[Code of Federal Regulations]

[Title 42, Volume 1]

[Revised as of October 1, 2006]

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

[CITE: 42CFR23.28]



[Page 94]

 

                         TITLE 42--PUBLIC HEALTH

 

    CHAPTER I--PUBLIC HEALTH SERVICE, DEPARTMENT OF HEALTH AND HUMAN 

                                SERVICES

 

PART 23_NATIONAL HEALTH SERVICE CORPS--Table of Contents

 

    Subpart B_Private Practice Special Loans for Former Corps Members

 

Sec.  23.28  What events constitute default?



    The following events will constitute defaults of the loan agreement:

    (a) Failure to make full payment of principal and/or interest when 

due, and continuance of that failure for a period of sixty (60) days, or 

a lesser period of time if the Secretary determines that more immediate 

action is necessary in order to protect the interests of the Government.

    (b) Failure to perform or observe any of the terms and conditions of 

the loan agreement and continuance of that failure for a period of sixty 

(60) days.

    (c) The institution of bankruptcy proceedings, either voluntary or 

involuntary, under any State or Federal statute, which may adversely 

affect the borrower's ability to comply with the terms and conditions of 

the agreement or the promissory note.