---
kind: "section"
citation: "42 U.S.C. § 1589d"
title: "42"
title_heading: "The Public Health and Welfare"
number: "1589d"
heading: "Undisposed housing"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/42/1589d"
units:
  - "Chapter 9 — Housing of Persons Engaged in National Defense"
  - "Subchapter VII — Disposal of War and Veterans’ Housing"
---

# §1589d. Undisposed housing

- (a) **Disposal to highest bidder; rejection of bids; disposal by negotiation—** Notwithstanding the provisions of this or any other law, (1) any [housing](/usc/42/1590.md?p=b) to be sold on-site determined by the [Secretary](/usc/42/242q–4.md?p=2) of [Housing](/usc/42/1590.md?p=b) and Urban Development to be permanent, located on lands owned by the United States and under the jurisdiction of the [Secretary](/usc/42/242q–4.md?p=2), which is not relinquished, transferred, under contract of sale, sold, or otherwise disposed of by the [Secretary](/usc/42/242q–4.md?p=2) under other provisions of this subchapter or under the provisions of other law by January 1, 1957, except [housing](/usc/42/1590.md?p=b) which is determined by the [Secretary](/usc/42/242q–4.md?p=2) by that date to be suitable for sale in accordance with [section 1587(b) of this title](/usc/42/1587.md?p=b); and (2) any permanent [housing](/usc/42/1590.md?p=b) to be sold off-site which is not relinquished, transferred, under contract of sale, sold, or otherwise disposed of prior to August 7, 1956, shall be disposed of, as expeditiously as possible, on a competitive basis to the highest responsible bidder upon such terms and after such public advertisement as the [Secretary](/usc/42/242q–4.md?p=2) of [Housing](/usc/42/1590.md?p=b) and Urban Development may deem in the public interest; except that the [Secretary](/usc/42/242q–4.md?p=2) of [Housing](/usc/42/1590.md?p=b) and Urban Development may reject any bid which the [Secretary](/usc/42/242q–4.md?p=2) deems less than the fair market value of the property and may thereafter dispose of the property by negotiation.
- (b) **Contracts; time for passage of title; termination of purchaser’s rights—** Notwithstanding the provisions of this or any other law, all contracts entered into after August 7, 1956, for the sale, transfer, or other [disposal](/usc/42/2021b.md?p=7) of [housing](/usc/42/1590.md?p=b) (other than [housing](/usc/42/1590.md?p=b) subject to the provisions of [section 1587(b) of this title](/usc/42/1587.md?p=b)) determined by the [Secretary](/usc/42/242q–4.md?p=2) of [Housing](/usc/42/1590.md?p=b) and Urban Development to be permanent, except contracts entered into pursuant to [subsection (a)](#a) hereof, shall require that if title does not pass to the purchaser by April 1, 1957 (or within sixty days thereafter if such time is necessary to cure defects in title in accordance with the provisions of the contract), the rights of the purchaser shall terminate and thereafter the [housing](/usc/42/1590.md?p=b) shall be sold under the provisions of [subsection (a)](#a) hereof. For the purposes of this subsection, title shall be considered to have passed upon the execution of a conditional sales contract.
- (c) **Dates—** The dates set forth in subsections [(a)](#a) and [(b)](#b) of this section shall not be subject to change by virtue of the provisions of [section 1589a of this title](/usc/42/1589a.md).

## Source credit

(Oct. 14, 1940, ch. 862, title VI, § 614, as added Aug. 7, 1956, ch. 1029, title IV, § 407(a), 70 Stat. 1106; amended Pub. L. 89–174, § 5(a), Sept. 9, 1965, 79 Stat. 669.)

## Notes

### Statutory Notes and Related Subsidiaries

### Transfer of Functions

For transfer of functions to Secretary of Housing and Urban Development, see note set out under section 1581 of this title.