[Code of Federal Regulations]
[Title 10, Volume 1]
[Revised as of January 1, 2005]
From the U.S. Government Printing Office via GPO Access
[CITE: 10CFR40.41]

[Page 660-661]
 
                            TITLE 10--ENERGY
 
                CHAPTER I--NUCLEAR REGULATORY COMMISSION
 
PART 40_DOMESTIC LICENSING OF SOURCE MATERIAL--Table of Contents
 
Sec. 40.41  Terms and conditions of licenses.

    (a) Each license issued pursuant to the regulations in this part 
shall be subject to all the provisions of the act, now or hereafter in 
effect, and to all rules, regulations and orders of the Commission.
    (b) Neither the license nor any right under the license shall be 
assigned or otherwise transferred in violation of the provisions of the 
Act.
    (c) Each person licensed by the Commission pursuant to the 
regulations in

[[Page 661]]

this part shall confine his possession and use of source or byproduct 
material to the locations and purposes authorized in the license. Except 
as otherwise provided in the license, a license issued pursuant to the 
regulations in this part shall carry with it the right to receive, 
possess, and use source or byproduct material. Preparation for shipment 
and transport of source or byproduct material shall be in accordance 
with the provisions of part 71 of this chapter.
    (d) Each license issued pursuant to the regulations in this part 
shall be deemed to contain the provisions set forth in sections 183b.-
d., of the Act, whether or not said provisions are expressly set forth 
in the license.
    (e) The Commission may incorporate in any license at the time of 
issuance, or thereafter, by appropriate rule, regulation or order, such 
additional requirements and conditions with respect to the licensee's 
receipt, possession, use, and transfer of source or byproduct material 
as it deems appropriate or necessary in order to:
    (1) Promote the common defense and security;
    (2) Protect health or to minimize danger of life or property;
    (3) Protect restricted data;
    (4) Require such reports and the keeping of such records, and to 
provide for such inspections of activities under the license as may be 
necessary or appropriate to effectuate the purposes of the act and 
regulations thereunder.
    (f)(1) Each licensee shall notify the appropriate NRC Regional 
Administrator, in writing, immediately following the filing of a 
voluntary or involuntary petition for bankruptcy under any chapter of 
title 11 (Bankruptcy) of the United States Code by or against:
    (i) The licensee;
    (ii) An entity (as that term is defined in 11 U.S.C. 101(14)) 
controlling the licensee or listing the license or licensee as property 
of the estate; or
    (iii) An affiliate (as that term is defined in 11 U.S.C. 101(2)) of 
the licensee.
    (2) This notification must indicate:
    (i) The bankruptcy court in which the petition for bankruptcy was 
filed; and
    (ii) The date of the filing of the petition.
    (g) No person may commence operation of a uranium enrichment 
facility until the Commission verifies through inspection that the 
facility has been constructed in accordance with the requirements of the 
license. The Commission shall publish notice of the inspection results 
in the Federal Register.

[26 FR 284, Jan. 14, 1961, as amended at 31 FR 15145, Dec. 2, 1966; 45 
FR 65531, Oct. 3, 1980; 48 FR 32328, July 15, 1983; 52 FR 1295, Jan. 12, 
1987; 57 FR 18391, Apr. 30, 1992]