
From the U.S. Code Online via GPO Access
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[Laws in effect as of January 23, 2000]
[Document not affected by Public Laws enacted between
  January 23, 2000 and December 4, 2001]
[CITE: 38USC1984]

 
                      TITLE 38--VETERANS' BENEFITS
 
                        PART II--GENERAL BENEFITS
 
                          CHAPTER 19--INSURANCE
 
                         SUBCHAPTER IV--GENERAL
 
Sec. 1984. Suits on insurance

    (a) In the event of disagreement as to claim, including claim for 
refund of premiums, under contract of National Service Life Insurance, 
United States Government life insurance, or yearly renewable term 
insurance between the Secretary and any person or persons claiming 
thereunder an action on the claim may be brought against the United 
States either in the United States District Court for the District of 
Columbia or in the district court of the United States in and for the 
district in which such person or any one of them resides, and 
jurisdiction is conferred upon such courts to hear and determine all 
such controversies. All persons having or claiming to have an interest 
in such insurance may be made parties to such suit, and such as are not 
inhabitants of or found within the district in which suit is brought may 
be brought in by order of the court to be served personally or by 
publication or in such other reasonable manner as the court may direct. 
In all cases where the Secretary acknowledges the indebtedness of the 
United States upon any such contract of insurance and there is a dispute 
as to the person or persons entitled to payment, a suit in the nature of 
a bill of interpleader may be brought at the request of the Secretary in 
the name of the United States against all persons having or claiming to 
have any interest in such insurance in the United States District Court 
for the District of Columbia or in the district court in and for the 
district in which any such claimant resides; however, no less than 
thirty days before instituting such suit the Secretary shall mail a 
notice of such intention to each of the persons to be made parties to 
the suit. The courts of appeals for the several circuits, including the 
District of Columbia, shall respectively exercise appellate jurisdiction 
and, except as provided in section 1254 of title 28, the decrees of such 
courts of appeals shall be final.
    (b) No suit on yearly renewable term insurance, United States 
Government life insurance, or National Service Life Insurance shall be 
allowed under this section unless the same shall have been brought 
within six years after the right accrued for which the claim is made. 
For the purposes of this section it shall be deemed that the right 
accrued on the happening of the contingency on which the claim is 
founded. The limitation of six years is suspended for the period 
elapsing between the filing with the Secretary of the claim sued upon 
and the denial of the claim. However, if a claim is timely filed the 
claimant shall have not less than ninety days from the date of mailing 
of notice of denial within which to file suit. After June 28, 1936, 
notice of denial of the claim under a contract of insurance shall be by 
registered mail or by certified mail directed to the claimant's last 
address of record. Infants, insane persons, or persons under other legal 
disability, or persons rated as incompetent or insane by the Secretary 
shall have three years in which to bring suit after the removal of their 
disabilities. If suit is seasonably begun and fails for defect in 
process, or for other reasons not affecting the merits, a new action, if 
one lies, may be brought within a year though the period of limitation 
has elapsed. No State or other statute of limitations shall be 
applicable to suits filed under this section.
    (c) In any suit, action, or proceeding brought under the provisions 
of this section subpenas for witnesses who are required to attend a 
court of the United States in any district may run into any other 
district. However, no writ of subpena shall issue for witnesses living 
out of the district in which the court is held at a greater distance 
than one hundred miles from the place of holding the same without the 
permission of the court being first had upon proper application and 
cause shown. The word ``district'' and the words ``district court'' as 
used in this section shall be construed to include the District of 
Columbia and the United States District Court for the District of 
Columbia.
    (d) Attorneys of the Department, when assigned to assist in the 
trial of cases, and employees of the Department when ordered in writing 
by the Secretary to appear as witnesses, shall be paid the regular 
travel and subsistence allowance paid to other employees when on 
official travel status.
    (e) Part-time and fee-basis employees of the Department, in addition 
to their regular travel and subsistence allowance, when ordered in 
writing by the Secretary to appear as witnesses in suits under this 
section, may be allowed, within the discretion and under written orders 
of the Secretary, a fee in an amount not to exceed $50 per day.
    (f) Employees of the Department who are subpenaed to attend the 
trial of any suit, under the provisions of this section, as witnesses 
for a party to such suit shall be granted court leave or authorized 
absence, as applicable, for the period they are required to be away from 
the Department in answer to such subpenas.
    (g) Whenever a judgment or decree shall be rendered in an action 
brought under the provisions of this section, the court, as a part of 
its judgment or decree, shall determine and allow reasonable fees for 
the attorneys of the successful party or parties and apportion same if 
proper, said fees not to exceed 10 per centum of the amount recovered 
and to be paid by the Department out of the payments to be made under 
the judgment or decree at a rate not exceeding one-tenth of each of such 
payments until paid; except that, in a suit brought by or on behalf of 
an insured during the insured's lifetime for waiver of premiums on 
account of total disability, the court, as part of its judgment or 
decree, shall determine and allow a reasonable fee to be paid by the 
insured to the insured's attorney.
    (h) The term ``claim'' as used in this section means any writing 
which uses words showing an intention to claim insurance benefits; and 
the term ``disagreement'' means a denial of the claim, after 
consideration on its merits, by the Secretary or any employee or 
organizational unit of the Department heretofore or hereafter designated 
therefor by the Secretary.
    (i) The Attorney General of the United States is authorized to agree 
to a judgment to be rendered by the chief judge of the United States 
court having jurisdiction of the case, pursuant to compromise approved 
by the Attorney General upon the recommendation of the United States 
attorney charged with the defense, upon such terms and for sums within 
the amount claimed to be payable, in any suit brought under the 
provisions of this section, on a contract of yearly renewable term 
insurance, and the Secretary shall make payments in accordance with any 
such judgment. The Comptroller General of the United States shall allow 
credit in the accounts of disbursing officers for all payments of 
insurance made in accordance with any such judgment. All such judgments 
shall constitute final settlement of the claim and no appeal therefrom 
shall be authorized.

(Pub. L. 85-857, Sept. 2, 1958, 72 Stat. 1165, Sec. 784; Pub. L. 86-507, 
Sec. 1(32), June 11, 1960, 74 Stat. 202; Pub. L. 97-295, Sec. 4(32), 
Oct. 12, 1982, 96 Stat. 1307; Pub. L. 99-576, title VII, Sec. 701(46), 
Oct. 28, 1986, 100 Stat. 3294; renumbered Sec. 1984 and amended Pub. L. 
102-83, Secs. 4(a)(2)(A)(iii)(VII), (VIII), (D)(ii), (3), (4), (b)(1), 
(2)(E), 5(a), Aug. 6, 1991, 105 Stat. 403-406.)


                               Amendments

    1991--Pub. L. 102-83, Sec. 5(a), renumbered section 784 of this 
title as this section.
    Subsec. (a). Pub. L. 102-83, Sec. 4(a)(2)(A)(iii)(VII), substituted 
``Secretary'' for ``Veterans' Administration'' wherever appearing.
    Subsec. (b). Pub. L. 102-83, Sec. 4(a)(2)(D)(ii), substituted ``with 
the Secretary'' for ``in the Veterans' Administration''.
    Pub. L. 102-83, Sec. 4(a)(2)(A)(iii)(VIII), substituted 
``Secretary'' for ``Veterans' Administration'' before ``shall''.
    Subsec. (d). Pub. L. 102-83, Sec. 4(b)(1), (2)(E), substituted 
``Secretary'' for ``Administrator''.
    Pub. L. 102-83, Sec. 4(a)(3), (4), substituted ``Department'' for 
``Veterans' Administration'' in two places.
    Subsec. (e). Pub. L. 102-83, Sec. 4(b)(1), (2)(E), substituted 
``Secretary'' for ``Administrator'' in two places.
    Pub. L. 102-83, Sec. 4(a)(3), (4), substituted ``Department'' for 
``Veterans' Administration''.
    Subsecs. (f), (g). Pub. L. 102-83, Sec. 4(a)(3), (4), substituted 
``Department'' for ``Veterans' Administration'' wherever appearing.
    Subsec. (h). Pub. L. 102-83, Sec. 4(b)(1), (2)(E), substituted 
``Secretary'' for ``Administrator'' in two places.
    Pub. L. 102-83, Sec. 4(a)(3), (4), substituted ``Department'' for 
``Veterans' Administration''.
    Subsec. (i). Pub. L. 102-83, Sec. 4(b)(1), (2)(E), substituted 
``Secretary'' for ``Administrator''.
    1986--Subsec. (g). Pub. L. 99-576 substituted ``the insured's'' for 
``his'' in two places.
    1982--Subsec. (b). Pub. L. 97-295, Sec. 4(32)(A), substituted ``the 
claim. However, if'' for ``said claim: Provided, That in any case in 
which''.
    Subsec. (c). Pub. L. 97-295, Sec. 4(32)(B), substituted ``district. 
However,'' for ``district: Provided, That'', and substituted ``in this 
section'' for ``herein'' after ``as used''.
    1960--Subsec. (b). Pub. L. 86-507 inserted ``or by certified mail'' 
after ``registered mail''.

                  Section Referred to in Other Sections

    This section is referred to in sections 108, 511, 1947, 1985, 5905 
of this title.
