Page:United States Statutes at Large Volume 58 Part 1.djvu/675

 58 STAT.] 78TH CONG., 2D SESS.-CH. 358 -JULY 1, 1944 (b) Whenever any contracting agency is satisfied of the inability of a war contractor to meet his obligations it shall exercise supervision or control over payments to the war contractor on account of termina- tion claims of subcontractors of such war contractor to such extent and in such manner as it deems necessary or desirable for the purpose of assuring the receipt of the benefit of such payments by the sub- contractors. (c) The Director shall prescribe policies and methods for the settle- ment as a group, or otherwise, by any contracting agency of some or all of the termination claims of a war contractor under war contracts with one or more (1) bureaus or divisions within a contracting agency, (2) contracting agencies, or (3) prime contractors and subcontractors, to the extent he deems such action necessary or desirable for expedi- tious and equitable settlement of such claims. After consulting with the contracting agencies concerned, the Director may provide for assigning any war contractor to a contracting agency for such settle- ment, and such agency shall have authority to settle, on behalf of any other contracting agency, some or all of the termination claims of such war contractor. (d) Any contracting agency may settle directly termination claims of subcontractors to the extent that it deems such action necessary or desirable for the expeditious and equitable settlement of such elamun. In making such termination settlements any contracting agency may discharge the claim of the subcontractor by paymentor may purchase such claim, and may agree to assume, or indemnify the subcontractor against, any claims by any person in connection with such claim or the termination settlement. Any contracting agency undertaking to settle the termination claim of any subcontractor shall deliver to the subcontractor and the war contractor liable to him written notice stating its acceptance of responsibility for settling his claim and the conditions applicable thereto, which may include the release, or assignment to the contracting agency, of his claim against the war contractor liable to him; upon consent thereto by the subcontractor, the Government shall become liable for the settlement of his claims upon the conditions specified in the notice. (e) Any contracting agency may make settlements with subcon- tractors in accordance with any of the provisions of this Act without regard to any limitation on the amount payable by the Government to the prime contractor. (f) If any contracting agency determines that in the circumstances of a particular case equity and good conscience require fair compen- sation for the termination of a war contract to be paid to a subcon- tractor who has been deprived of and cannot otherwise reasonably secure such fair compensation, the contracting agency concerned may pay such compensation to him although such compensation already has been included and paid as part of a settlement with another war contractor. INTEBIM FINANCING SEc. 8. (a) It is the policy of the Government, and it shall be the responsibility of the contracting agencies and the Director, in accord- ance with and subject to the provisions of this Act, to provide war contractors having any termination claim or claims, pending their settlement, with adequate interim financing, within thirty days after proper application therefor. (b) Each contracting agency shall, to the greatest extent it deems practicable, make available interim financing through loans and dis- counts, and commitments and guaranties in connection therewith, in Supervision of pay- ments for benefit of subcontractors. Group settlements. Direct settlements with subcontractors bycontracting agency. Notio. Nonllmltatlon. Payment where sub- contractor deprived of fair compensation. Provision within 30 days. Availability through los, discounts, etc.

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