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#2241082 - 08/14/20 07:00 PM SCRA and Safe Deposit Boxes
Likes to Comply Offline
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Is the SCRA requirement that applies to safe deposit boxes at § 3958 (Enforcement of storage liens) or is it § 3952 (Protection under installment contracts for purchase or lease)? I saw it noted as 3952 in a training but then saw it noted as 3958 somewhere else.

Does the protection extend to dependents? If so, is it only if it is a joint lease with the servicemember?

Thanks in advance.
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#2241115 - 08/16/20 09:07 PM Re: SCRA and Safe Deposit Boxes Likes to Comply
Andy_Z Offline
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I have seen it under 3958, but one could argue either way, so in a way it's moot, because it's an issue if its wrong. There are fine differences, however.

3952 (leases) protects the SM against repossession of personal property. I don't know that drilling a box and holding the contents for safe keeping or escheatment is repossession. It also applies to pre-service debt and applies during military service.

3958 protects against a storage lien ("we'll hold this until you pay or it has to be escheated") and this applies against any storage lien. This extends for 90 days after leaving the service.

In both cases I don't believe the bank wold conduct a sale of the property to pay fees owed and that is one reason I shy away from calling it a repo. And in both cases the property held goes to the state after a set period of time.

So there are differences and it may take your state laws and SD Box agreement to dictate which applies.
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#2243846 - 10/09/20 03:23 PM Re: SCRA and Safe Deposit Boxes Likes to Comply
ckme Offline
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Does the protection extend to dependents?

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#2243885 - 10/09/20 07:54 PM Re: SCRA and Safe Deposit Boxes Likes to Comply
Andy_Z Offline
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3959 states: "Upon application to a court, a dependent of a servicemember is entitled to the protections of this subchapter if the dependent’s ability to comply with a lease, contract, bailment, or other obligation is materially affected by reason of the servicemember’s military service."

The subchapter is 3951-3959, so yes.
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