---
kind: "range"
citation: "33 U.S.C. §§ 2701–2719"
title: "33"
from: "2701"
to: "2719"
count: 20
release: "119-102"
url: "https://uscodex.org/usc/33/2701..2719"
---

# §2701. Definitions


For the purposes of this Act, the term—

- (1) “act of God” means an unanticipated grave natural disaster or other natural phenomenon of an exceptional, inevitable, and irresistible character the effects of which could not have been prevented or avoided by the exercise of due care or foresight;
- (2) “barrel” means 42 United States gallons at 60 degrees fahrenheit;
- (3) “claim” means a request, made in writing for a sum certain, for compensation for [damages](#5) or [removal costs](#31) resulting from an [incident](#14);
- (4) “claimant” means any [person](#27) or government who presents a [claim](#3) for compensation under this subchapter;
- (5) “damages” means damages specified in [section 2702(b) of this title](/usc/33/2702.md?p=b), and includes the cost of assessing these damages;
- (6) “deepwater port” is a [facility](#9) licensed under the Deepwater Port Act of 1974 ([33 U.S.C. 1501–152](https://uscode.house.gov/view.xhtml?req=(/us/usc/t33/s1501–152))4);
- (7) “discharge” means any emission (other than natural seepage), intentional or unintentional, and includes, but is not limited to, spilling, leaking, pumping, pouring, emitting, emptying, or [dumping](/usc/33/1402.md?p=f);
- (8) “exclusive economic zone” means the zone established by Presidential Proclamation Numbered 5030, dated March 10, 1983, including the ocean waters of the areas referred to as “eastern special areas” in Article 3(1) of the Agreement between the United States of America and the Union of Soviet Socialist Republics on the Maritime Boundary, signed June 1, 1990;
- (9) “facility” means any structure, group of structures, equipment, or device (other than a [vessel](#37)) which is used for one or more of the following purposes: exploring for, drilling for, producing, storing, handling, transferring, processing, or transporting [oil](#23). This term includes any motor vehicle, rolling stock, or pipeline used for one or more of these purposes;
- (10) “foreign offshore unit” means a [facility](#9) which is located, in whole or in part, in the territorial sea or on the continental shelf of a foreign country and which is or was used for one or more of the following purposes: exploring for, drilling for, producing, storing, handling, transferring, processing, or transporting [oil](#23) produced from the seabed beneath the foreign country’s territorial sea or from the foreign country’s continental shelf;
- (11) “Fund” means the [Oil](#23) Spill Liability Trust Fund, established by [section 9509 of title 26](/usc/26/9509.md);
- (12) “gross ton” has the meaning given that term by the [Secretary](#33) under part J of [title 46](/usc/46.md);
- (13) “guarantor” means any [person](#27), other than the [responsible party](#32), who provides evidence of financial responsibility for a [responsible party](#32) under this Act;
- (14) “incident” means any occurrence or series of occurrences having the same origin, involving one or more [vessels](#37), [facilities](#9), or any combination thereof, resulting in the [discharge](#7) or substantial threat of [discharge](#7) of [oil](#23);
- (15) “Indian tribe” means any Indian tribe, band, nation, or other organized group or community, but not including any Alaska Native regional or village corporation, which is recognized as eligible for the special [programs](/usc/33/467.md?p=11) and services provided by the United States to Indians because of their status as Indians and has governmental authority over lands belonging to or controlled by the tribe;
- (16) “lessee” means a [person](#27) holding a leasehold interest in an [oil](#23) or gas lease on lands beneath [navigable waters](#21) (as that term is defined in [section 1301(a) of title 43](/usc/43/1301.md?p=a)) or on submerged lands of the Outer Continental Shelf, granted or maintained under applicable State law or the Outer Continental Shelf Lands Act ([43 U.S.C. 1331](/usc/43/1331.md) et seq.);
- (17) “liable” or “liability” shall be construed to be the standard of liability which obtains under [section 1321 of this title](/usc/33/1321.md);
- (18) “mobile offshore drilling unit” means a [vessel](#37) (other than a self-elevating lift [vessel](#37)) capable of use as an [offshore facility](#22);
- (19) “National Contingency Plan” means the National Contingency Plan prepared and published under [section 1321(d) of this title](/usc/33/1321.md?p=d) or revised under section 105 of the Comprehensive Environmental Response, Compensation, and Liability Act ([42 U.S.C. 9605](/usc/42/9605.md));
- (20) “natural resources” includes land, fish, wildlife, biota, air, water, ground water, drinking water supplies, and other such resources belonging to, managed by, held in trust by, appertaining to, or otherwise controlled by the United States (including the resources of the [exclusive economic zone](#8)), any State or local government or [Indian tribe](#15), or any foreign government;
- (21) “navigable waters” means the waters of the United States, including the territorial sea;
- (22) “offshore facility” means any [facility](#9) of any kind located in, on, or under any of the [navigable waters](#21) of the United States, and any [facility](#9) of any kind which is subject to the jurisdiction of the United States and is located in, on, or under any other waters, other than a [vessel](#37) or a [public vessel](#29);
- (23) “oil” means oil of any kind or in any form, including petroleum, fuel oil, sludge, oil refuse, and oil mixed with wastes other than dredged spoil, but does not include any substance which is specifically listed or designated as a hazardous substance under [subparagraphs (A) through (F)](/usc/33/101.md?p=14-A..14-F) of section 101(14) of the Comprehensive Environmental Response, Compensation, and Liability Act ([42 U.S.C. 9601](/usc/42/9601.md)) and which is subject to the provisions of that Act [[42 U.S.C. 9601](/usc/42/9601.md) et seq.];
- (24) “onshore facility” means any [facility](#9) (including, but not limited to, motor vehicles and rolling stock) of any kind located in, on, or under, any land within the United States other than submerged land;
- (25) the term “Outer Continental Shelf facility” means an [offshore facility](#22) which is located, in whole or in part, on the Outer Continental Shelf and is or was used for one or more of the following purposes: exploring for, drilling for, producing, storing, handling, transferring, processing, or transporting [oil](#23) produced from the Outer Continental Shelf;
- (26) “owner or operator”—
  - (A) means—
    - (i) in the case of a [vessel](#37), any [person](#27) owning, operating, or chartering by demise, the [vessel](#37);
    - (ii) in the case of an [onshore facility](#24), [offshore facility](#22), or [foreign offshore unit](#10) or other [facility](#9) located seaward of the [exclusive economic zone](#8), any [person](#27) or entity owning or operating such [facility](#9);
    - (iii) in the case of any abandoned [offshore facility](#22) or [foreign offshore unit](#10) or other [facility](#9) located seaward of the [exclusive economic zone](#8), the [person](#27) or entity that owned or operated such [facility](#9) immediately prior to such abandonment;
    - (iv) in the case of any [facility](#9), title or control of which was conveyed due to bankruptcy, foreclosure, tax delinquency, abandonment, or similar means to a unit of State or local government, any [person](#27) who owned, operated, or otherwise controlled activities at such [facility](#9) immediately beforehand;
    - (v) notwithstanding [subparagraph (B)(i)](#26-B-i), and in the same manner and to the same extent, both procedurally and substantively, as any nongovernmental entity, including for purposes of liability under [section 2702 of this title](/usc/33/2702.md), any State or local government that has caused or contributed to a [discharge](#7) or substantial threat of a [discharge](#7) of [oil](#23) from a [vessel](#37) or [facility](#9) ownership or control of which was acquired involuntarily through—
      - (I) seizure or otherwise in connection with law enforcement activity;
      - (II) bankruptcy;
      - (III) tax delinquency;
      - (IV) abandonment; or
      - (V) other circumstances in which the government involuntarily acquires title by virtue of its function as sovereign;
    - (vi) notwithstanding [subparagraph (B)(ii)](#26-B-ii), a [person](#27) that is a [lender](#42) and that holds indicia of ownership primarily to protect a [security interest](#44) in a [vessel](#37) or [facility](#9) if, while the borrower is still in possession of the [vessel](#37) or [facility](#9) encumbered by the [security interest](#44), the [person](#27)—
      - (I) exercises decision making control over the environmental compliance related to the [vessel](#37) or [facility](#9), such that the [person](#27) has undertaken responsibility for [oil](#23) handling or disposal practices related to the [vessel](#37) or [facility](#9); or
      - (II) exercises control at a level comparable to that of a manager of the [vessel](#37) or [facility](#9), such that the [person](#27) has assumed or manifested responsibility—
        - (aa) for the overall management of the [vessel](#37) or [facility](#9) encompassing day-to-day decision making with respect to environmental compliance; or
        - (bb) over all or substantially all of the [operational functions](#43) (as distinguished from [financial or administrative functions](#40)) of the [vessel](#37) or [facility](#9) other than the function of environmental compliance; and
  - (B) does not include—
    - (i) A unit of state or local government that acquired ownership or control of a [vessel](#37) or [facility](#9) involuntarily through—
      - (I) seizure or otherwise in connection with law enforcement activity;
      - (II) bankruptcy;
      - (III) tax delinquency;
      - (IV) abandonment; or
      - (V) other circumstances in which the government involuntarily acquires title by virtue of its function as sovereign;
    - (ii) a [person](#27) that is a [lender](#42) that does not participate in management of a [vessel](#37) or [facility](#9), but holds indicia of ownership primarily to protect the [security interest](#44) of the [person](#27) in the [vessel](#37) or [facility](#9); or
    - (iii) a [person](#27) that is a [lender](#42) that did not participate in management of a [vessel](#37) or [facility](#9) prior to foreclosure, notwithstanding that the [person](#27)—
      - (I) forecloses on the [vessel](#37) or [facility](#9); and
      - (II) after foreclosure, sells, re-leases (in the case of a lease finance transaction), or liquidates the [vessel](#37) or [facility](#9), maintains business activities, winds up operations, undertakes a removal action under [section 1321(c) of this title](/usc/33/1321.md?p=c) or under the direction of an on-scene coordinator appointed under the [National Contingency Plan](#19), with respect to the [vessel](#37) or [facility](#9), or takes any other measure to preserve, protect, or prepare the [vessel](#37) or [facility](#9) prior to sale or disposition,

    if the [person](#27) seeks to sell, re-lease (in the case of a lease finance transaction), or otherwise divest the [person](#27) of the [vessel](#37) or [facility](#9) at the earliest practicable, commercially reasonable time, on commercially reasonable terms, taking into account market conditions and legal and regulatory requirements;

- (27) “person” means an individual, corporation, partnership, association, State, [municipality](/usc/33/1362.md?p=4), commission, or political subdivision of a State, or any interstate body;
- (28) “permittee” means a [person](#27) holding an authorization, license, or permit for geological exploration issued under section 11 of the Outer Continental Shelf Lands Act ([43 U.S.C. 1340](/usc/43/1340.md)) or applicable State law;
- (29) “public vessel” means a [vessel](#37) owned or bareboat chartered and operated by the United States, or by a State or political subdivision thereof, or by a foreign nation, except when the [vessel](#37) is engaged in commerce;
- (30) “remove” or “removal” means containment and removal of [oil](#23) or a hazardous substance from water and shorelines or the taking of other actions as may be necessary to minimize or mitigate damage to the public health or welfare, including, but not limited to, fish, shellfish, wildlife, and public and private property, shorelines, and beaches;
- (31) “removal costs” means the costs of removal that are incurred after a [discharge](#7) of [oil](#23) has occurred or, in any case in which there is a substantial threat of a [discharge](#7) of [oil](#23), the costs to prevent, minimize, or mitigate [oil](#23) pollution from such an [incident](#14);
- (32) “responsible party” means the following:
  - (A) **Vessels.—** In the case of a [vessel](#37), any [person](#27) owning, operating, or demise chartering the [vessel](#37). In the case of a [vessel](#37), the term “[responsible party](#32)” also includes the owner of [oil](#23) being transported in a [tank vessel](#34) with a single hull after December 31, 2010.
  - (B) **Onshore facilities.—** In the case of an [onshore facility](#24) (other than a pipeline), any [person](#27) owning or operating the [facility](#9), except a Federal agency, State, [municipality](/usc/33/1362.md?p=4), commission, or political subdivision of a State, or any interstate body, that as the owner transfers possession and right to use the property to another [person](#27) by lease, assignment, or permit.
  - (C) **Offshore facilities.—** In the case of an [offshore facility](#22) (other than a pipeline or a deepwater port licensed under the Deepwater Port Act of 1974 ([33 U.S.C. 1501](/usc/33/1501.md) et seq.)), the [lessee](#16) or [permittee](#28) of the area in which the [facility](#9) is located or the holder of a right of use and easement granted under applicable State law or the Outer Continental Shelf Lands Act ([43 U.S.C. 1301–135](https://uscode.house.gov/view.xhtml?req=(/us/usc/t43/s1301–135))6) for the area in which the [facility](#9) is located (if the holder is a different [person](#27) than the [lessee](#16) or [permittee](#28)), except a Federal agency, State, [municipality](/usc/33/1362.md?p=4), commission, or political subdivision of a State, or any interstate body, that as owner transfers possession and right to use the property to another [person](#27) by lease, assignment, or permit.
  - (D) **Foreign facilities.—** In the case of a [foreign offshore unit](#10) or other [facility](#9) located seaward of the [exclusive economic zone](#8), any [person](#27) or other entity owning or operating the [facility](#9), and any leaseholder, permit holder, assignee, or holder of a right of use and easement granted under applicable foreign law for the area in which the [facility](#9) is located.
  - (E) **Deepwater ports.—** In the case of a deepwater port licensed under the Deepwater Port Act of 1974 ([33 U.S.C. 1501–152](https://uscode.house.gov/view.xhtml?req=(/us/usc/t33/s1501–152))4), the licensee.
  - (F) **Pipelines.—** In the case of a pipeline, any [person](#27) owning or operating the pipeline.
  - (G) **Abandonment.—** In the case of an abandoned [vessel](#37), [onshore facility](#24), deepwater port, pipeline, [offshore facility](#22), or [foreign offshore unit](#10) or other [facility](#9) located seaward of the [exclusive economic zone](#8), the [persons](#27) or entities that would have been [responsible parties](#32) immediately prior to the abandonment of the [vessel](#37) or [facility](#9).
- (33) “Secretary” means the Secretary of the department in which the Coast Guard is operating;
- (34) “tank vessel” means a [vessel](#37) that is constructed or adapted to carry, or that carries, [oil](#23) or hazardous [material](/usc/33/1402.md?p=c) in bulk as cargo or cargo residue, and that—
  - (A) is a [vessel](#37) of the United States;
  - (B) operates on the [navigable waters](#21); or
  - (C) transfers [oil](#23) or hazardous [material](/usc/33/1402.md?p=c) in a place subject to the jurisdiction of the United States;
- (35) “territorial seas” means the belt of the seas measured from the line of ordinary low water along that portion of the coast which is in direct contact with the open sea and the line marking the seaward limit of inland waters, and extending seaward a distance of 3 miles;
- (36) “United States” and “State” mean the several [States](/usc/33/701h.md) of the United States, the District of Columbia, the Commonwealth of Puerto Rico, Guam, American Samoa, the United States Virgin Islands, the Commonwealth of the Northern Marianas, and any other territory or possession of the United States;
- (37) “vessel” means every description of watercraft or other artificial contrivance used, or capable of being used, as a means of transportation on water, other than a [public vessel](#29);
- (38) “participate in management”—
  - (A)
    - (i) means actually participating in the management or operational affairs of a [vessel](#37) or [facility](#9); and
    - (ii) does not include merely having the capacity to influence, or the unexercised right to control, [vessel](#37) or [facility](#9) operations; and
  - (B) does not include—
    - (i) performing an act or failing to act prior to the time at which a [security interest](#44) is created in a [vessel](#37) or [facility](#9);
    - (ii) holding a [security interest](#44) or abandoning or releasing a [security interest](#44);
    - (iii) including in the terms of an [extension of credit](#39), or in a contract or security agreement relating to the extension, a covenant, warranty, or other term or condition that relates to environmental compliance;
    - (iv) monitoring or enforcing the terms and conditions of the [extension of credit](#39) or [security interest](#44);
    - (v) monitoring or undertaking one or more inspections of the [vessel](#37) or [facility](#9);
    - (vi) requiring a removal action or other lawful means of addressing a [discharge](#7) or substantial threat of a [discharge](#7) of [oil](#23) in connection with the [vessel](#37) or [facility](#9) prior to, during, or on the expiration of the term of the [extension of credit](#39);
    - (vii) providing financial or other advice or counseling in an effort to mitigate, prevent, or cure default or diminution in the value of the [vessel](#37) or [facility](#9);
    - (viii) restructuring, renegotiating, or otherwise agreeing to alter the terms and conditions of the [extension of credit](#39) or [security interest](#44), exercising forbearance;
    - (ix) exercising other remedies that may be available under applicable law for the breach of a term or condition of the [extension of credit](#39) or security agreement; or
    - (x) conducting a removal action under [section 1321(c) of this title](/usc/33/1321.md?p=c) or under the direction of an on-scene coordinator appointed under the [National Contingency Plan](#19),

    if such actions do not rise to the level of participating in management under subparagraph (A) of this paragraph and [paragraph (26)(A)(vi)](#26-A-vi);

- (39) “extension of credit” has the meaning provided in section 101(20)(H)(i) of the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ([42 U.S.C. 9601(20)(G)(i)](/usc/42/9601.md?p=20-G-i));[^1]
- (40) “financial or administrative function” has the meaning provided in section 101(20)(H)(ii) of the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ([42 U.S.C. 9601(20)(G)(ii)](/usc/42/9601.md?p=20-G-ii));[^1]
- (41) “foreclosure” and “foreclose” each has the meaning provided in section 101(20)(H)(iii) of the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ([42 U.S.C. 9601(20)(G)(iii)](/usc/42/9601.md?p=20-G-iii));[^1]
- (42) “lender” has the meaning provided in section 101(20)(H)(iv) of the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ([42 U.S.C. 9601(20)(G)(iv)](/usc/42/9601.md?p=20-G-iv));[^1]
- (43) “operational function” has the meaning provided in section 101(20)(H)(v) of the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ([42 U.S.C. 9601(20)(G)(v)](/usc/42/9601.md));[^1] and
- (44) “security interest” has the meaning provided in ection 101(20)(H)(vi) of the Comprehensive Environmental Response, Compensation and Liability Act of 1980 ([42 U.S.C. 9601(20)(G)(vi)](/usc/42/9601.md)).[^1]

# §2702. Elements of liability

- (a) **In general—** Notwithstanding any other provision or rule of law, and subject to the provisions of this Act, each [responsible party](/usc/33/2701.md?p=32) for a [vessel](/usc/33/2701.md?p=37) or a [facility](/usc/33/2701.md?p=9) from which [oil](/usc/33/2701.md?p=23) is discharged, or which poses the substantial threat of a [discharge](/usc/33/2701.md?p=7) of [oil](/usc/33/2701.md?p=23), into or upon the [navigable waters](/usc/33/2701.md?p=21) or adjoining shorelines or the [exclusive economic zone](/usc/33/2701.md?p=8) is liable for the [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5) specified in [subsection (b)](#b) that result from such [incident](/usc/33/2701.md?p=14).
- (b) **Covered removal costs and damages—**
  - (1) **Removal costs—** The [removal costs](/usc/33/2701.md?p=31) referred to in [subsection (a)](#a) are—
    - (A) all [removal costs](/usc/33/2701.md?p=31) incurred by the United States, a State, or an [Indian tribe](/usc/33/2701.md?p=15) under subsection (c), (d), (e), or (l) of [section 1321 of this title](/usc/33/1321.md), under the Intervention on the High Seas Act ([33 U.S.C. 1471](/usc/33/1471.md) et seq.), or under State law; and
    - (B) any [removal costs](/usc/33/2701.md?p=31) incurred by any [person](/usc/33/2701.md?p=27) for acts taken by the [person](/usc/33/2701.md?p=27) which are consistent with the [National Contingency Plan](/usc/33/2701.md?p=19).
  - (2) **Damages—** The [damages](/usc/33/2701.md?p=5) referred to in [subsection (a)](#a) are the following:
    - (A) **Natural resources—** [Damages](/usc/33/2701.md?p=5) for injury to, destruction of, loss of, or loss of use of, [natural resources](/usc/33/2701.md?p=20), including the reasonable costs of assessing the damage, which shall be recoverable by a United States trustee, a State trustee, an [Indian tribe](/usc/33/2701.md?p=15) trustee, or a foreign trustee.
    - (B) **Real or personal property—** [Damages](/usc/33/2701.md?p=5) for injury to, or economic losses resulting from destruction of, real or personal property, which shall be recoverable by a [claimant](/usc/33/2701.md?p=4) who owns or leases that property.
    - (C) **Subsistence use—** [Damages](/usc/33/2701.md?p=5) for loss of subsistence use of [natural resources](/usc/33/2701.md?p=20), which shall be recoverable by any [claimant](/usc/33/2701.md?p=4) who so uses [natural resources](/usc/33/2701.md?p=20) which have been injured, destroyed, or lost, without regard to the ownership or management of the resources.
    - (D) **Revenues—** [Damages](/usc/33/2701.md?p=5) equal to the net loss of taxes, royalties, rents, fees, or net profit shares due to the injury, destruction, or loss of real property, personal property, or [natural resources](/usc/33/2701.md?p=20), which shall be recoverable by the Government of the United States, a State, or a political subdivision thereof.
    - (E) **Profits and earning capacity—** [Damages](/usc/33/2701.md?p=5) equal to the loss of profits or impairment of earning capacity due to the injury, destruction, or loss of real property, personal property, or [natural resources](/usc/33/2701.md?p=20), which shall be recoverable by any [claimant](/usc/33/2701.md?p=4).
    - (F) **Public services—** [Damages](/usc/33/2701.md?p=5) for net costs of providing increased or additional public services during or after removal activities, including protection from fire, safety, or health hazards, caused by a [discharge](/usc/33/2701.md?p=7) of [oil](/usc/33/2701.md?p=23), which shall be recoverable by a State, or a political subdivision of a State.
- (c) **Excluded discharges—** This subchapter does not apply to any [discharge](/usc/33/2701.md?p=7)—
  - (1) permitted by a permit issued under Federal, State, or local law;
  - (2) from a [public vessel](/usc/33/2701.md?p=29); or
  - (3) from an [onshore facility](/usc/33/2701.md?p=24) which is subject to the Trans-Alaska Pipeline Authorization Act ([43 U.S.C. 1651](/usc/43/1651.md) et seq.).
- (d) **Liability of third parties—**
  - (1) **In general—**
    - (A) **Third party treated as responsible party—** Except as provided in [subparagraph (B)](#d-1-B), in any case in which a [responsible party](/usc/33/2701.md?p=32) establishes that a [discharge](/usc/33/2701.md?p=7) or threat of a [discharge](/usc/33/2701.md?p=7) and the resulting [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5) were caused solely by an act or omission of one or more third parties described in [section 2703(a)(3) of this title](/usc/33/2703.md?p=a-3) (or solely by such an act or omission in combination with an [act of God](/usc/33/2701.md?p=1) or an act of war), the third party or parties shall be treated as the [responsible party](/usc/33/2701.md?p=32) or parties for purposes of determining liability under this subchapter.
    - (B) **Subrogation of responsible party—** If the [responsible party](/usc/33/2701.md?p=32) alleges that the [discharge](/usc/33/2701.md?p=7) or threat of a [discharge](/usc/33/2701.md?p=7) was caused solely by an act or omission of a third party, the [responsible party](/usc/33/2701.md?p=32)—
      - (i) in accordance with [section 2713 of this title](/usc/33/2713.md), shall pay [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5) to any [claimant](/usc/33/2701.md?p=4); and
      - (ii) shall be entitled by subrogation to all rights of the United States Government and the [claimant](/usc/33/2701.md?p=4) to recover [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5) from the third party or the [Fund](/usc/33/2701.md?p=11) paid under this subsection.
  - (2) **Limitation applied—**
    - (A) **Owner or operator of vessel or facility—** If the act or omission of a third party that causes an [incident](/usc/33/2701.md?p=14) occurs in connection with a [vessel](/usc/33/2701.md?p=37) or [facility](/usc/33/2701.md?p=9) owned or operated by the third party, the liability of the third party shall be subject to the limits provided in [section 2704 of this title](/usc/33/2704.md) as applied with respect to the [vessel](/usc/33/2701.md?p=37) or [facility](/usc/33/2701.md?p=9).
    - (B) **Other cases—** In any other case, the liability of a third party or parties shall not exceed the limitation which would have been applicable to the [responsible party](/usc/33/2701.md?p=32) of the [vessel](/usc/33/2701.md?p=37) or [facility](/usc/33/2701.md?p=9) from which the [discharge](/usc/33/2701.md?p=7) actually occurred if the [responsible party](/usc/33/2701.md?p=32) were liable.

# §2703. Defenses to liability

- (a) **Complete defenses—** A [responsible party](/usc/33/2701.md?p=32) is not liable for [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5) under [section 2702 of this title](/usc/33/2702.md) if the [responsible party](/usc/33/2701.md?p=32) establishes, by a preponderance of the evidence, that the [discharge](/usc/33/2701.md?p=7) or substantial threat of a [discharge](/usc/33/2701.md?p=7) of [oil](/usc/33/2701.md?p=23) and the resulting [damages](/usc/33/2701.md?p=5) or [removal costs](/usc/33/2701.md?p=31) were caused solely by—
  - (1) an [act of God](/usc/33/2701.md?p=1);
  - (2) an act of war;
  - (3) an act or omission of a third party, other than an employee or agent of the [responsible party](/usc/33/2701.md?p=32) or a third party whose act or omission occurs in connection with any [contractual relationship](#d-1) with the [responsible party](/usc/33/2701.md?p=32) (except where the sole contractual arrangement arises in connection with carriage by a common carrier by rail), if the [responsible party](/usc/33/2701.md?p=32) establishes, by a preponderance of the evidence, that the [responsible party](/usc/33/2701.md?p=32)—
    - (A) exercised due care with respect to the [oil](/usc/33/2701.md?p=23) concerned, taking into consideration the characteristics of the [oil](/usc/33/2701.md?p=23) and in light of all relevant facts and circumstances; and
    - (B) took precautions against foreseeable acts or omissions of any such third party and the foreseeable consequences of those acts or omissions; or
  - (4) any combination of paragraphs [(1)](#a-1), [(2)](#a-2), and [(3)](#a-3).
- (b) **Defenses as to particular claimants—** A [responsible party](/usc/33/2701.md?p=32) is not liable under [section 2702 of this title](/usc/33/2702.md) to a [claimant](/usc/33/2701.md?p=4), to the extent that the [incident](/usc/33/2701.md?p=14) is caused by the gross negligence or willful misconduct of the [claimant](/usc/33/2701.md?p=4).
- (c) **Limitation on complete defense—** [Subsection (a)](#a) does not apply with respect to a [responsible party](/usc/33/2701.md?p=32) who fails or refuses—
  - (1) to report the [incident](/usc/33/2701.md?p=14) as required by law if the [responsible party](/usc/33/2701.md?p=32) knows or has reason to know of the [incident](/usc/33/2701.md?p=14);
  - (2) to provide all reasonable cooperation and assistance requested by a responsible official in connection with removal activities; or
  - (3) without sufficient cause, to comply with an order issued under subsection (c) or (e) of [section 1321 of this title](/usc/33/1321.md) or the Intervention on the High Seas Act ([33 U.S.C. 1471](/usc/33/1471.md) et seq.).
- (d) **Definition of contractual relationship—**
  - (1) **In general—** For purposes of [subsection (a)(3)](#a-3) the term “contractual relationship” includes, but is not limited to, land contracts, deeds, easements, leases, or other instruments transferring title or possession, unless—
    - (A) the real property on which the [facility](/usc/33/2701.md?p=9) concerned is located was acquired by the [responsible party](/usc/33/2701.md?p=32) after the placement of the [oil](/usc/33/2701.md?p=23) on, in, or at the real property on which the [facility](/usc/33/2701.md?p=9) concerned is located;
    - (B) one or more of the circumstances described in subparagraph [(A)](#d-2-A), [(B)](#d-2-B), or [(C)](#d-2-C) of paragraph (2) is established by the [responsible party](/usc/33/2701.md?p=32) by a preponderance of the evidence; and
    - (C) the [responsible party](/usc/33/2701.md?p=32) complies with [paragraph (3)](#d-3).
  - (2) **Required circumstance—** The circumstances referred to in [paragraph (1)(B)](#d-1-B) are the following:
    - (A) At the time the [responsible party](/usc/33/2701.md?p=32) acquired the real property on which the [facility](/usc/33/2701.md?p=9) is located the [responsible party](/usc/33/2701.md?p=32) did not know and had no reason to know that [oil](/usc/33/2701.md?p=23) that is the subject of the [discharge](/usc/33/2701.md?p=7) or substantial threat of [discharge](/usc/33/2701.md?p=7) was located on, in, or at the [facility](/usc/33/2701.md?p=9).
    - (B) The [responsible party](/usc/33/2701.md?p=32) is a government entity that acquired the [facility](/usc/33/2701.md?p=9)—
      - (i) by escheat;
      - (ii) through any other involuntary transfer or acquisition; or
      - (iii) through the exercise of eminent domain authority by purchase or condemnation.
    - (C) The [responsible party](/usc/33/2701.md?p=32) acquired the [facility](/usc/33/2701.md?p=9) by inheritance or bequest.
  - (3) **Additional requirements—** For purposes of [paragraph (1)(C)](#d-1-C), the [responsible party](/usc/33/2701.md?p=32) must establish by a preponderance of the evidence that the [responsible party](/usc/33/2701.md?p=32)—
    - (A) has satisfied the requirements of subsection [(a)(3)(A)](#a-3-A) and [(B)](#a-3-B);
    - (B) has provided full cooperation, assistance, and [facility](/usc/33/2701.md?p=9) access to the [persons](/usc/33/2701.md?p=27) that are authorized to conduct removal actions, including the cooperation and access necessary for the installation, integrity, operation, and maintenance of any complete or partial removal action;
    - (C) is in compliance with any land use restrictions established or relied on in connection with the removal action; and
    - (D) has not impeded the effectiveness or integrity of any institutional control employed in connection with the removal action.
  - (4) **Reason to know—**
    - (A) **Appropriate inquiries—** To establish that the [responsible party](/usc/33/2701.md?p=32) had no reason to know of the matter described in [paragraph (2)(A)](#d-2-A), the [responsible party](/usc/33/2701.md?p=32) must demonstrate to a court that—
      - (i) on or before the date on which the [responsible party](/usc/33/2701.md?p=32) acquired the real property on which the [facility](/usc/33/2701.md?p=9) is located, the [responsible party](/usc/33/2701.md?p=32) carried out all appropriate inquiries, as provided in subparagraphs [(B)](#d-4-B) and [(D)](#d-4-D), into the previous ownership and uses of the real property on which the [facility](/usc/33/2701.md?p=9) is located in accordance with generally accepted good commercial and customary standards and practices; and
      - (ii) the [responsible party](/usc/33/2701.md?p=32) took reasonable steps to—
        - (I) stop any continuing [discharge](/usc/33/2701.md?p=7);
        - (II) prevent any substantial threat of [discharge](/usc/33/2701.md?p=7); and
        - (III) prevent or limit any human, environmental, or natural resource exposure to any previously discharged [oil](/usc/33/2701.md?p=23).
    - (B) **Regulations establishing standards and practices—** Not later than 2 years after August 9, 2004, the [Secretary](/usc/33/2701.md?p=33), in consultation with the Administrator of the Environmental Protection Agency, shall by regulation establish standards and practices for the purpose of satisfying the requirement to carry out all appropriate inquiries under [subparagraph (A)](#d-4-A).
    - (C) **Criteria—** In promulgating regulations that establish the standards and practices referred to in [subparagraph (B)](#d-4-B), the [Secretary](/usc/33/2701.md?p=33) shall include in such standards and practices provisions regarding each of the following:
      - (i) The results of an inquiry by an environmental professional.
      - (ii) Interviews with past and present owners, operators, and occupants of the [facility](/usc/33/2701.md?p=9) and the real property on which the [facility](/usc/33/2701.md?p=9) is located for the purpose of gathering information regarding the potential for [oil](/usc/33/2701.md?p=23) at the [facility](/usc/33/2701.md?p=9) and on the real property on which the [facility](/usc/33/2701.md?p=9) is located.
      - (iii) Reviews of historical sources, such as chain of title documents, aerial photographs, building department records, and land use records, to determine previous uses and occupancies of the real property on which the [facility](/usc/33/2701.md?p=9) is located since the property was first developed.
      - (iv) Searches for recorded environmental cleanup liens against the [facility](/usc/33/2701.md?p=9) and the real property on which the [facility](/usc/33/2701.md?p=9) is located that are filed under Federal, State, or local law.
      - (v) Reviews of Federal, State, and local government records, waste disposal records, underground storage tank records, and waste handling, generation, treatment, disposal, and spill records, concerning [oil](/usc/33/2701.md?p=23) at or near the [facility](/usc/33/2701.md?p=9) and on the real property on which the [facility](/usc/33/2701.md?p=9) is located.
      - (vi) Visual inspections of the [facility](/usc/33/2701.md?p=9), the real property on which the [facility](/usc/33/2701.md?p=9) is located, and adjoining properties.
      - (vii) Specialized knowledge or experience on the part of the [responsible party](/usc/33/2701.md?p=32).
      - (viii) The relationship of the purchase price to the value of the [facility](/usc/33/2701.md?p=9) and the real property on which the [facility](/usc/33/2701.md?p=9) is located, if [oil](/usc/33/2701.md?p=23) was not at the [facility](/usc/33/2701.md?p=9) or on the real property.
      - (ix) Commonly known or reasonably ascertainable information about the [facility](/usc/33/2701.md?p=9) and the real property on which the [facility](/usc/33/2701.md?p=9) is located.
      - (x) The degree of obviousness of the presence or likely presence of [oil](/usc/33/2701.md?p=23) at the [facility](/usc/33/2701.md?p=9) and on the real property on which the [facility](/usc/33/2701.md?p=9) is located, and the ability to detect the [oil](/usc/33/2701.md?p=23) by appropriate investigation.
    - (D) **Interim standards and practices—**
      - (i) **Real property purchased before May 31, 1997—** With respect to real property purchased before May 31, 1997, in making a determination with respect to a [responsible party](/usc/33/2701.md?p=32) described in [subparagraph (A)](#d-4-A), a court shall take into account—
        - (I) any specialized knowledge or experience on the part of the [responsible party](/usc/33/2701.md?p=32);
        - (II) the relationship of the purchase price to the value of the [facility](/usc/33/2701.md?p=9) and the real property on which the [facility](/usc/33/2701.md?p=9) is located, if the [oil](/usc/33/2701.md?p=23) was not at the [facility](/usc/33/2701.md?p=9) or on the real property;
        - (III) commonly known or reasonably ascertainable information about the [facility](/usc/33/2701.md?p=9) and the real property on which the [facility](/usc/33/2701.md?p=9) is located;
        - (IV) the obviousness of the presence or likely presence of [oil](/usc/33/2701.md?p=23) at the [facility](/usc/33/2701.md?p=9) and on the real property on which the [facility](/usc/33/2701.md?p=9) is located; and
        - (V) the ability of the [responsible party](/usc/33/2701.md?p=32) to detect [oil](/usc/33/2701.md?p=23) by appropriate inspection.
      - (ii) **Real property purchased on or after May 31, 1997—** With respect to real property purchased on or after May 31, 1997, until the [Secretary](/usc/33/2701.md?p=33) promulgates the regulations described in [clause (ii)](#d-4-D-ii), the procedures of the American Society for Testing and [Materials](/usc/33/1402.md?p=c), including the document known as “Standard E1527–97”, entitled “Standard Practice for Environmental Site Assessment: Phase I Environmental Site Assessment Process”, shall satisfy the requirements in [subparagraph (A)](#d-4-A).
    - (E) **Site inspection and title search—** In the case of real property for residential use or other similar use purchased by a nongovernmental or noncommercial entity, inspection and title search of the [facility](/usc/33/2701.md?p=9) and the real property on which the [facility](/usc/33/2701.md?p=9) is located that reveal no basis for further investigation shall be considered to satisfy the requirements of this paragraph.
  - (5) **Previous owner or operator—** Nothing in this paragraph or in [subsection (a)(3)](#a-3) shall diminish the liability of any previous owner or operator of such [facility](/usc/33/2701.md?p=9) who would otherwise be liable under this Act. Notwithstanding this paragraph, if a [responsible party](/usc/33/2701.md?p=32) obtained actual knowledge of the [discharge](/usc/33/2701.md?p=7) or substantial threat of [discharge](/usc/33/2701.md?p=7) of [oil](/usc/33/2701.md?p=23) at such [facility](/usc/33/2701.md?p=9) when the [responsible party](/usc/33/2701.md?p=32) owned the [facility](/usc/33/2701.md?p=9) and then subsequently transferred ownership of the [facility](/usc/33/2701.md?p=9) or the real property on which the [facility](/usc/33/2701.md?p=9) is located to another [person](/usc/33/2701.md?p=27) without disclosing such knowledge, the [responsible party](/usc/33/2701.md?p=32) shall be treated as liable under [section 2702(a) of this title](/usc/33/2702.md?p=a) and no defense under [subsection (a)](#a) shall be available to such [responsible party](/usc/33/2701.md?p=32).
  - (6) **Limitation on defense—** Nothing in this subsection shall affect the liability under this Act of a [responsible party](/usc/33/2701.md?p=32) who, by any act or omission, caused or contributed to the [discharge](/usc/33/2701.md?p=7) or substantial threat of [discharge](/usc/33/2701.md?p=7) of [oil](/usc/33/2701.md?p=23) which is the subject of the action relating to the [facility](/usc/33/2701.md?p=9).

# §2704. Limits on liability

- (a) **General rule—** Except as otherwise provided in this section, the total of the liability of a [responsible party](/usc/33/2701.md?p=32) under [section 2702 of this title](/usc/33/2702.md) and any [removal costs](/usc/33/2701.md?p=31) incurred by, or on behalf of, the [responsible party](/usc/33/2701.md?p=32), with respect to each [incident](/usc/33/2701.md?p=14) shall not exceed—
  - (1) for a [tank vessel](/usc/33/2701.md?p=34) the greater of—
    - (A) with respect to a single-hull [vessel](/usc/33/2701.md?p=37), including a single-hull [vessel](/usc/33/2701.md?p=37) fitted with double sides only or a double bottom only, $3,000 per [gross ton](/usc/33/2701.md?p=12);
    - (B) with respect to a [vessel](/usc/33/2701.md?p=37) other than a [vessel](/usc/33/2701.md?p=37) referred to in [subparagraph (A)](#a-1-A), $1,900 per [gross ton](/usc/33/2701.md?p=12); or
    - (C)
      - (i) with respect to a [vessel](/usc/33/2701.md?p=37) greater than 3,000 [gross tons](/usc/33/2701.md?p=12) that is—
        - (I) a [vessel](/usc/33/2701.md?p=37) described in [subparagraph (A)](#a-1-A), $22,000,000; or
        - (II) a [vessel](/usc/33/2701.md?p=37) described in [subparagraph (B)](#a-1-B), $16,000,000; or
      - (ii) with respect to a [vessel](/usc/33/2701.md?p=37) of 3,000 [gross tons](/usc/33/2701.md?p=12) or less that is—
        - (I) a [vessel](/usc/33/2701.md?p=37) described in [subparagraph (A)](#a-1-A), $6,000,000; or
        - (II) a [vessel](/usc/33/2701.md?p=37) described in [subparagraph (B)](#a-1-B), $4,000,000;
  - (2) for any other [vessel](/usc/33/2701.md?p=37), $950 per [gross ton](/usc/33/2701.md?p=12) or $800,000, whichever is greater;
  - (3) for an [offshore facility](/usc/33/2701.md?p=22) except a deepwater port, the total of all [removal costs](/usc/33/2701.md?p=31) plus $75,000,000; and
  - (4) for any [onshore facility](/usc/33/2701.md?p=24) and a deepwater port, $350,000,000.
- (b) **Division of liability for mobile offshore drilling units—**
  - (1) **Treated first as tank vessel—** For purposes of determining the [responsible party](/usc/33/2701.md?p=32) and applying this Act and except as provided in [paragraph (2)](#b-2), a [mobile offshore drilling unit](/usc/33/2701.md?p=18) which is being used as an [offshore facility](/usc/33/2701.md?p=22) is deemed to be a [tank vessel](/usc/33/2701.md?p=34) with respect to the [discharge](/usc/33/2701.md?p=7), or the substantial threat of a [discharge](/usc/33/2701.md?p=7), of [oil](/usc/33/2701.md?p=23) on or above the surface of the water.
  - (2) **Treated as facility for excess liability—** To the extent that [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5) from any [incident](/usc/33/2701.md?p=14) described in [paragraph (1)](#b-1) exceed the amount for which a [responsible party](/usc/33/2701.md?p=32) is liable (as that amount may be limited under [subsection (a)(1)](#a-1)), the [mobile offshore drilling unit](/usc/33/2701.md?p=18) is deemed to be an [offshore facility](/usc/33/2701.md?p=22). For purposes of applying [subsection (a)(3)](#a-3), the amount specified in that subsection shall be reduced by the amount for which the [responsible party](/usc/33/2701.md?p=32) is liable under [paragraph (1)](#b-1).
- (c) **Exceptions—**
  - (1) **Acts of responsible party—** [Subsection (a)](#a) does not apply if the [incident](/usc/33/2701.md?p=14) was proximately caused by—
    - (A) gross negligence or willful misconduct of, or
    - (B) the violation of an applicable Federal safety, [construction](/usc/33/426e.md?p=c), or operating regulation by,

    the [responsible party](/usc/33/2701.md?p=32), an agent or employee of the [responsible party](/usc/33/2701.md?p=32), or a [person](/usc/33/2701.md?p=27) acting pursuant to a contractual relationship with the [responsible party](/usc/33/2701.md?p=32) (except where the sole contractual arrangement arises in connection with carriage by a common carrier by rail).

  - (2) **Failure or refusal of responsible party—** [Subsection (a)](#a) does not apply if the [responsible party](/usc/33/2701.md?p=32) fails or refuses—
    - (A) to report the [incident](/usc/33/2701.md?p=14) as required by law and the [responsible party](/usc/33/2701.md?p=32) knows or has reason to know of the [incident](/usc/33/2701.md?p=14);
    - (B) to provide all reasonable cooperation and assistance requested by a responsible official in connection with removal activities; or
    - (C) without sufficient cause, to comply with an order issued under subsection (c) or (e) of [section 1321 of this title](/usc/33/1321.md) or the Intervention on the High Seas Act ([33 U.S.C. 1471](/usc/33/1471.md) et seq.).
  - (3) **OCS facility or vessel—** Notwithstanding the limitations established under [subsection (a)](#a) and the defenses of [section 2703 of this title](/usc/33/2703.md), all [removal costs](/usc/33/2701.md?p=31) incurred by the United States Government or any State or local official or agency in connection with a [discharge](/usc/33/2701.md?p=7) or substantial threat of a [discharge](/usc/33/2701.md?p=7) of [oil](/usc/33/2701.md?p=23) from any [Outer Continental Shelf facility](/usc/33/2701.md?p=25) or a [vessel](/usc/33/2701.md?p=37) carrying [oil](/usc/33/2701.md?p=23) as cargo from such a [facility](/usc/33/2701.md?p=9) shall be borne by the owner or operator of such [facility](/usc/33/2701.md?p=9) or [vessel](/usc/33/2701.md?p=37).
  - (4) **Certain tank vessels—** [Subsection (a)(1)](#a-1) shall not apply to—
    - (A) a [tank vessel](/usc/33/2701.md?p=34) on which the only [oil](/usc/33/2701.md?p=23) carried as cargo is an animal fat or vegetable [oil](/usc/33/2701.md?p=23), as those terms are used in [section 2720 of this title](/usc/33/2720.md); and
    - (B) a [tank vessel](/usc/33/2701.md?p=34) that is designated in its certificate of inspection as an [oil](/usc/33/2701.md?p=23) spill response [vessel](/usc/33/2701.md?p=37) (as that term is defined in [section 2101 of title 46](/usc/46/2101.md)) and that is used solely for removal.
- (d) **Adjusting limits of liability—**
  - (1) **Onshore facilities—** Subject to [paragraph (2)](#d-2), the President may establish by regulation, with respect to any class or category of [onshore facility](/usc/33/2701.md?p=24), a limit of liability under this section of less than $350,000,000, but not less than $8,000,000, taking into account size, storage capacity, [oil](/usc/33/2701.md?p=23) throughput, proximity to sensitive areas, type of [oil](/usc/33/2701.md?p=23) handled, history of [discharges](/usc/33/2701.md?p=7), and other factors relevant to risks posed by the class or category of [facility](/usc/33/2701.md?p=9).
  - (2) **Deepwater ports and associated vessels—**
    - (A) **Study—** The [Secretary](/usc/33/2701.md?p=33) shall conduct a study of the relative operational and environmental risks posed by the transportation of [oil](/usc/33/2701.md?p=23) by [vessel](/usc/33/2701.md?p=37) to deepwater ports (as defined in [section 1502 of this title](/usc/33/1502.md)) versus the transportation of [oil](/usc/33/2701.md?p=23) by [vessel](/usc/33/2701.md?p=37) to other ports. The study shall include a review and analysis of offshore lightering practices used in connection with that transportation, an analysis of the volume of [oil](/usc/33/2701.md?p=23) transported by [vessel](/usc/33/2701.md?p=37) using those practices, and an analysis of the frequency and volume of [oil](/usc/33/2701.md?p=23) [discharges](/usc/33/2701.md?p=7) which occur in connection with the use of those practices.
    - (B) **Report—** Not later than 1 year after August 18, 1990, the [Secretary](/usc/33/2701.md?p=33) shall submit to the Congress a report on the results of the study conducted under [subparagraph (A)](#d-2-A).
    - (C) **Rulemaking proceeding—** If the [Secretary](/usc/33/2701.md?p=33) determines, based on the results of the study conducted under [subparagraph (A)](#d-2-A), that the use of deepwater ports in connection with the transportation of [oil](/usc/33/2701.md?p=23) by [vessel](/usc/33/2701.md?p=37) results in a lower operational or environmental risk than the use of other ports, the [Secretary](/usc/33/2701.md?p=33) shall initiate, not later than the 180th day following the date of submission of the report to the Congress under [subparagraph (B)](#d-2-B), a rulemaking proceeding to lower the limits of liability under this section for deepwater ports as the [Secretary](/usc/33/2701.md?p=33) determines appropriate. The [Secretary](/usc/33/2701.md?p=33) may establish a limit of liability of less than $350,000,000, but not less than $50,000,000, in accordance with [paragraph (1)](#d-1).
  - (3) **Periodic reports—** The President shall, within 6 months after August 18, 1990, and from time to time thereafter, report to the Congress on the desirability of adjusting the limits of liability specified in [subsection (a)](#a).
  - (4) **Adjustment to reflect Consumer Price Index—** The President, by regulations issued not later than 3 years after July 11, 2006, and not less than every 3 years thereafter, shall adjust the limits on liability specified in [subsection (a)](#a) to reflect significant increases in the Consumer Price Index.

# §2705. Interest; partial payment of claims

- (a) **General rule—** The [responsible party](/usc/33/2701.md?p=32) or the [responsible party](/usc/33/2701.md?p=32)’s [guarantor](/usc/33/2701.md?p=13) is liable to a [claimant](/usc/33/2701.md?p=4) for interest on the amount paid in satisfaction of a [claim](/usc/33/2701.md?p=3) under this Act for the period described in [subsection (b)](#b). The [responsible party](/usc/33/2701.md?p=32) shall establish a procedure for the payment or settlement of [claims](/usc/33/2701.md?p=3) for interim, short-term [damages](/usc/33/2701.md?p=5). Payment or settlement of a [claim](/usc/33/2701.md?p=3) for interim, short-term [damages](/usc/33/2701.md?p=5) representing less than the full amount of [damages](/usc/33/2701.md?p=5) to which the [claimant](/usc/33/2701.md?p=4) ultimately may be entitled shall not preclude recovery by the [claimant](/usc/33/2701.md?p=4) for [damages](/usc/33/2701.md?p=5) not reflected in the paid or settled partial [claim](/usc/33/2701.md?p=3).
- (b) **Period—**
  - (1) **In general—** Except as provided in [paragraph (2)](#b-2), the period for which interest shall be paid is the period beginning on the 30th day following the date on which the [claim](/usc/33/2701.md?p=3) is presented to the [responsible party](/usc/33/2701.md?p=32) or [guarantor](/usc/33/2701.md?p=13) and ending on the date on which the [claim](/usc/33/2701.md?p=3) is paid.
  - (2) **Exclusion of period due to offer by guarantor—** If the [guarantor](/usc/33/2701.md?p=13) offers to the [claimant](/usc/33/2701.md?p=4) an amount equal to or greater than that finally paid in satisfaction of the [claim](/usc/33/2701.md?p=3), the period described in [paragraph (1)](#b-1) does not include the period beginning on the date the offer is made and ending on the date the offer is accepted. If the offer is made within 60 days after the date on which the [claim](/usc/33/2701.md?p=3) is presented under [section 2713(a) of this title](/usc/33/2713.md?p=a), the period described in [paragraph (1)](#b-1) does not include any period before the offer is accepted.
  - (3) **Exclusion of periods in interests of justice—** If in any period a [claimant](/usc/33/2701.md?p=4) is not paid due to reasons beyond the control of the [responsible party](/usc/33/2701.md?p=32) or because it would not serve the interests of justice, no interest shall accrue under this section during that period.
  - (4) **Calculation of interest—**
    - (A) **In general—** The interest paid for [claims](/usc/33/2701.md?p=3), other than Federal Government cost recovery [claims](/usc/33/2701.md?p=3), under this section shall be calculated at the average of the highest rate for commercial and finance company paper of maturities of 180 days or less obtaining on each of the days included within the period for which interest must be paid to the [claimant](/usc/33/2701.md?p=4), as published in the Federal Reserve Bulletin.
    - (B) **Federal cost recovery claims—** The interest paid for Federal Government cost recovery [claims](/usc/33/2701.md?p=3) under this section shall be calculated in accordance with [section 3717 of title 31](/usc/31/3717.md).
  - (5) **Interest not subject to liability limits—**
    - (A) **In general—** Interest (including prejudgment interest) under this paragraph is in addition to [damages](/usc/33/2701.md?p=5) and [removal costs](/usc/33/2701.md?p=31) for which [claims](/usc/33/2701.md?p=3) may be asserted under [section 2702 of this title](/usc/33/2702.md) and shall be paid without regard to any limitation of liability under [section 2704 of this title](/usc/33/2704.md).
    - (B) **Payment by guarantor—** The payment of interest under this subsection by a [guarantor](/usc/33/2701.md?p=13) is subject to [section 2716(f)](/usc/33/2716.md?p=f).[^1]

# §2706. Natural resources

- (a) **Liability—** In the case of natural resource [damages](/usc/33/2701.md?p=5) under [section 2702(b)(2)(A) of this title](/usc/33/2702.md?p=b-2-A), liability shall be—
  - (1) to the United States Government for [natural resources](/usc/33/2701.md?p=20) belonging to, managed by, controlled by, or appertaining to the United States;
  - (2) to any State for [natural resources](/usc/33/2701.md?p=20) belonging to, managed by, controlled by, or appertaining to such State or political subdivision thereof;
  - (3) to any [Indian tribe](/usc/33/2701.md?p=15) for [natural resources](/usc/33/2701.md?p=20) belonging to, managed by, controlled by, or appertaining to such [Indian tribe](/usc/33/2701.md?p=15); and
  - (4) in any case in which [section 2707 of this title](/usc/33/2707.md) applies, to the government of a foreign country for [natural resources](/usc/33/2701.md?p=20) belonging to, managed by, controlled by, or appertaining to such country.
- (b) **Designation of trustees—**
  - (1) **In general—** The President, or the authorized representative of any State, [Indian tribe](/usc/33/2701.md?p=15), or foreign government, shall act on behalf of the public, [Indian tribe](/usc/33/2701.md?p=15), or foreign country as trustee of [natural resources](/usc/33/2701.md?p=20) to present a [claim](/usc/33/2701.md?p=3) for and to recover [damages](/usc/33/2701.md?p=5) to the [natural resources](/usc/33/2701.md?p=20).
  - (2) **Federal trustees—** The President shall designate the Federal officials who shall act on behalf of the public as trustees for [natural resources](/usc/33/2701.md?p=20) under this Act.
  - (3) **State trustees—** The Governor of each State shall designate State and local officials who may act on behalf of the public as trustee for [natural resources](/usc/33/2701.md?p=20) under this Act and shall notify the President of the designation.
  - (4) **Indian tribe trustees—** The governing body of any [Indian tribe](/usc/33/2701.md?p=15) shall designate tribal officials who may act on behalf of the tribe or its members as trustee for [natural resources](/usc/33/2701.md?p=20) under this Act and shall notify the President of the designation.
  - (5) **Foreign trustees—** The head of any foreign government may designate the trustee who shall act on behalf of that government as trustee for [natural resources](/usc/33/2701.md?p=20) under this Act.
- (c) **Functions of trustees—**
  - (1) **Federal trustees—** The Federal officials designated under [subsection (b)(2)](#b-2)—
    - (A) shall assess natural resource [damages](/usc/33/2701.md?p=5) under [section 2702(b)(2)(A) of this title](/usc/33/2702.md?p=b-2-A) for the [natural resources](/usc/33/2701.md?p=20) under their trusteeship;
    - (B) may, upon request of and reimbursement from a State or [Indian tribe](/usc/33/2701.md?p=15) and at the Federal officials’ discretion, assess [damages](/usc/33/2701.md?p=5) for the [natural resources](/usc/33/2701.md?p=20) under the State’s or tribe’s trusteeship; and
    - (C) shall develop and implement a plan for the restoration, rehabilitation, replacement, or acquisition of the equivalent, of the [natural resources](/usc/33/2701.md?p=20) under their trusteeship.
  - (2) **State trustees—** The State and local officials designated under [subsection (b)(3)](#b-3)—
    - (A) shall assess natural resource [damages](/usc/33/2701.md?p=5) under [section 2702(b)(2)(A) of this title](/usc/33/2702.md?p=b-2-A) for the purposes of this Act for the [natural resources](/usc/33/2701.md?p=20) under their trusteeship; and
    - (B) shall develop and implement a plan for the restoration, rehabilitation, replacement, or acquisition of the equivalent, of the [natural resources](/usc/33/2701.md?p=20) under their trusteeship.
  - (3) **Indian tribe trustees—** The tribal officials designated under [subsection (b)(4)](#b-4)—
    - (A) shall assess natural resource [damages](/usc/33/2701.md?p=5) under [section 2702(b)(2)(A) of this title](/usc/33/2702.md?p=b-2-A) for the purposes of this Act for the [natural resources](/usc/33/2701.md?p=20) under their trusteeship; and
    - (B) shall develop and implement a plan for the restoration, rehabilitation, replacement, or acquisition of the equivalent, of the [natural resources](/usc/33/2701.md?p=20) under their trusteeship.
  - (4) **Foreign trustees—** The trustees designated under [subsection (b)(5)](#b-5)—
    - (A) shall assess natural resource [damages](/usc/33/2701.md?p=5) under [section 2702(b)(2)(A) of this title](/usc/33/2702.md?p=b-2-A) for the purposes of this Act for the [natural resources](/usc/33/2701.md?p=20) under their trusteeship; and
    - (B) shall develop and implement a plan for the restoration, rehabilitation, replacement, or acquisition of the equivalent, of the [natural resources](/usc/33/2701.md?p=20) under their trusteeship.
  - (5) **Notice and opportunity to be heard—** Plans shall be developed and implemented under this section only after adequate public notice, opportunity for a hearing, and consideration of all public comment.
- (d) **Measure of damages—**
  - (1) **In general—** The measure of natural resource [damages](/usc/33/2701.md?p=5) under [section 2702(b)(2)(A) of this title](/usc/33/2702.md?p=b-2-A) is—
    - (A) the cost of restoring, rehabilitating, replacing, or acquiring the equivalent of, the damaged [natural resources](/usc/33/2701.md?p=20);
    - (B) the diminution in value of those [natural resources](/usc/33/2701.md?p=20) pending restoration; plus
    - (C) the reasonable cost of assessing those [damages](/usc/33/2701.md?p=5).
  - (2) **Determine costs with respect to plans—** Costs shall be determined under [paragraph (1)](#d-1) with respect to plans adopted under [subsection (c)](#c).
  - (3) **No double recovery—** There shall be no double recovery under this Act for natural resource [damages](/usc/33/2701.md?p=5), including with respect to the costs of damage assessment or restoration, rehabilitation, replacement, or acquisition for the same [incident](/usc/33/2701.md?p=14) and natural resource.
- (e) **Damage assessment regulations—**
  - (1) **Regulations—** The President, acting through the [Under Secretary](/usc/33/1981.md?p=16) of Commerce for Oceans and Atmosphere and in consultation with the Administrator of the Environmental Protection Agency, the [Director](/usc/33/1122.md?p=2) of the United States Fish and Wildlife Service, and the heads of other affected agencies, not later than 2 years after August 18, 1990, shall promulgate regulations for the assessment of natural resource [damages](/usc/33/2701.md?p=5) under [section 2702(b)(2)(A) of this title](/usc/33/2702.md?p=b-2-A) resulting from a [discharge](/usc/33/2701.md?p=7) of [oil](/usc/33/2701.md?p=23) for the purpose of this Act.
  - (2) **Rebuttable presumption—** Any determination or assessment of [damages](/usc/33/2701.md?p=5) to [natural resources](/usc/33/2701.md?p=20) for the purposes of this Act made under [subsection (d)](#d) by a Federal, State, or Indian trustee in accordance with the regulations promulgated under [paragraph (1)](#e-1) shall have the force and effect of a rebuttable presumption on behalf of the trustee in any administrative or judicial proceeding under this Act.
- (f) **Use of recovered sums—** Sums recovered under this Act by a Federal, State, Indian, or foreign trustee for natural resource [damages](/usc/33/2701.md?p=5) under [section 2702(b)(2)(A) of this title](/usc/33/2702.md?p=b-2-A) shall be retained by the trustee in a revolving trust account, without further appropriation, for use only to reimburse or pay costs incurred by the trustee under [subsection (c)](#c) with respect to the damaged [natural resources](/usc/33/2701.md?p=20). Any amounts in excess of those required for these reimbursements and costs shall be deposited in the [Fund](/usc/33/2701.md?p=11).
- (g) **Compliance—** Review of actions by any Federal official where there is alleged to be a failure of that official to perform a duty under this section that is not discretionary with that official may be had by any [person](/usc/33/2701.md?p=27) in the district court in which the [person](/usc/33/2701.md?p=27) resides or in which the alleged damage to [natural resources](/usc/33/2701.md?p=20) occurred. The court may award costs of litigation (including reasonable attorney and expert witness fees) to any prevailing or substantially prevailing party. Nothing in this subsection shall restrict any right which any [person](/usc/33/2701.md?p=27) may have to seek relief under any other provision of law.

# §2707. Recovery by foreign claimants

- (a) **Required showing by foreign claimants—**
  - (1) **In general—** In addition to satisfying the other requirements of this Act, to recover [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5) resulting from an [incident](/usc/33/2701.md?p=14) a [foreign claimant](#c) shall demonstrate that—
    - (A) the [claimant](/usc/33/2701.md?p=4) has not been otherwise compensated for the [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5); and
    - (B) recovery is authorized by a treaty or executive agreement between the United States and the [claimant](/usc/33/2701.md?p=4)’s country, or the Secretary of State, in consultation with the Attorney General and other appropriate officials, has certified that the [claimant](/usc/33/2701.md?p=4)’s country provides a comparable remedy for United States [claimants](/usc/33/2701.md?p=4).
  - (2) **Exceptions—** [Paragraph (1)(B)](#a-1-B) shall not apply with respect to recovery by a resident of Canada in the case of an [incident](/usc/33/2701.md?p=14) described in [subsection (b)(4)](#b-4).
- (b) **Discharges in foreign countries—** A [foreign claimant](#c) may make a [claim](/usc/33/2701.md?p=3) for [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5) resulting from a [discharge](/usc/33/2701.md?p=7), or substantial threat of a [discharge](/usc/33/2701.md?p=7), of [oil](/usc/33/2701.md?p=23) in or on the territorial sea, internal waters, or adjacent shoreline of a foreign country, only if the [discharge](/usc/33/2701.md?p=7) is from—
  - (1) an [Outer Continental Shelf facility](/usc/33/2701.md?p=25) or a deepwater port;
  - (2) a [vessel](/usc/33/2701.md?p=37) in the [navigable waters](/usc/33/2701.md?p=21);
  - (3) a [vessel](/usc/33/2701.md?p=37) carrying [oil](/usc/33/2701.md?p=23) as cargo between 2 places in the United States; or
  - (4) a tanker that received the [oil](/usc/33/2701.md?p=23) at the terminal of the pipeline constructed under the Trans-Alaska Pipeline Authorization Act ([43 U.S.C. 1651](/usc/43/1651.md) et seq.), for transportation to a place in the United States, and the [discharge](/usc/33/2701.md?p=7) or threat occurs prior to delivery of the [oil](/usc/33/2701.md?p=23) to that place.
- (c) **“Foreign claimant” defined—** In this section, the term “foreign claimant” means—
  - (1) a [person](/usc/33/2701.md?p=27) residing in a foreign country;
  - (2) the government of a foreign country; and
  - (3) an agency or political subdivision of a foreign country.

# §2708. Recovery by responsible party

- (a) **In general—** The [responsible party](/usc/33/2701.md?p=32) for a [vessel](/usc/33/2701.md?p=37) or [facility](/usc/33/2701.md?p=9) from which [oil](/usc/33/2701.md?p=23) is discharged, or which poses the substantial threat of a [discharge](/usc/33/2701.md?p=7) of [oil](/usc/33/2701.md?p=23), may assert a [claim](/usc/33/2701.md?p=3) for [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5) under [section 2713 of this title](/usc/33/2713.md) only if the [responsible party](/usc/33/2701.md?p=32) demonstrates that—
  - (1) the [responsible party](/usc/33/2701.md?p=32) is entitled to a defense to liability under [section 2703 of this title](/usc/33/2703.md); or
  - (2) the [responsible party](/usc/33/2701.md?p=32) is entitled to a limitation of liability under [section 2704 of this title](/usc/33/2704.md).
- (b) **Extent of recovery—** A [responsible party](/usc/33/2701.md?p=32) who is entitled to a limitation of liability may assert a [claim](/usc/33/2701.md?p=3) under [section 2713 of this title](/usc/33/2713.md) only to the extent that the sum of the [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5) incurred by the [responsible party](/usc/33/2701.md?p=32) plus the amounts paid by the [responsible party](/usc/33/2701.md?p=32), or by the [guarantor](/usc/33/2701.md?p=13) on behalf of the [responsible party](/usc/33/2701.md?p=32), for [claims](/usc/33/2701.md?p=3) asserted under [section 2713 of this title](/usc/33/2713.md) exceeds the amount to which the total of the liability under [section 2702 of this title](/usc/33/2702.md) and [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5) incurred by, or on behalf of, the [responsible party](/usc/33/2701.md?p=32) is limited under [section 2704 of this title](/usc/33/2704.md).

# §2709. Contribution


A [person](/usc/33/2701.md?p=27) may bring a civil action for contribution against any other [person](/usc/33/2701.md?p=27) who is liable or potentially liable under this Act or another law. The action shall be brought in accordance with [section 2717 of this title](/usc/33/2717.md).


# §2710. Indemnification agreements

- (a) **Agreements not prohibited—** Nothing in this Act prohibits any agreement to insure, hold harmless, or indemnify a party to such agreement for any liability under this Act.
- (b) **Liability not transferred—** No indemnification, hold harmless, or similar agreement or conveyance shall be effective to transfer liability imposed under this Act from a [responsible party](/usc/33/2701.md?p=32) or from any [person](/usc/33/2701.md?p=27) who may be liable for an [incident](/usc/33/2701.md?p=14) under this Act to any other [person](/usc/33/2701.md?p=27).
- (c) **Relationship to other causes of action—** Nothing in this Act, including the provisions of [subsection (b)](#b), bars a cause of action that a [responsible party](/usc/33/2701.md?p=32) subject to liability under this Act, or a [guarantor](/usc/33/2701.md?p=13), has or would have, by reason of subrogation or otherwise, against any [person](/usc/33/2701.md?p=27).

# §2711. Consultation on removal actions


The President shall consult with the affected trustees designated under [section 2706 of this title](/usc/33/2706.md) on the appropriate removal action to be taken in connection with any [discharge](/usc/33/2701.md?p=7) of [oil](/usc/33/2701.md?p=23). For the purposes of the [National Contingency Plan](/usc/33/2701.md?p=19), removal with respect to any [discharge](/usc/33/2701.md?p=7) shall be considered completed when so determined by the President in consultation with the Governor or Governors of the affected [States](/usc/33/701h.md). However, this determination shall not preclude additional removal actions under applicable State law.


# §2712. Uses of Fund

- (a) **Uses generally—** The [Fund](/usc/33/2701.md?p=11) shall be available to the President for—
  - (1) the payment of [removal costs](/usc/33/2701.md?p=31), including the costs of monitoring removal actions, determined by the President to be consistent with the [National Contingency Plan](/usc/33/2701.md?p=19)—
    - (A) by Federal authorities; or
    - (B) by a State, a political subdivision of a State, or an [Indian tribe](/usc/33/2701.md?p=15), pursuant to a cost-reimbursable agreement under [subsection (d)](#d);
  - (2) the payment of costs incurred by Federal, State, or [Indian tribe](/usc/33/2701.md?p=15) trustees in carrying out their functions under [section 2706 of this title](/usc/33/2706.md) for assessing natural resource [damages](/usc/33/2701.md?p=5) and for developing and implementing plans for the restoration, rehabilitation, replacement, or acquisition of the equivalent of damaged resources determined by the President to be consistent with the [National Contingency Plan](/usc/33/2701.md?p=19);
  - (3) the payment of [removal costs](/usc/33/2701.md?p=31) determined by the President to be consistent with the [National Contingency Plan](/usc/33/2701.md?p=19) as a result of, and [damages](/usc/33/2701.md?p=5) resulting from, a [discharge](/usc/33/2701.md?p=7), or a substantial threat of a [discharge](/usc/33/2701.md?p=7), of [oil](/usc/33/2701.md?p=23) from a [foreign offshore unit](/usc/33/2701.md?p=10);
  - (4) the payment of [claims](/usc/33/2701.md?p=3) in accordance with [section 2713 of this title](/usc/33/2713.md) for uncompensated [removal costs](/usc/33/2701.md?p=31) determined by the President to be consistent with the [National Contingency Plan](/usc/33/2701.md?p=19) or uncompensated [damages](/usc/33/2701.md?p=5), including, in the case of a spill of national significance that results in extraordinary Coast Guard [claims](/usc/33/2701.md?p=3) processing activities, the administrative and personnel costs of the Coast Guard to process such [claims](/usc/33/2701.md?p=3) (including the costs of commercial [claims](/usc/33/2701.md?p=3) processing, expert services, training, and technical services), subject to the condition that the Coast Guard shall submit to Congress a report describing each spill of national significance not later than 30 days after the date on which the Coast Guard determines it necessary to process such [claims](/usc/33/2701.md?p=3); and
  - (5) the payment of Federal administrative, operational, and personnel costs and expenses reasonably necessary for and incidental to the implementation, administration, and enforcement of this Act (including, but not limited to, sections 1004(d)(2), 1006(e), 4107, 4110, 4111, 4112, 4117, 5006, 8103, and title VII) and subsections (b), (c), (d), (j), and (l) of [section 1321 of this title](/usc/33/1321.md) with respect to prevention, removal, and enforcement related to [oil](/usc/33/2701.md?p=23) [discharges](/usc/33/2701.md?p=7), provided that—
    - (A) not more than $25,000,000 in each fiscal year shall be available to the [Secretary](/usc/33/2701.md?p=33) for operations and support incurred by the Coast Guard;
    - (B) not more than $15,000,000 in each fiscal year shall be available to the [Under Secretary](/usc/33/1981.md?p=16) of Commerce for Oceans and Atmosphere for expenses incurred by, and activities related to, response and damage assessment capabilities of the National Oceanic and Atmospheric Administration;
    - (C) not more than $30,000,000 each year through the end of fiscal year 1992 shall be available to establish the National Response [System](/usc/33/3602.md?p=8) under [section 1321(j) of this title](/usc/33/1321.md?p=j), including the purchase and prepositioning of [oil](/usc/33/2701.md?p=23) spill removal equipment; and
    - (D) not more than $27,250,000 in each fiscal year shall be available to carry out subchapter IV of this chapter.
- (b) **Defense to liability for Fund—**
  - (1) **In general—** The [Fund](/usc/33/2701.md?p=11) shall not be available to pay any [claim](/usc/33/2701.md?p=3) for [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5) to a particular [claimant](/usc/33/2701.md?p=4), to the extent that the [incident](/usc/33/2701.md?p=14), [removal costs](/usc/33/2701.md?p=31), or [damages](/usc/33/2701.md?p=5) are caused by the gross negligence or willful misconduct of that [claimant](/usc/33/2701.md?p=4).
  - (2) **Subrogated rights—** Except for a [guarantor](/usc/33/2701.md?p=13) [claim](/usc/33/2701.md?p=3) pursuant to a defense under [section 2716(e)(1) of this title](/usc/33/2716.md?p=e-1), [Fund](/usc/33/2701.md?p=11) compensation of any [claim](/usc/33/2701.md?p=3) by an insurer or other indemnifier of a [responsible party](/usc/33/2701.md?p=32) or injured third party is subject to the subrogated rights of that [responsible party](/usc/33/2701.md?p=32) or injured third party to such compensation.
- (c) **Obligation of Fund by Federal officials—** The President may promulgate regulations designating one or more Federal officials who may obligate money in accordance with [subsection (a)](#a).
- (d) **Cost-reimbursable agreement—**
  - (1) **In general—** In carrying out [section 1321(c) of this title](/usc/33/1321.md?p=c), the President may enter into cost-reimbursable agreements with a State, a political subdivision of a State, or an [Indian tribe](/usc/33/2701.md?p=15) to obligate the [Fund](/usc/33/2701.md?p=11) for the payment of [removal costs](/usc/33/2701.md?p=31) consistent with the [National Contingency Plan](/usc/33/2701.md?p=19).
  - (2) **Inapplicability—** Chapter 63 and [section 1535 of title 31](/usc/31/1535.md) shall not apply to a cost-reimbursable agreement entered into under this subsection.
- (e) **Rights of subrogation—** Payment of any [claim](/usc/33/2701.md?p=3) or obligation by the [Fund](/usc/33/2701.md?p=11) under this Act shall be subject to the United States Government acquiring by subrogation all rights of the [claimant](/usc/33/2701.md?p=4) or State to recover from the [responsible party](/usc/33/2701.md?p=32).
- (f) **Period of limitations for claims—**
  - (1) **Removal costs—** No [claim](/usc/33/2701.md?p=3) may be presented under this subchapter for recovery of [removal costs](/usc/33/2701.md?p=31) for an [incident](/usc/33/2701.md?p=14) unless the [claim](/usc/33/2701.md?p=3) is presented within 6 years after the date of completion of all removal actions for that [incident](/usc/33/2701.md?p=14).
  - (2) **Damages—** No [claim](/usc/33/2701.md?p=3) may be presented under this section for recovery of [damages](/usc/33/2701.md?p=5) unless the [claim](/usc/33/2701.md?p=3) is presented within 3 years after the date on which the injury and its connection with the [discharge](/usc/33/2701.md?p=7) in question were reasonably discoverable with the exercise of due care, or in the case of natural resource [damages](/usc/33/2701.md?p=5) under [section 2702(b)(2)(A) of this title](/usc/33/2702.md?p=b-2-A), if later, the date of completion of the [natural resources](/usc/33/2701.md?p=20) damage assessment under [section 2706(e) of this title](/usc/33/2706.md?p=e).
  - (3) **Minors and incompetents—** The time limitations contained in this subsection shall not begin to run—
    - (A) against a minor until the earlier of the date when such minor reaches 18 years of age or the date on which a legal representative is duly appointed for the minor, or
    - (B) against an incompetent [person](/usc/33/2701.md?p=27) until the earlier of the date on which such incompetent’s incompetency ends or the date on which a legal representative is duly appointed for the incompetent.
- (g) **Limitation on payment for same costs—** In any case in which the President has paid an amount from the [Fund](/usc/33/2701.md?p=11) for any [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5) specified under [subsection (a)](#a), no other [claim](/usc/33/2701.md?p=3) may be paid from the [Fund](/usc/33/2701.md?p=11) for the same [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5).
- (h) **Obligation in accordance with plan—**
  - (1) **In general—** Except as provided in [paragraph (2)](#h-2), amounts may be obligated from the [Fund](/usc/33/2701.md?p=11) for the restoration, rehabilitation, replacement, or acquisition of [natural resources](/usc/33/2701.md?p=20) only in accordance with a plan adopted under [section 2706(c) of this title](/usc/33/2706.md?p=c).
  - (2) **Exception—** [Paragraph (1)](#h-1) shall not apply in a situation requiring action to avoid irreversible loss of [natural resources](/usc/33/2701.md?p=20) or to prevent or reduce any continuing danger to [natural resources](/usc/33/2701.md?p=20) or similar need for emergency action.
- (i) **Preference for private persons in area affected by discharge—**
  - (1) **In general—** In the expenditure of Federal [funds](/usc/33/2701.md?p=11) for removal of [oil](/usc/33/2701.md?p=23), including for distribution of supplies, [construction](/usc/33/426e.md?p=c), and other reasonable and appropriate activities, under a contract or agreement with a private [person](/usc/33/2701.md?p=27), preference shall be given, to the extent feasible and practicable, to private [persons](/usc/33/2701.md?p=27) residing or doing business primarily in the area affected by the [discharge](/usc/33/2701.md?p=7) of [oil](/usc/33/2701.md?p=23).
  - (2) **Limitation—** This subsection shall not be considered to restrict the use of Department of Defense resources.
- (j) **Reports—**
  - (1) **In general—** Each year, on the date on which the President submits to Congress a budget under [section 1105 of title 31](/usc/31/1105.md), the President, through the [Secretary](/usc/33/2701.md?p=33) of the Department in which the Coast Guard is operating, shall—
    - (A) provide a report on disbursements for the preceding fiscal year from the [Fund](/usc/33/2701.md?p=11), regardless of whether those disbursements were subject to annual appropriations, to—
      - (i) the Senate [Committee](/usc/33/3301.md?p=3) on Commerce, Science, and Transportation; and
      - (ii) the House of Representatives [Committee](/usc/33/3301.md?p=3) on Transportation and Infrastructure; and
    - (B) make the report available to the public on the National Pollution [Funds](/usc/33/2701.md?p=11) Center Internet website.
  - (2) **Contents—** The report shall include—
    - (A) a list of each [incident](/usc/33/2701.md?p=14) that—
      - (i) occurred in the preceding fiscal year; and
      - (ii) resulted in disbursements from the [Fund](/usc/33/2701.md?p=11), for [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5), totaling $500,000 or more;
    - (B) a list of each [incident](/usc/33/2701.md?p=14) that—
      - (i) occurred in the fiscal year preceding the preceding fiscal year; and
      - (ii) resulted in disbursements from the [Fund](/usc/33/2701.md?p=11), for [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5), totaling $500,000 or more; and
    - (C) an accounting of any amounts reimbursed to the [Fund](/usc/33/2701.md?p=11) in the preceding fiscal year that were recovered from a [responsible party](/usc/33/2701.md?p=32) for an [incident](/usc/33/2701.md?p=14) that resulted in disbursements from the [Fund](/usc/33/2701.md?p=11), for [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5), totaling $500,000 or more.
  - (3) **Agency recordkeeping—** Each Federal agency that receives amounts from the [Fund](/usc/33/2701.md?p=11) shall maintain records describing the purposes for which such [funds](/usc/33/2701.md?p=11) were obligated or expended in such detail as the [Secretary](/usc/33/2701.md?p=33) may require for purposes of the report required under [paragraph (1)](#j-1).

# §2713. Claims procedure

- (a) **Presentation—** Except as provided in [subsection (b)](#b), all [claims](/usc/33/2701.md?p=3) for [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5) shall be presented first to the [responsible party](/usc/33/2701.md?p=32) or [guarantor](/usc/33/2701.md?p=13) of the source designated under [section 2714(a) of this title](/usc/33/2714.md?p=a).
- (b) **Presentation to Fund—**
  - (1) **In general—** [Claims](/usc/33/2701.md?p=3) for [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5) may be presented first to the [Fund](/usc/33/2701.md?p=11)—
    - (A) if the President has advertised or otherwise notified [claimants](/usc/33/2701.md?p=4) in accordance with [section 2714(c) of this title](/usc/33/2714.md?p=c);
    - (B) by a [responsible party](/usc/33/2701.md?p=32) who may assert a [claim](/usc/33/2701.md?p=3) under [section 2708 of this title](/usc/33/2708.md);
    - (C) by the Governor of a State for [removal costs](/usc/33/2701.md?p=31) incurred by that State; or
    - (D) by a United States [claimant](/usc/33/2701.md?p=4) in a case where a [foreign offshore unit](/usc/33/2701.md?p=10) has discharged [oil](/usc/33/2701.md?p=23) causing damage for which the [Fund](/usc/33/2701.md?p=11) is liable under [section 2712(a) of this title](/usc/33/2712.md?p=a).
  - (2) **Limitation on presenting claim—** No [claim](/usc/33/2701.md?p=3) of a [person](/usc/33/2701.md?p=27) against the [Fund](/usc/33/2701.md?p=11) may be approved or certified during the pendency of an action by the [person](/usc/33/2701.md?p=27) in court to recover costs which are the subject of the [claim](/usc/33/2701.md?p=3).
- (c) **Election—** If a [claim](/usc/33/2701.md?p=3) is presented in accordance with [subsection (a)](#a) and—
  - (1) each [person](/usc/33/2701.md?p=27) to whom the [claim](/usc/33/2701.md?p=3) is presented denies all liability for the [claim](/usc/33/2701.md?p=3), or
  - (2) the [claim](/usc/33/2701.md?p=3) is not settled by any [person](/usc/33/2701.md?p=27) by payment within 90 days after the date upon which (A) the [claim](/usc/33/2701.md?p=3) was presented, or (B) advertising was begun pursuant to [section 2714(b) of this title](/usc/33/2714.md?p=b), whichever is later,

  the [claimant](/usc/33/2701.md?p=4) may elect to commence an action in court against the [responsible party](/usc/33/2701.md?p=32) or [guarantor](/usc/33/2701.md?p=13) or to present the [claim](/usc/33/2701.md?p=3) to the [Fund](/usc/33/2701.md?p=11).

- (d) **Uncompensated damages—** If a [claim](/usc/33/2701.md?p=3) is presented in accordance with this section, including a [claim](/usc/33/2701.md?p=3) for interim, short-term [damages](/usc/33/2701.md?p=5) representing less than the full amount of [damages](/usc/33/2701.md?p=5) to which the [claimant](/usc/33/2701.md?p=4) ultimately may be entitled, and full and adequate compensation is unavailable, a [claim](/usc/33/2701.md?p=3) for the uncompensated [damages](/usc/33/2701.md?p=5) and [removal costs](/usc/33/2701.md?p=31) may be presented to the [Fund](/usc/33/2701.md?p=11).
- (e) **Procedure for claims against Fund—** The President shall promulgate, and may from time to time amend, regulations for the presentation, filing, processing, settlement, and adjudication of [claims](/usc/33/2701.md?p=3) under this Act against the [Fund](/usc/33/2701.md?p=11).

# §2714. Designation of source and advertisement

- (a) **Designation of source and notification—** When the President receives information of an [incident](/usc/33/2701.md?p=14), the President shall, where possible and appropriate, designate the source or sources of the [discharge](/usc/33/2701.md?p=7) or threat. If a designated source is a [vessel](/usc/33/2701.md?p=37) or a [facility](/usc/33/2701.md?p=9), the President shall immediately notify the [responsible party](/usc/33/2701.md?p=32) and the [guarantor](/usc/33/2701.md?p=13), if known, of that designation.
- (b) **Advertisement by responsible party or guarantor—**
  - (1) If a [responsible party](/usc/33/2701.md?p=32) or [guarantor](/usc/33/2701.md?p=13) fails to inform the President, within 5 days after receiving notification of a designation under [subsection (a)](#a), of the party’s or the [guarantor](/usc/33/2701.md?p=13)’s denial of the designation, such party or [guarantor](/usc/33/2701.md?p=13) shall advertise the designation and the procedures by which [claims](/usc/33/2701.md?p=3) may be presented, in accordance with regulations promulgated by the President. Advertisement under the preceding sentence shall begin no later than 15 days after the date of the designation made under [subsection (a)](#a). If advertisement is not otherwise made in accordance with this subsection, the President shall promptly and at the expense of the [responsible party](/usc/33/2701.md?p=32) or the [guarantor](/usc/33/2701.md?p=13) involved, advertise the designation and the procedures by which [claims](/usc/33/2701.md?p=3) may be presented to the [responsible party](/usc/33/2701.md?p=32) or [guarantor](/usc/33/2701.md?p=13). Advertisement under this subsection shall continue for a period of no less than 30 days.
  - (2) An advertisement under [paragraph (1)](#b-1) shall state that a [claimant](/usc/33/2701.md?p=4) may present a [claim](/usc/33/2701.md?p=3) for interim, short-term [damages](/usc/33/2701.md?p=5) representing less than the full amount of [damages](/usc/33/2701.md?p=5) to which the [claimant](/usc/33/2701.md?p=4) ultimately may be entitled and that payment of such a [claim](/usc/33/2701.md?p=3) shall not preclude recovery for [damages](/usc/33/2701.md?p=5) not reflected in the paid or settled partial [claim](/usc/33/2701.md?p=3).
- (c) **Advertisement by President—** If—
  - (1) the [responsible party](/usc/33/2701.md?p=32) and the [guarantor](/usc/33/2701.md?p=13) both deny a designation within 5 days after receiving notification of a designation under [subsection (a)](#a),
  - (2) the source of the [discharge](/usc/33/2701.md?p=7) or threat was a [public vessel](/usc/33/2701.md?p=29), or
  - (3) the President is unable to designate the source or sources of the [discharge](/usc/33/2701.md?p=7) or threat under [subsection (a)](#a),

  the President shall advertise or otherwise notify potential [claimants](/usc/33/2701.md?p=4) of the procedures by which [claims](/usc/33/2701.md?p=3) may be presented to the [Fund](/usc/33/2701.md?p=11).


# §2715. Subrogation

- (a) **In general—** Any [person](/usc/33/2701.md?p=27), including the [Fund](/usc/33/2701.md?p=11), who pays compensation pursuant to this Act to any [claimant](/usc/33/2701.md?p=4) for [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5) shall be subrogated to all rights, [claims](/usc/33/2701.md?p=3), and causes of action that the [claimant](/usc/33/2701.md?p=4) has under any other law.
- (b) **Interim damages—**
  - (1) **In general—** If a [responsible party](/usc/33/2701.md?p=32), a [guarantor](/usc/33/2701.md?p=13), or the [Fund](/usc/33/2701.md?p=11) has made payment to a [claimant](/usc/33/2701.md?p=4) for interim, short-term [damages](/usc/33/2701.md?p=5) representing less than the full amount of [damages](/usc/33/2701.md?p=5) to which the [claimant](/usc/33/2701.md?p=4) ultimately may be entitled, subrogation under [subsection (a)](#a) shall apply only with respect to the portion of the [claim](/usc/33/2701.md?p=3) reflected in the paid interim [claim](/usc/33/2701.md?p=3).
  - (2) **Final damages—** Payment of such a [claim](/usc/33/2701.md?p=3) shall not foreclose a [claimant](/usc/33/2701.md?p=4)’s right to recovery of all [damages](/usc/33/2701.md?p=5) to which the [claimant](/usc/33/2701.md?p=4) otherwise is entitled under this Act or under any other law.
- (c) **Actions on behalf of Fund—** At the request of the [Secretary](/usc/33/2701.md?p=33), the Attorney General shall commence an action on behalf of the [Fund](/usc/33/2701.md?p=11) to recover any compensation paid by the [Fund](/usc/33/2701.md?p=11) to any [claimant](/usc/33/2701.md?p=4) pursuant to this Act, and all costs incurred by the [Fund](/usc/33/2701.md?p=11) by reason of the [claim](/usc/33/2701.md?p=3), including interest (including prejudgment interest), administrative and adjudicative costs, and attorney’s fees. Such an action may be commenced against any [responsible party](/usc/33/2701.md?p=32) or (subject to [section 2716 of this title](/usc/33/2716.md)) [guarantor](/usc/33/2701.md?p=13), or against any other [person](/usc/33/2701.md?p=27) who is liable, pursuant to any law, to the compensated [claimant](/usc/33/2701.md?p=4) or to the [Fund](/usc/33/2701.md?p=11), for the cost or [damages](/usc/33/2701.md?p=5) for which the compensation was paid. Such an action shall be commenced against the responsible foreign government or other [responsible party](/usc/33/2701.md?p=32) to recover any [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5) paid from the [Fund](/usc/33/2701.md?p=11) as the result of the [discharge](/usc/33/2701.md?p=7), or substantial threat of [discharge](/usc/33/2701.md?p=7), of [oil](/usc/33/2701.md?p=23) from a [foreign offshore unit](/usc/33/2701.md?p=10) or other [facility](/usc/33/2701.md?p=9) located seaward of the [exclusive economic zone](/usc/33/2701.md?p=8).
- (d) **Authority to settle—** The head of any department or agency responsible for recovering amounts for which a [person](/usc/33/2701.md?p=27) is liable under this subchapter may consider, compromise, and settle a [claim](/usc/33/2701.md?p=3) for such amounts, including such costs paid from the [Fund](/usc/33/2701.md?p=11), if the [claim](/usc/33/2701.md?p=3) has not been referred to the Attorney General. In any case in which the total amount to be recovered may exceed $500,000 (excluding interest), a [claim](/usc/33/2701.md?p=3) may be compromised and settled under the preceding sentence only with the prior written approval of the Attorney General.

# §2716. Financial responsibility

- (a) **Requirement—** The [responsible party](/usc/33/2701.md?p=32) for—
  - (1) any [vessel](/usc/33/2701.md?p=37) over 300 [gross tons](/usc/33/2701.md?p=12) (except a non-self-propelled [vessel](/usc/33/2701.md?p=37) that does not carry [oil](/usc/33/2701.md?p=23) as cargo or fuel) using any place subject to the jurisdiction of the United States;
  - (2) any [vessel](/usc/33/2701.md?p=37) using the waters of the [exclusive economic zone](/usc/33/2701.md?p=8) to transship or lighter [oil](/usc/33/2701.md?p=23) destined for a place subject to the jurisdiction of the United States; or
  - (3) any [tank vessel](/usc/33/2701.md?p=34) over 100 [gross tons](/usc/33/2701.md?p=12) using any place subject to the jurisdiction of the United States;

  shall establish and maintain, in accordance with regulations promulgated by the [Secretary](/usc/33/2701.md?p=33), evidence of financial responsibility sufficient to meet the maximum amount of liability to which the [responsible party](/usc/33/2701.md?p=32) could be subjected under section [2704(a)](/usc/33/2704.md?p=a) or [(d)](/usc/33/2704.md?p=d) of this title, in a case where the [responsible party](/usc/33/2701.md?p=32) would be entitled to limit liability under that section. If the [responsible party](/usc/33/2701.md?p=32) owns or operates more than one [vessel](/usc/33/2701.md?p=37), evidence of financial responsibility need be established only to meet the amount of the maximum liability applicable to the [vessel](/usc/33/2701.md?p=37) having the greatest maximum liability.

- (b) **Sanctions—**
  - (1) **Withholding clearance—** The [Secretary](/usc/33/2701.md?p=33) of the Treasury shall withhold or revoke the clearance required by [section 60105 of title 46](/usc/46/60105.md) of any [vessel](/usc/33/2701.md?p=37) subject to this section that does not have the evidence of financial responsibility required for the [vessel](/usc/33/2701.md?p=37) under this section.
  - (2) **Denying entry to or detaining vessels—** The [Secretary](/usc/33/2701.md?p=33) may—
    - (A) deny entry to any [vessel](/usc/33/2701.md?p=37) to any place in the United States, or to the [navigable waters](/usc/33/2701.md?p=21), or
    - (B) detain at the place,

    any [vessel](/usc/33/2701.md?p=37) that, upon request, does not produce the evidence of financial responsibility required for the [vessel](/usc/33/2701.md?p=37) under this section.

  - (3) **Seizure of vessel—** Any [vessel](/usc/33/2701.md?p=37) subject to the requirements of this section which is found in the [navigable waters](/usc/33/2701.md?p=21) without the necessary evidence of financial responsibility for the [vessel](/usc/33/2701.md?p=37) shall be subject to seizure by and forfeiture to the United States.
- (c) **Offshore facilities—**
  - (1) **In general—**
    - (A) **Evidence of financial responsibility required—** Except as provided in [paragraph (2)](#c-2), a [responsible party](/usc/33/2701.md?p=32) with respect to an [offshore facility](/usc/33/2701.md?p=22) that—
      - (i)
        - (I) is located seaward of the line of ordinary low water along that portion of the coast that is in direct contact with the open sea and the line marking the seaward limit of inland waters; or
        - (II) is located in coastal inland waters, such as bays or estuaries, seaward of the line of ordinary low water along that portion of the coast that is not in direct contact with the open sea;
      - (ii) is used for exploring for, drilling for, producing, or transporting [oil](/usc/33/2701.md?p=23) from [facilities](/usc/33/2701.md?p=9) engaged in [oil](/usc/33/2701.md?p=23) exploration, drilling, or production; and
      - (iii) has a worst-case [oil](/usc/33/2701.md?p=23) spill [discharge](/usc/33/2701.md?p=7) potential of more than 1,000 [barrels](/usc/33/2701.md?p=2) of [oil](/usc/33/2701.md?p=23) (or a lesser amount if the President determines that the risks posed by such [facility](/usc/33/2701.md?p=9) justify it),

      shall establish and maintain evidence of financial responsibility in the amount required under subparagraph [(B)](#c-1-B) or [(C)](#c-1-C), as applicable.

    - (B) **Amount required generally—** Except as provided in [subparagraph (C)](#c-1-C), the amount of financial responsibility for [offshore facilities](/usc/33/2701.md?p=22) that meet the criteria of [subparagraph (A)](#c-1-A) is—
      - (i) $35,000,000 for an [offshore facility](/usc/33/2701.md?p=22) located seaward of the seaward boundary of a State; or
      - (ii) $10,000,000 for an [offshore facility](/usc/33/2701.md?p=22) located landward of the seaward boundary of a State.
    - (C) **Greater amount—** If the President determines that an amount of financial responsibility for a [responsible party](/usc/33/2701.md?p=32) greater than the amount required by [subparagraph (B)](#c-1-B) is justified based on the relative operational, environmental, human health, and other risks posed by the quantity or quality of [oil](/usc/33/2701.md?p=23) that is explored for, drilled for, produced, or transported by the [responsible party](/usc/33/2701.md?p=32), the evidence of financial responsibility required shall be for an amount determined by the President not exceeding $150,000,000.
    - (D) **Multiple facilities—** In a case in which a [person](/usc/33/2701.md?p=27) is a [responsible party](/usc/33/2701.md?p=32) for more than one [facility](/usc/33/2701.md?p=9) subject to this subsection, evidence of financial responsibility need be established only to meet the amount applicable to the [facility](/usc/33/2701.md?p=9) having the greatest financial responsibility requirement under this subsection.
    - (E) **Definition—** For the purpose of this paragraph, the seaward boundary of a State shall be determined in accordance with [section 1301(b) of title 43](/usc/43/1301.md?p=b).
  - (2) **Deepwater ports—** Each [responsible party](/usc/33/2701.md?p=32) with respect to a deepwater port shall establish and maintain evidence of financial responsibility sufficient to meet the maximum amount of liability to which the [responsible party](/usc/33/2701.md?p=32) could be subjected under [section 2704(a) of this title](/usc/33/2704.md?p=a) in a case where the [responsible party](/usc/33/2701.md?p=32) would be entitled to limit liability under that section. If the [Secretary](/usc/33/2701.md?p=33) exercises the authority under [section 2704(d)(2) of this title](/usc/33/2704.md?p=d-2) to lower the limit of liability for deepwater ports, the [responsible party](/usc/33/2701.md?p=32) shall establish and maintain evidence of financial responsibility sufficient to meet the maximum amount of liability so established. In a case in which a [person](/usc/33/2701.md?p=27) is the [responsible party](/usc/33/2701.md?p=32) for more than one deepwater port, evidence of financial responsibility need be established only to meet the maximum liability applicable to the deepwater port having the greatest maximum liability.
- (d) **Methods of financial responsibility—** Financial responsibility under this section may be established by any one, or by any combination, of the following methods which the [Secretary](/usc/33/2701.md?p=33) (in the case of a [vessel](/usc/33/2701.md?p=37)) or the President (in the case of a [facility](/usc/33/2701.md?p=9)) determines to be acceptable: evidence of insurance, surety bond, guarantee, letter of credit, qualification as a self-insurer, or other evidence of financial responsibility. Any bond filed shall be issued by a bonding company authorized to do business in the United States. In promulgating requirements under this section, the [Secretary](/usc/33/2701.md?p=33) or the President, as appropriate, may specify policy or other contractual terms, conditions, or defenses which are necessary, or which are unacceptable, in establishing evidence of financial responsibility to effectuate the purposes of this Act.
- (e) **Claims against guarantor—**
  - (1) **In general—** Subject to [paragraph (2)](#e-2), a [claim](/usc/33/2701.md?p=3) for which liability may be established under [section 2702 of this title](/usc/33/2702.md) may be asserted directly against any [guarantor](/usc/33/2701.md?p=13) providing evidence of financial responsibility for a [responsible party](/usc/33/2701.md?p=32) liable under that section for [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5) to which the [claim](/usc/33/2701.md?p=3) pertains. In defending against such a [claim](/usc/33/2701.md?p=3), the [guarantor](/usc/33/2701.md?p=13) may invoke—
    - (A) all rights and defenses which would be available to the [responsible party](/usc/33/2701.md?p=32) under this Act;
    - (B) any defense authorized under [subsection (d)](#d); and
    - (C) the defense that the [incident](/usc/33/2701.md?p=14) was caused by the willful misconduct of the [responsible party](/usc/33/2701.md?p=32).

    The [guarantor](/usc/33/2701.md?p=13) may not invoke any other defense that might be available in proceedings brought by the [responsible party](/usc/33/2701.md?p=32) against the [guarantor](/usc/33/2701.md?p=13).

  - (2) **Further requirement—** A [claim](/usc/33/2701.md?p=3) may be asserted pursuant to [paragraph (1)](#e-1) directly against a [guarantor](/usc/33/2701.md?p=13) providing evidence of financial responsibility under [subsection (c)(1)](#c-1) with respect to an [offshore facility](/usc/33/2701.md?p=22) only if—
    - (A) the [responsible party](/usc/33/2701.md?p=32) for whom evidence of financial responsibility has been provided has denied or failed to pay a [claim](/usc/33/2701.md?p=3) under this Act on the basis of being insolvent, as defined under [section 101(32) of title 11](/usc/11/101.md?p=32), and applying generally accepted accounting principles;
    - (B) the [responsible party](/usc/33/2701.md?p=32) for whom evidence of financial responsibility has been provided has filed a petition for bankruptcy under [title 11](/usc/11.md); or
    - (C) the [claim](/usc/33/2701.md?p=3) is asserted by the United States for [removal costs](/usc/33/2701.md?p=31) and [damages](/usc/33/2701.md?p=5) or for compensation paid by the [Fund](/usc/33/2701.md?p=11) under this Act, including costs incurred by the [Fund](/usc/33/2701.md?p=11) for processing compensation [claims](/usc/33/2701.md?p=3).
  - (3) **Rulemaking authority—** Not later than 1 year after October 19, 1996, the President shall promulgate regulations to establish a process for implementing [paragraph (2)](#e-2) in a manner that will allow for the orderly and expeditious presentation and resolution of [claims](/usc/33/2701.md?p=3) and effectuate the purposes of this Act.
- (f) **Limitation on guarantor’s liability—** Nothing in this Act shall impose liability with respect to an [incident](/usc/33/2701.md?p=14) on any [guarantor](/usc/33/2701.md?p=13) for [damages](/usc/33/2701.md?p=5) or [removal costs](/usc/33/2701.md?p=31) which exceed, in the aggregate, the amount of financial responsibility which that [guarantor](/usc/33/2701.md?p=13) has provided for a [responsible party](/usc/33/2701.md?p=32) pursuant to this section. The total liability of the [guarantor](/usc/33/2701.md?p=13) on direct action for [claims](/usc/33/2701.md?p=3) brought under this Act with respect to an [incident](/usc/33/2701.md?p=14) shall be limited to that amount.
- (g) **Continuation of regulations—** Any regulation relating to financial responsibility, which has been issued pursuant to any provision of law repealed or superseded by this Act, and which is in effect on the date immediately preceding the effective date of this Act, is deemed and shall be construed to be a regulation issued pursuant to this section. Such a regulation shall remain in full force and effect unless and until superseded by a new regulation issued under this section.
- (h) **Unified certificate—** The [Secretary](/usc/33/2701.md?p=33) may issue a single unified certificate of financial responsibility for purposes of this Act and any other law.

# §2716a. Financial responsibility civil penalties

- (a) **Administrative—** Any [person](/usc/33/2701.md?p=27) who, after notice and an opportunity for a hearing, is found to have failed to comply with the requirements of [section 2716 of this title](/usc/33/2716.md) or the regulations issued under that section, or with a denial or detention order issued under [subsection (b)(2)](/usc/33/2716.md?p=b-2) of that section, shall be liable to the United States for a civil penalty, not to exceed $25,000 per day of violation. The amount of the civil penalty shall be assessed by the President by written notice. In determining the amount of the penalty, the President shall take into account the nature, circumstances, extent, and gravity of the violation, the degree of culpability, any history of prior violation, ability to pay, and such other matters as justice may require. The President may compromise, modify, or remit, with or without conditions, any civil penalty which is subject to imposition or which had been imposed under this paragraph. If any [person](/usc/33/2701.md?p=27) fails to pay an assessed civil penalty after it has become final, the President may refer the matter to the Attorney General for collection.
- (b) **Judicial—** In addition to, or in lieu of, assessing a penalty under [subsection (a)](#a), the President may request the Attorney General to secure such relief as necessary to compel compliance with [section 2716 of this title](/usc/33/2716.md), including a judicial order terminating operations. The district courts of the United States shall have jurisdiction to grant any relief as the public interest and the equities of the case may require.

# §2717. Litigation, jurisdiction, and venue

- (a) **Review of regulations—** Review of any regulation promulgated under this Act may be had upon application by any interested [person](/usc/33/2701.md?p=27) only in the Circuit Court of Appeals of the United States for the District of Columbia. Any such application shall be made within 90 days from the date of promulgation of such regulations. Any matter with respect to which review could have been obtained under this subsection shall not be subject to judicial review in any civil or criminal proceeding for enforcement or to obtain [damages](/usc/33/2701.md?p=5) or recovery of response costs.
- (b) **Jurisdiction—** Except as provided in subsections [(a)](#a) and [(c)](#c), the United States district courts shall have exclusive original jurisdiction over all controversies arising under this Act, without regard to the citizenship of the parties or the amount in controversy. Venue shall lie in any district in which the [discharge](/usc/33/2701.md?p=7) or injury or [damages](/usc/33/2701.md?p=5) occurred, or in which the defendant resides, may be found, has its principal office, or has appointed an agent for service of process. For the purposes of this section, the [Fund](/usc/33/2701.md?p=11) shall reside in the District of Columbia.
- (c) **State court jurisdiction—** A State trial court of competent jurisdiction over [claims](/usc/33/2701.md?p=3) for [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5), as defined under this Act, may consider [claims](/usc/33/2701.md?p=3) under this Act or State law and any final judgment of such court (when no longer subject to ordinary forms of review) shall be recognized, valid, and enforceable for all purposes of this Act.
- (d) **Assessment and collection of tax—** The provisions of subsections [(a)](#a), [(b)](#b), and [(c)](#c) shall not apply to any controversy or other matter resulting from the assessment or collection of any tax, or to the review of any regulation promulgated under [title 26](/usc/26.md).
- (e) **Savings provision—** Nothing in this subchapter shall apply to any cause of action or right of recovery arising from any [incident](/usc/33/2701.md?p=14) which occurred prior to August 18, 1990. Such [claims](/usc/33/2701.md?p=3) shall be adjudicated pursuant to the law applicable on the date of the [incident](/usc/33/2701.md?p=14).
- (f) **Period of limitations—**
  - (1) **Damages—** Except as provided in paragraphs [(3)](#f-3) and [(4)](#f-4), an action for [damages](/usc/33/2701.md?p=5) under this Act shall be barred unless the action is brought within 3 years after—
    - (A) the date on which the loss and the connection of the loss with the [discharge](/usc/33/2701.md?p=7) in question are reasonably discoverable with the exercise of due care, or
    - (B) in the case of natural resource [damages](/usc/33/2701.md?p=5) under [section 2702(b)(2)(A) of this title](/usc/33/2702.md?p=b-2-A), the date of completion of the [natural resources](/usc/33/2701.md?p=20) damage assessment under [section 2706(c) of this title](/usc/33/2706.md?p=c).
  - (2) **Removal costs—** An action for recovery of [removal costs](/usc/33/2701.md?p=31) referred to in [section 2702(b)(1) of this title](/usc/33/2702.md?p=b-1) must be commenced within 3 years after completion of the removal action. In any such action described in this subsection, the court shall enter a declaratory judgment on liability for [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5) that will be binding on any subsequent action or actions to recover further [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5). Except as otherwise provided in this paragraph, an action may be commenced under this subchapter for recovery of [removal costs](/usc/33/2701.md?p=31) at any time after such costs have been incurred.
  - (3) **Contribution—** No action for contribution for any [removal costs](/usc/33/2701.md?p=31) or [damages](/usc/33/2701.md?p=5) may be commenced more than 3 years after—
    - (A) the date of judgment in any action under this Act for recovery of such costs or [damages](/usc/33/2701.md?p=5), or
    - (B) the date of entry of a judicially approved settlement with respect to such costs or [damages](/usc/33/2701.md?p=5).
  - (4) **Subrogation—** No action based on rights subrogated pursuant to this Act by reason of payment of a [claim](/usc/33/2701.md?p=3) may be commenced under this Act more than 3 years after the date of payment of such [claim](/usc/33/2701.md?p=3).
  - (5) **Commencement—** The time limitations contained herein shall not begin to run—
    - (A) against a minor until the earlier of the date when such minor reaches 18 years of age or the date on which a legal representative is duly appointed for such minor, or
    - (B) against an incompetent [person](/usc/33/2701.md?p=27) until the earlier of the date on which such incompetent’s incompetency ends or the date on which a legal representative is duly appointed for such incompetent.
- (g) **Timing of review—** Before the date of completion of a removal action, no [person](/usc/33/2701.md?p=27) may bring an action under this Act, [section 1321 of this title](/usc/33/1321.md), or [chapter 7](/usc/5/chptI-ch7.md) of title 5 challenging any decision relating to such removal action that is made by an on-scene coordinator appointed under the [National Contingency Plan](/usc/33/2701.md?p=19).

# §2718. Relationship to other law

- (a) **Preservation of State authorities; Solid Waste Disposal Act—** Nothing in this Act or the Act of March 3, 1851 shall—
  - (1) affect, or be construed or interpreted as preempting, the authority of any State or political subdivision thereof from imposing any additional liability or requirements with respect to—
    - (A) the [discharge](/usc/33/2701.md?p=7) of [oil](/usc/33/2701.md?p=23) or other pollution by [oil](/usc/33/2701.md?p=23) within such State; or
    - (B) any removal activities in connection with such a [discharge](/usc/33/2701.md?p=7); or
  - (2) affect, or be construed or interpreted to affect or modify in any way the obligations or liabilities of any [person](/usc/33/2701.md?p=27) under the Solid Waste Disposal Act ([42 U.S.C. 6901](/usc/42/6901.md) et seq.) or State law, including common law.
- (b) **Preservation of State funds—** Nothing in this Act or in [section 9509 of title 26](/usc/26/9509.md) shall in any way affect, or be construed to affect, the authority of any State—
  - (1) to establish, or to continue in effect, a [fund](/usc/33/2701.md?p=11) any purpose of which is to pay for costs or [damages](/usc/33/2701.md?p=5) arising out of, or directly resulting from, [oil](/usc/33/2701.md?p=23) pollution or the substantial threat of [oil](/usc/33/2701.md?p=23) pollution; or
  - (2) to require any [person](/usc/33/2701.md?p=27) to contribute to such a [fund](/usc/33/2701.md?p=11).
- (c) **Additional requirements and liabilities; penalties—** Nothing in this Act, [chapter 305](/usc/46/chstIII-ch305.md) of title 46, or [section 9509 of title 26](/usc/26/9509.md), shall in any way affect, or be construed to affect, the authority of the United States or any State or political subdivision thereof—
  - (1) to impose additional liability or additional requirements; or
  - (2) to impose, or to determine the amount of, any fine or penalty (whether criminal or civil in nature) for any violation of law;

  relating to the [discharge](/usc/33/2701.md?p=7), or substantial threat of a [discharge](/usc/33/2701.md?p=7), of [oil](/usc/33/2701.md?p=23).

- (d) **Federal employee liability—** For purposes of [section 2679(b)(2)(B) of title 28](/usc/28/2679.md?p=b-2-B), nothing in this Act shall be construed to authorize or create a cause of action against a Federal officer or employee in the officer’s or employee’s personal or individual capacity for any act or omission while acting within the scope of the officer’s or employee’s office or employment.

# §2719. State financial responsibility


A State may enforce, on the [navigable waters](/usc/33/2701.md?p=21) of the State, the requirements for evidence of financial responsibility under [section 2716 of this title](/usc/33/2716.md).