
From the U.S. Code Online via GPO Access
[wais.access.gpo.gov]
[Laws in effect as of January 2, 2001]
[Document not affected by Public Laws enacted between
  January 2, 2001 and January 28, 2002]
[CITE: 10USC2538]

 
                         TITLE 10--ARMED FORCES
 
                    Subtitle A--General Military Law
 
                PART IV--SERVICE, SUPPLY, AND PROCUREMENT
 
 CHAPTER 148--NATIONAL DEFENSE TECHNOLOGY AND INDUSTRIAL BASE, DEFENSE 
                  REINVESTMENT, AND DEFENSE CONVERSION
 
    SUBCHAPTER V--MISCELLANEOUS TECHNOLOGY BASE POLICIES AND PROGRAMS
 
Sec. 2538. Industrial mobilization: orders; priorities; 
        possession of manufacturing plants; violations
        
    (a) Ordering Authority.--In time of war or when war is imminent, the 
President, through the head of any department, may order from any person 
or organized manufacturing industry necessary products or materials of 
the type usually produced or capable of being produced by that person or 
industry.
    (b) Compliance With Order Required.--A person or industry with whom 
an order is placed under subsection (a), or the responsible head 
thereof, shall comply with that order and give it precedence over all 
orders not placed under that subsection.
    (c) Seizure of Manufacturing Plants Upon Noncompliance.--In time of 
war or when war is imminent, the President, through the head of any 
department, may take immediate possession of any plant that is equipped 
to manufacture, or that in the opinion of the head of that department is 
capable of being readily transformed into a plant for manufacturing, 
arms or ammunition, parts thereof, or necessary supplies for the armed 
forces if the person or industry owning or operating the plant, or the 
responsible head thereof, refuses--
        (1) to give precedence to the order as prescribed in subsection 
    (b);
        (2) to manufacture the kind, quantity, or quality of arms or 
    ammunition, parts thereof, or necessary supplies, as ordered by the 
    head of such department; or
        (3) to furnish them at a reasonable price as determined by the 
    head of such department.

    (d) Use of Seized Plant.--The President, through the head of any 
department, may manufacture products that are needed in time of war or 
when war is imminent, in any plant that is seized under subsection (c).
    (e) Compensation Required.--Each person or industry from whom 
products or materials are ordered under subsection (a) is entitled to 
fair and just compensation. Each person or industry whose plant is 
seized under subsection (c) is entitled to a fair and just rental.
    (f) Criminal Penalty.--Whoever fails to comply with this section 
shall be imprisoned for not more than three years and fined under title 
18.

(Added Pub. L. 103-160, div. A, title VIII, Sec. 822(a)(1), Nov. 30, 
1993, 107 Stat. 1704; amended Pub. L. 103-337, div. A, title VIII, 
Sec. 811, Oct. 5, 1994, 108 Stat. 2815.)


                            Prior Provisions

    Provisions similar to those in this section were contained in 
sections 4501 and 9501 of this title, prior to repeal by Pub. L. 103-
160, Sec. 822(a)(2).


                               Amendments

    1994--Subsec. (a). Pub. L. 103-337, Sec. 811(1), substituted ``head 
of any department'' for ``Secretary of Defense''.
    Subsec. (c). Pub. L. 103-337, Sec. 811, substituted ``through the 
head of any department'' for ``through the Secretary of Defense'' and 
``opinion of the head of that department'' for ``opinion of the 
Secretary of Defense'' in introductory provisions and ``head of such 
department'' for ``Secretary'' in pars. (2) and (3).
    Subsec. (d). Pub. L. 103-337, Sec. 811(1), substituted ``head of any 
department'' for ``Secretary of Defense''.

                  Section Referred to in Other Sections

    This section is referred to in section 2539a of this title.
