any liability of any nature of the assignor to the
United States or any department or agency thereof which arises
independently of such contract, or hereafter for any liability of
the assignor on account of" and, in par. (4), "non withholding" for
"nonwithholding".
Subsec. (g), designated sixth par. as subsec. (g).
1951 - Act May 15, 1951, made it clear that a bank or other
financing institution taking an assignment of claims pursuant to
this section would not be subject to later recovery by the
Government of amounts previously paid to the bank by the assignee
except in cases of fraud.
1940 - Act Oct. 9, 1940, inserted second and third pars.
DELEGATION OF AUTHORITY
Memorandum of President of the United States, Oct. 3, 1995, 60
F.R. 52289, provided:
Memorandum for the Heads of Executive Departments and Agencies
Section 2451 of the Federal Acquisition Streamlining Act of 1994,
Public Law 103-355 ([amending] 41 U.S.C. 15) ("Act"), provides, in
part, that "[a]ny contract of the Department of Defense, the
General Services Administration, the Department of Energy or any
other department or agency of the United States designated by the
President, except [contracts where] . . . full payment has been
made, may, upon a determination of need by the President, provide
or be amended without consideration to provide that payments to be
made to the assignee of any moneys due or to become due under [the]
contract shall not be subject to reduction or set-off."
By the authority vested in me as President by the Constitution
and the laws of the United States of America, including section 301
of title 3, United States Code, I hereby designate all other
departments and agencies of the United States as subject to this
provision. Furthermore, I hereby delegate to the Secretaries of
Defense and Energy, the Administrator of General Services, and the
heads of all other departments and agencies, the authority under
section 2451 of the Act to make determinations of need for their
respective agency's contracts, subject to such further guidance as
issued by the Office of Federal Procurement Policy.
The authority delegated by this memorandum may be further
delegated within the departments and agencies.
This memorandum shall be published in the Federal Register.
William J. Clinton.
NON-APPLICABILITY OF NATIONAL EMERGENCIES ACT
The provisions of the National Emergencies Act (Pub. L. 94-412,
Sept. 14, 1976, 90 Stat. 1255) not applicable to the powers and
authorities conferred by this section and actions taken hereunder,
see section 1651 of Title 50, War and National Defense.
SECTION REFERRED TO IN OTHER SECTIONS
This section is referred to in title 22 section 2392; title 50
section 1651; title 50 App. section 1215.
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