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The Federal Claims Collection Act

The Federal Claims Collection Act

Governments: Federal Government: Property

Torts: Damages: Property Damages

The Federal Claims Collection Act (FCCA) was enacted in 1982 in order to allow the federal government to recover compensation for damages to or for loss or destruction of government property. Under the FCCA, the government is entitled to recover compensation for damages that result from negligent or wrongful acts.

Whether the federal government is entitled to recover compensation under the FCCA will depend upon the law where the damages occurred. For example, if a private person would be entitled to compensation under a state’s law under the same circumstances, the government is entitled to compensation under the FCCA.

In accordance with the FCCA, the federal government is entitled to recover compensation for damages to government property from the person who is responsible for the damages. The government may recover damages from a private person, from a corporation, from an association, or from a state or local governmental entity. The government may also recover damages from a federal employee. The government may further recover damages from an insurance company if the person who is responsible for the damages is insured.

Damages under the FCCA are determined in accordance with the law where the damages occurred. There is no maximum amount that may be recovered under the FCCA. However, claims over $ 20,000 cannot be settled without the permission of the United States Department of Justice. In lieu of monetary damages, the federal government may seek the repair or the replacement of the property that is damaged.

Although collecting damages under the FCCA may be difficult, the federal government may deduct the damages from a responsible person’s pay or compensation. The government may also suspend the responsible person’s federal license or eligibility to conduct business with the government. If the responsible person cannot pay in full, the government may agree to accept payments in installments. If the government is unable to collect damages under the FCCA, it may refer the matter to the Department of Justice for litigation.

The statute of limitations under the FCCA is three years from the date that the damages occurred.

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