{"identifier":"/us/usc/t38/s6106","title":38,"num":"\u00a7\u202f6106.","heading":"Misuse of benefits by fiduciaries","text":"\u00a7\u202f6106.\nMisuse of benefits by fiduciaries\n(a)\nFee Forfeiture in Case of Benefit Misuse by Fiduciaries.\u2014\nA fiduciary may not collect a fee from a beneficiary for any month with respect to which the Secretary or a court of competent jurisdiction has determined that the fiduciary misused all or part of the individual\u2019s benefit, and any amount so collected by the fiduciary as a fee for such month shall be treated as a misused part of the individual\u2019s benefit.\n(b)\nMisuse of Benefits Defined.\u2014\nFor purposes of this chapter, misuse of benefits by a fiduciary occurs in any case in which the fiduciary receives payment, under any of laws administered by the Secretary, for the use and benefit of a beneficiary and uses such payment, or any part thereof, for a use other than for the use and benefit of such beneficiary or that beneficiary\u2019s dependents. Retention by a fiduciary of an amount of a benefit payment as a fiduciary fee or commission, or as attorney\u2019s fees (including expenses) and court costs, if authorized by the Secretary or a court of competent jurisdiction, shall be considered to be for the use or benefit of such beneficiary.\n(c)\nRegulations.\u2014\nThe Secretary may prescribe by regulation the meaning of the term \u201cuse and benefit\u201d for purposes of this section.","url":"https://projectusc.org/usc/t38/s6106.html","content":[{"t":"sec","id":"/us/usc/t38/s6106","children":[{"t":"num","text":"\u00a7\u202f6106."},{"t":"heading","text":"Misuse of benefits by fiduciaries"},{"t":"subsec","id":"/us/usc/t38/s6106/a","children":[{"t":"num","text":"(a)"},{"t":"heading","text":"Fee Forfeiture in Case of Benefit Misuse by Fiduciaries.\u2014"},{"t":"content","text":"A fiduciary may not collect a fee from a beneficiary for any month with respect to which the Secretary or a court of competent jurisdiction has determined that the fiduciary misused all or part of the individual\u2019s benefit, and any amount so collected by the fiduciary as a fee for such month shall be treated as a misused part of the individual\u2019s benefit.","tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t38/s6106/b","children":[{"t":"num","text":"(b)"},{"t":"heading","text":"Misuse of Benefits Defined.\u2014"},{"t":"content","text":"For purposes of this chapter, misuse of benefits by a fiduciary occurs in any case in which the fiduciary receives payment, under any of laws administered by the Secretary, for the use and benefit of a beneficiary and uses such payment, or any part thereof, for a use other than for the use and benefit of such beneficiary or that beneficiary\u2019s dependents. Retention by a fiduciary of an amount of a benefit payment as a fiduciary fee or commission, or as attorney\u2019s fees (including expenses) and court costs, if authorized by the Secretary or a court of competent jurisdiction, shall be considered to be for the use or benefit of such beneficiary.","tail":"\n"}],"tail":"\n"},{"t":"subsec","id":"/us/usc/t38/s6106/c","children":[{"t":"num","text":"(c)"},{"t":"heading","text":"Regulations.\u2014"},{"t":"content","text":"The Secretary may prescribe by regulation the meaning of the term \u201cuse and benefit\u201d for purposes of this section.","tail":"\n"}],"tail":"\n"},{"t":"text","text":"\n"},{"t":"text","text":"\n"}]}]}