50 USC § 3952 - Protection under installment contracts for purchase or lease

---
identifier: "/us/usc/t50/s3952"
source: "usc"
legal_status: "official_prima_facie"
title: "50 USC § 3952 - Protection under installment contracts for purchase or lease"
title_number: 50
title_name: "WAR AND NATIONAL DEFENSE"
section_number: "3952"
section_name: "Protection under installment contracts for purchase or lease"
chapter_number: 50
chapter_name: "SERVICEMEMBERS CIVIL RELIEF"
subchapter_number: "III"
subchapter_name: "RENT, INSTALLMENT CONTRACTS, MORTGAGES, LIENS, ASSIGNMENT, LEASES, COMMUNICATIONS SERVICE CONTRACTS"
positive_law: false
currency: "119-84"
last_updated: "2026-04-21"
format_version: "1.1.0"
generator: "[email protected]"
source_credit: "(Oct. 17, 1940, ch. 888, title III, § 302, as added Pub. L. 108–189, § 1, Dec. 19, 2003, 117 Stat. 2846; amended Pub. L. 111–275, title III, § 303(b)(3), Oct. 13, 2010, 124 Stat. 2878.)"
---


# § 3952. Protection under installment contracts for purchase or lease

**(a)** **Protection upon breach of contract**

**(1)** **Protection after entering military service** After a servicemember enters military service, a contract by the servicemember for—

may not be rescinded or terminated for a breach of terms of the contract occurring before or during that person’s military service, nor may the property be repossessed for such breach without a court order.

**(A)** the purchase of real or personal property (including a motor vehicle); or

**(B)** the lease or bailment of such property,

**(2)** **Applicability** This section applies only to a contract for which a deposit or installment has been paid by the servicemember before the servicemember enters military service.

**(b)** **Misdemeanor** section 3918 of this title

A person who knowingly resumes possession of property in violation of subsection (a), or in violation of , or who knowingly attempts to do so, shall be fined as provided in title 18, or imprisoned for not more than one year, or both.

**(c)** **Authority of court** In a hearing based on this section, the court—

**(1)** may order repayment to the servicemember of all or part of the prior installments or deposits as a condition of terminating the contract and resuming possession of the property;

**(2)** may, on its own motion, and shall on application by a servicemember when the servicemember’s ability to comply with the contract is materially affected by military service, stay the proceedings for a period of time as, in the opinion of the court, justice and equity require; or

**(3)** may make other disposition as is equitable to preserve the interests of all parties.

---

**Source Credit**: (Oct. 17, 1940, ch. 888, title III, § 302, as added Pub. L. 108–189, § 1, Dec. 19, 2003, 117 Stat. 2846; amended Pub. L. 111–275, title III, § 303(b)(3), Oct. 13, 2010, 124 Stat. 2878.)

## Editorial Notes

### Codification

Section was formerly classified to section 532 of the former Appendix to this title prior to editorial reclassification and renumbering as this section.

### Prior Provisions

A prior section 302 of , art. III, ; , §§ 9(b), (c), 10, , 772; , ; , (10), , , related to mortgages and trust deeds, prior to the general amendment of this Act by . See .

### Amendments

2010—Subsec. (b).  amended subsec. (b) generally. Prior to amendment, subsec. (b) related to penalties.

## Statutory Notes and Related Subsidiaries

### Effective Date

Section applicable to any case not final before , see , set out as a note under .