Sec. 12. Protection of rights

419 words·~2 min read·/bill/119/hr/5708/ih/section-12

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

An application by a Federal worker for, or the receipt by a Federal worker of, a stay, postponement, or suspension under this Act with respect to the payment of a fine, penalty, insurance premium, or other civil obligation or liability of that Federal worker shall not itself (without regard to other considerations) provide the basis for any of the following: A determination by a lender or other person that the Federal worker is unable to pay the civil obligation or liability, as applicable, in accordance with the terms of the obligation or liability.

With respect to a credit transaction between a creditor and the Federal worker— a denial or revocation of credit by the creditor; a change by the creditor in the terms of an existing credit arrangement; or a refusal by the creditor to grant credit to the Federal worker in substantially the amount or on substantially the terms requested. An adverse report relating to the creditworthiness of the Federal worker by or to a person engaged in the practice of assembling or evaluating consumer credit information.

A refusal by an insurer to insure the Federal worker. A change in the terms offered or conditions required for the issuance of insurance. If a Federal worker fails to perform an obligation arising under a contract and a penalty is incurred arising from that nonperformance, a court may reduce or waive the fine or penalty if— the Federal worker was furloughed or required to work without pay during a shutdown on the date on which the fine or penalty was incurred; and the ability of the Federal worker to perform the obligation was materially affected by the shutdown described in paragraph (1).

If a court determines that a Federal worker is materially affected by a shutdown in complying with a judgment or an order of a court, the court may, upon the motion of the court, and shall, on application by the Federal worker— stay the execution of any judgment or order entered against the Federal worker; and vacate or stay an attachment or garnishment of property, money, or debts in the possession of the Federal worker or a third party, whether before or after the entry of a judgment.

Upon application to a court, a dependent of a Federal worker is entitled to the protections under this Act if the ability of the dependent to comply with a lease, contract, bailment, or other obligation is materially affected by reason of the impact of a shutdown on the Federal worker.