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Co-Authored-By: Claude Opus 4.8 <noreply@anthropic.com>
2026-07-06 09:52:37 -04:00

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LegalText 7 U.S.C. § 907 Acquisition of property pledged for loans; disposition; sale of pledged property by borrower us united_states_code code_section 7 AGRICULTURE 31 RURAL ELECTRIFICATION AND TELEPHONE SERVICE 907 7 U.S.C. § 907 current 119-100 2026-06-26 official https://uscode.house.gov/download/releasepoints/us/pl/119/100/xml_usc07@119-100.zip /us/usc/t7/s907 data/legal/raw/us/code/title-07/usc07.xml 061fa7d538250a0207cac887fb8d5dd93eda93a75582e1462421c743eb1bd5da 50edab1679a711653797362c0aeb8f2273303fe473fb7fa16df1ee76bdd6e984 7c6803f1f02786a59eede2a185d8abefa36690efc950cfafaf5ecd2d64d65c30 2026-07-04 official
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7 U.S.C. § 907 - Acquisition of property pledged for loans; disposition; sale of pledged property by borrower

Text

The Secretary is authorized and empowered to bid for and purchase at any foreclosure or other sale, or otherwise to acquire, property pledged or mortgaged to secure any loan made pursuant to this chapter; to pay the purchase price and any costs and expenses incurred in connection therewith from the sums authorized in section 903 of this title; to accept title to any property so purchased or acquired in the name of the United States of America; to operate or lease such property for such period as may be deemed necessary or advisable to protect the investment therein, but not to exceed five years after the acquisition thereof; and to sell such property so purchased or acquired, upon such terms and for such consideration as the Secretary shall determine to be reasonable. No borrower of funds under sections 904 or 922 of this title shall, without the approval of the Secretary, sell or dispose of its property, rights, or franchises, acquired under the provisions of this chapter, until any loan obtained from the Rural Electrification Administration, including all interest and charges, shall have been repaid.

(May 20, 1936, ch. 432, title I, § 7, 49 Stat. 1365; Oct. 28, 1949, ch. 776, §§ 2, 4(f), 63 Stat. 948; Pub. L. 103354, title II, § 235(a)(13), Oct. 13, 1994, 108 Stat. 3221.)

Notes

Editorial Notes

Amendments1994—Pub. L. 103354 substituted “Secretary” for “Administrator” wherever appearing. 1949—Act Oct. 28, 1949, inserted “or section 922” after “904” in second par., and inserted “title I,” in credit of act May 20, 1936.