
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: 31USC5118]

 
                       TITLE 31--MONEY AND FINANCE
 
                           SUBTITLE IV--MONEY
 
                     CHAPTER 51--COINS AND CURRENCY
 
                    SUBCHAPTER II--GENERAL AUTHORITY
 
Sec. 5118. Gold clauses and consent to sue

    (a) In this section--
        (1) ``gold clause'' means a provision in or related to an 
    obligation alleging to give the obligee a right to require payment 
    in--
            (A) gold;
            (B) a particular United States coin or currency; or
            (C) United States money measured in gold or a particular 
        United States coin or currency.

        (2) ``public debt obligation'' means a domestic obligation 
    issued or guaranteed by the United States Government to repay money 
    or interest.

    (b) The United States Government may not pay out any gold coin. A 
person lawfully holding United States coins and currency may present the 
coins and currency to the Secretary of the Treasury for exchange (dollar 
for dollar) for other United States coins and currency (other than gold 
and silver coins) that may be lawfully held. The Secretary shall make 
the exchange under regulations prescribed by the Secretary.
    (c)(1) The Government withdraws its consent given to anyone to 
assert against the Government, its agencies, or its officers, employees, 
or agents, a claim--
        (A) on a gold clause public debt obligation or interest on the 
    obligation;
        (B) for United States coins or currency; or
        (C) arising out of the surrender, requisition, seizure, or 
    acquisition of United States coins or currency, gold, or silver 
    involving the effect or validity of a change in the metallic content 
    of the dollar or in a regulation about the value of money.

    (2) Paragraph (1) of this subsection does not apply to a proceeding 
in which no claim is made for payment or credit in an amount greater 
than the face or nominal value in dollars of public debt obligations or 
United States coins or currency involved in the proceeding.
    (3) Except when consent is not withdrawn under this subsection, an 
amount appropriated for payment on public debt obligations and for 
United States coins and currency may be expended only dollar for dollar.
    (d)(1) In this subsection, ``obligation'' means any obligation 
(except United States currency) payable in United States money.
    (2) An obligation issued containing a gold clause or governed by a 
gold clause is discharged on payment (dollar for dollar) in United 
States coin or currency that is legal tender at the time of payment. 
This paragraph does not apply to an obligation issued after October 27, 
1977.

(Pub. L. 97-258, Sept. 13, 1982, 96 Stat. 985; Pub. L. 99-185, 
Sec. 2(d), Dec. 17, 1985, 99 Stat. 1178; Pub. L. 104-208, div. A, title 
II, Sec. 2609, Sept. 30, 1996, 110 Stat. 3009-475; Pub. L. 105-61, title 
VI, Sec. 641, Oct. 10, 1997, 111 Stat. 1318.)

                                          Historical and Revision Notes
-------------------------------------------------------------------------------
---------------------------------
           Revised Section                   Source (U.S. Code)                
Source (Statutes at Large)
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---------------------------------
5118(a)..............................  31:773d.                        Aug. 27,
 1935, ch. 780, 49 Stat. 938.
5118(b)..............................  31:315b.                        Jan. 30,
 1934, ch. 6, Sec.  5, 48 Stat.
                                                                        340.
                                       31:773a.
5118(c)(1), (2)......................  31:773b.
5118(c)(3)...........................  31:773c.
5118(d)..............................  31:463.                         June 5, 
1933, ch. 48, Sec.  1, 48 Stat.
                                                                        113.
                                       31:463(note).                   Oct. 28,
 1977, Pub. L. 95-147, Sec.
                                                                        4(c), 9
1 Stat. 1229.
-------------------------------------------------------------------------------
---------------------------------

    In subsection (a), before clause (1), the words ``the phrase'' are 
omitted as surplus. In clause (1), the words ``declared to be against 
public policy by section 463 of this title'' are omitted as surplus. 
Clause (2) is substituted for 31:773d(words after semicolon) for 
consistency in the revised title and to eliminate unnecessary words.
    In subsection (b), the words ``after January 30, 1934'' in 31:315b 
are omitted as executed. The words ``that may be lawfully held'' are 
substituted for ``which may be lawfully acquired and are legal tender 
for public and private debts'' in 31:773a for consistency in the 
subsection and to eliminate unnecessary words. The words ``and that the 
owners of the gold clause securities of the United States shall be, at 
their election, entitled to receive immediate payment of the stated 
dollar amount thereof with interest to the date of payment or to prior 
maturity or to prior redemption date, whichever is earlier'' in section 
1 of the Act of August 27, 1935 (ch. 780, 49 Stat. 938), are omitted as 
expired. The words ``make the exchange'' are substituted for ``make such 
exchanges and payments upon presentation hereunder'' to eliminate 
unnecessary words. The words ``No gold shall after January 30, 1934, be 
coined'' in 31:315b are omitted because of section 5112 of the revised 
title. The text of 31:315b(proviso) is omitted as unnecessary because of 
the restatement. The text of 31:315b(last sentence) is omitted as 
executed.
    In subsection (c)(1), before clause (A), the word ``Government'' is 
substituted for ``United States'' for consistency in the revised title 
and with other titles of the United States Code. The words ``to anyone'' 
are added for clarity. The words ``whether by way of suit, counterclaim, 
set-off, recoupment, or other affirmative action or defense in its own 
name or in the name of'' are omitted as surplus. The word ``employees'' 
is added for consistency in the revised title and with other titles of 
the Code. The word ``instrumentalities'' is omitted as unnecessary 
because of section 101 of the revised title. The word ``claim'' is 
substituted for ``right, privilege, or power'' to eliminate unnecessary 
words and for consistency in the revised title and with other titles of 
the Code. The words ``in any proceeding of any nature whatsoever'' are 
omitted as surplus. In clause (C), the words ``or demand'' are omitted 
as surplus.
    In subsection (c)(2), the words ``any suit commenced prior to August 
27, 1935, or which may be commenced by January 1, 1936'' are omitted as 
executed. The words ``referred to in this section'' are omitted as 
surplus.
    In subsection (c)(3), the words ``may be expended'' are substituted 
for ``an amount appropriated or authorized to be expended'' and ``shall 
be available for or expended in'', and the words ``dollar for dollar'' 
are substituted for ``on an equal and uniform dollar for dollar basis'', 
to eliminate unnecessary words.
    In subsection (d)(1), the words ``including every obligation of and 
to the United States'' are omitted as surplus. The text of 
31:463(b)(words after semicolon) is omitted as unnecessary because of 
the restatement.


                               Amendments

    1997--Subsec. (d)(2). Pub. L. 105-61 struck out at end ``This 
paragraph shall apply to any obligation issued on or before October 27, 
1977, notwithstanding any assignment or novation of such obligation 
after October 27, 1977, unless all parties to the assignment or novation 
specifically agree to include a gold clause in the new agreement. 
Nothing in the preceding sentence shall be construed to affect the 
enforceability of a Gold Clause contained in any obligation issued after 
October 27, 1977 if the enforceability of that Gold Clause has been 
finally adjudicated before the date of enactment of the Economic Growth 
and Regulatory Paperwork Reduction Act of 1996.''
    1996--Subsec. (d)(2). Pub. L. 104-208 inserted at end ``This 
paragraph shall apply to any obligation issued on or before October 27, 
1977, notwithstanding any assignment or novation of such obligation 
after October 27, 1977, unless all parties to the assignment or novation 
specifically agree to include a gold clause in the new agreement. 
Nothing in the preceding sentence shall be construed to affect the 
enforceability of a Gold Clause contained in any obligation issued after 
October 27, 1977 if the enforceability of that Gold Clause has been 
finally adjudicated before the date of enactment of the Economic Growth 
and Regulatory Paperwork Reduction Act of 1996.''
    1985--Subsec.(b). Pub. L. 99-185 struck out ``or deliver'' after 
``pay out'' and inserted ``(other than gold and silver coins)'' before 
``that may be lawfully held''.


                    Effective Date of 1985 Amendment

    Amendment by Pub. L. 99-185 effective Oct. 1, 1985, except that no 
coins may be issued or sold under section 5112(i) of this title before 
Oct. 1, 1986, see section 3 of Pub. L. 99-185, set out as a note under 
section 5112 of this title.
