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LegalText 10 U.S.C. § 2740 Property loss: reimbursement of members and civilian employees for full replacement value of household effects when contractor reimbursement not available us united_states_code code_section 10 ARMED FORCES 163 MILITARY CLAIMS 2740 10 U.S.C. § 2740 current 119-100 2026-06-26 official https://uscode.house.gov/download/releasepoints/us/pl/119/100/xml_usc10@119-100.zip /us/usc/t10/s2740 data/legal/raw/us/code/title-10/usc10.xml 8c0f61e5691e15601bb36369203b86c9d93e57b8e85f158be9d84df772380526 06a2679d38355c44f4219c983fdad34009233205d6ba271593a4c1b17a739ec1 9ea20d2e1a97bea6386a9b2d78ec1c7804d233704c51fac8514f690b6f7bec68 2026-07-04 official
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10 U.S.C. § 2740 - Property loss: reimbursement of members and civilian employees for full replacement value of household effects when contractor reimbursement not available

Text

The Secretary of Defense and the Secretaries of the military departments, in paying a claim under section 3721 of title 31 arising from loss or damage to household goods stored or transported at the expense of the Department of Defense, may pay the claim on the basis of full replacement value in any of the following cases in which reimbursement for the full replacement value for the loss or damage is not available directly from a carrier under section 2636a of this title:

(1) A case in which—

(A) the lost or damaged goods were stored or transported under a contract, tender, or solicitation in accordance with section 2636a of this title that requires the transportation service provider to settle claims on the basis of full replacement value; and

(B) the loss or damage occurred under circumstances that exclude the transportation service provider from liability.

(2) A case in which—

(A) the loss or damage occurred while the lost or damaged goods were in the possession of an ocean carrier that was transporting, loading, or unloading the goods under a Department of Defense contract for ocean carriage; and

(B) the land-based portions of the transportation were under contracts, in accordance with section 2636a of this title, that require the land carriers to settle claims on the basis of full replacement value.

(3) A case in which—

(A) the lost or damaged goods were transported or stored under a contract or solicitation that requires at least one of the transportation service providers or carriers that handled the shipment to settle claims on the basis of full replacement value pursuant to section 2636a of this title;

(B) the lost or damaged goods have been in the custody of more than one independent contractor or transportation service provider; and

(C) a claim submitted to the delivering transportation service provider or carrier is denied in whole or in part because the loss or damage occurred while the lost or damaged goods were in the custody of a prior transportation service provider or carrier or government entity.

(Added Pub. L. 111383, div. A, title III, § 354(a)(1), Jan. 7, 2011, 124 Stat. 4194.)

Notes

Statutory Notes and Related Subsidiaries

Effective DatePub. L. 111383, div. A, title III, § 354(b), Jan. 7, 2011, 124 Stat. 4195, provided that: “Section 2740 of title 10, United States Code, as added by subsection (a), shall apply with respect to losses incurred after the date of the enactment of this Act [Jan. 7, 2011].”