1. Soldiers’ & Sailors’ Civil Relief Act (50 U.S.C.A. §§ 501-593)

2. Purpose To protect military personnel by enacting civil relief legislation to suspend enforcement of certain civil liabilities during the period of service so that the military member can devote all of his or her energy to the defense needs of the nation

3. Persons Covered A-D members of the uniform services Activated Reserves & Guardsmen Public Health Service and NOAA officers detailed to the armed services Inductees and trainees prior to active- duty

4. Persons Not Covered Non-activated Reservists & Guardsmen Retired military personnel Those who make appearances in lawsuits Guardsmen called to non-federal active-duty (Title 32 – State service)

5. When the Act Applies Member is on federal active-duty –Active duty begins on date of entry –Active duty ends on date of discharge or death

6. Article II – General Relief Default Judgments Stays of Proceedings Stays of Executions of Judgment Statute of Limitations Interest Rates

7. Default Judgments Affidavit of non-military service required for all default judgments (§520(1)) Issuing agency is Defense Manpower Data Center (DMDC) in Rosslyn, Virginia No affidavit? Court cannot enter default w/o –Appointing attorney to protect member –Court may require plaintiff to post a bond

8. Re-Opening Default Possible for judgment while member on active duty or w/i 30 days of release May reopen up to 90 days after release Defendant must have been prejudiced by military service Must appear defendant had a defense

9. Stays of Proceedings Court’s discretion – if a party was on active- duty within last 60 days (§521) No discretion – party requests UNLESS court finds party’s ability to defend is not materially affected by military service (§522) Stays also may apply to garnishments, attachments and executions of judgments (§523) Stays can remain for entire service + three months

10. Stays of Execution of Judgments During service and within 60 days after Includes stay of attachments and garnishments Material effect required on ability to comply with judgment

11. Statutes of Limitation During active-duty, prescriptive statutes tolled and do not run regardless whether service materially affected compliance (§525) Exception? IRS

12. Maximum Rate of Interest (§526) Only pre-service interest bearing liability Maximum rate is 6% per annum Upon service member request, creditor MUST comply or seek relief from court Payments must be re-amortized to 6% N/A to federally guaranteed student loans

13. Article III – Leases, Mortgages and Installment Contracts Protection from Eviction Protection from repossession of property Termination of preservice leases

14. Protection from Eviction (§530) If rent does not exceed $1,200/month, leave of the court before evict member’s family Court may stay action if ability to pay is materially affected by military service Misdemeanor to evict or attempt to evict in violation of this section

15. Installment Contracts (§531) Only pre-service contracts for tangible property No termination or repossession for failure to pay w/o court order Court may order repayment of installment or deposit OR may continue case until member’s ability to pay is not materially affected Misdemeanor to violate

16. Article IV - Insurance Guarantees payment of premiums on preservice life insurance policies during military service VA guarantees payment Coverage limited to $10,000, unpaid premiums deducted from benefit

17. Article V - Taxes Protection from Tax Sales of Property Protection from Income Tax Collection –Severely restricted by IRS –Each base has tax program, extensions Residence for Tax Purposes –Host state may not tax military income –Military members only, not dependents

18. Other Areas of Coverage Enforcing Mortgages & Security Interests (§532) Protection under leases (§534) Enforcement of Storage Liens (§535) Deferral of Property Taxes (§560) Other General Stay provisions under §590 –§590 functions like a Chapter 11 bankruptcy –Deferred payments must be paid over the extended period, plus interest

19. Non-Discrimination (§518) Claiming rights under SSCRA cannot be the basis for: –Lender determination member unable to pay –Denial or revocation of credit –Change in existing credit terms –Refusal to grant credit to a member –Adverse credit report –Refusal by insurer to insure member

20. Special Provisions for Doctors and Lawyers Ability to suspend professional liability insurance policies w/o further payment of premiums upon notice to carrier Must be reinstated upon written demand within 30 days after release from active- duty

21. Questions? Contact Capt Art Kirkpatrick Contact 1Lt Charles Wenzel 460 ABW/JA – Buckley AFB Legal 303-677-6444