Common Questions

Q: What is the Judgment Fund?
A: The Judgment Fund is a permanent, indefinite appropriation available to pay judicially and administratively ordered monetary awards against the United States. The Judgment Fund is also available to pay amounts owed under compromise agreements negotiated by the U.S. Department of Justice in settlement of claims arising under actual or imminent litigation, if a judgment on the merits would be payable from the Judgment Fund.

Q: What is the statutory authority for Judgment Fund?
A: The Judgment Fund is authorized under 31 U.S.C. 1304.

Q: Does the Judgment Fund pay all awards for judgments and settlements against the United States?
A: No. The Judgment Fund may not pay an award if funds are otherwise provided for in the appropriations of the defendant agency. In other words, a federal agency may request that payment of an award be made on its behalf from the Judgment Fund only in those instances where funds are not legally available to pay the award from the agency’s own annual appropriations.

Q: Are federal agencies required to reimburse the Judgment Fund for payments made on their behalf?
A: Federal agencies are not required to reimburse the Judgment Fund except in two exceptions:

• Cases filed under the Contract Disputes Act (CDA).
• Cases filed under the No FEAR Act (Notification and Federal Employee Antidiscrimination and Retaliation Act)

Q: What Payments can be made from the Judgment Fund?
A: Payments can be made from the Judgment Fund only when the following conditions have been met:

• Awards or settlements are final (i.e., no further review or appeal will be sought);
• Awards or settlements are monetary;
• Payment of the award or settlement is authorized under 31 U.S.C. 1304(a)(3); and
• Payment may not legally be made from any other source of agency funds

Q: Who administers the Judgment Fund?
A: The Judgment Fund is administered by the Judgment Fund Branch, which is a part of the United States Department of the Treasury, Financial Management Service.

Q: Who can request payment from the Judgment Fund?
A: Requests for payment must be submitted to the Judgment Fund by an authorized official of a federal agency. Requests signed by anyone other than an authorized federal official will be deemed fraudulent. Filing a false or fraudulent claim constitutes a Federal offense that is punishable by fines, imprisonment, or both. (31 U.S.C. 3279 and 18 U.S.C 287)

Q: Which agencies submit the most claims?

During FY 2010, the Department of Justice submitted by far the greatest number of claims. One might expect that this would be the case since DOJ both represents other federal agencies in any matter involving pending or actual litigation and has the authority to settle cases on behalf of other agencies DOJ represents.