[Code of Federal Regulations]

[Title 24, Volume 1]

[Revised as of April 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 24CFR17.46]



[Page 210-211]

 

                 TITLE 24--HOUSING AND URBAN DEVELOPMENT

 

PART 17_ADMINISTRATIVE CLAIMS--Table of Contents

 

  Subpart B_Claims Under the Military Personnel and Civilian Employees 

                           Claims Act of 1964

 

Sec.  17.46  Claims involving carriers or insurers.



    In the event the property which is the subject of a claim was lost 

or damaged while in the possession of a carrier or was insured, the 

following procedures will apply:

    (a) Whenever property is damaged, lost, or destroyed while being 

shipped pursuant to authorized travel orders, the owner must file a 

written claim for reimbursement with the last commercial carrier known 

or believed to have handled the goods, or the carrier known to be in 

possession of the property when the damage or loss occurred, according 

to the terms of its bill of lading or contract, before submitting a 

claim against the Government under this subpart.

    (1) If more than one bill of lading or contract was issued, a 

separate demand should be made against the last carrier on each such 

document.

    (2) The demand should be made within 9 months of the date that 

delivery was made, or within 9 months of the date that delivery should 

ordinarily have been made.

    (3) If it is apparent that the damage or loss is attributable to 

packing, storage, or unpacking while in the custody of the Government, 

no demand need be made against the carrier.

    (b) Whenever property which is damaged, lost, or destroyed incident 

to the claimant's service is insured in whole or in part, the claimant 

must make demand in writing against the insurer for reimbursement under 

the terms and conditions of the insurance coverage, prior to the filing 

of the concurrent claim against the Government.

    (c) Failure to make a demand on a carrier or insurer or to make all 

reasonable efforts to protect and prosecute rights available against a 

carrier or insurer and to collect the amount recoverable from the 

carrier or insurer may result in reducing the amount recoverable from 

the Government by the maximum amount which would have been recoverable 

from the carrier or insurer, had the claim been timely or



[[Page 211]]



diligently prosecuted. However, no deduction will be made where the 

circumstances of the claimant's service preclude reasonable filing of 

such a claim or diligent prosecution, or the evidence indicates a demand 

was impracticable or would have been unavailing.

    (d) Following the submission of the claim against the carrier or 

insurer, the claimant may immediately submit his claim against the 

Government in accordance with the provisions of this subpart, without 

waiting until either final approval or denial of his claim is made by 

the carrier or insurer.

    (1) Upon submitting his claim, he will certify in his claim that he 

has or has not gained any recovery from a carrier or insurer, and 

enclose all correspondence pertinent thereto.

    (2) If final action has not been taken by the carrier or insurer on 

his claim, he will immediately notify them to address all correspondence 

in regard to his claim to him, in care of the General Counsel of HUD.

    (3) The claimant shall advise the General Counsel of any action 

taken by the carrier or insurer on his claim and upon request shall 

furnish all correspondence documents, and other evidence pertinent to 

the matter.

    (e) The claimant will assign to the United States to the extent of 

any payment on his claim accepted by him, all his right, title and 

interest in any claim he may have against any carrier, insurer, or other 

party arising out of the incident on which the claim against the United 

States is based. After payment of his claim by the United States, the 

claimant will, upon receipt of any payment from a carrier or insurer, 

pay the proceeds to the United States to the extent of the payment 

received by him from the United States.

    (f) Where a claimant recovers for the loss from the carrier or 

insurer before his claim under this subpart is settled, the amount or 

recovery shall be applied to his claim as follows:

    (1) When the amount recovered from a carrier, insurer, or other 

third party is greater than or equal to the claimant's total loss as 

determined under this part, no compensation is allowable under this 

part.

    (2) When the amount recovered is less than such total loss, the 

allowable amount is determined by deducting the recovery from the amount 

of such total loss.

    (3) For the purpose of this paragraph (f) the claimant's total loss 

is to be determined without regard to the $6,500 maximum set forth 

above. However, if the resulting amount, after making this deduction, 

exceeds $6,500, the claimant will be allowed only $6,500.