20 C.F.R. § 725.542 – When waiver of adjustment or recovery may be applied.

There shall be no adjustment or recovery of an overpayment in any case where an incorrect payment has been made with respect to an individual:

(a) Who is without fault, and where
(b) Adjustment or recovery would either:
1. (1) Defeat the purpose of title IV of the Act, or
2. (2) Be against equity and good conscience.