Compromises of suits in excess of the United States Attorneys' delegated authority must receive explicit and advance approval through the Civil Division of the Department of Justice, regardless of whether or not the case otherwise has been delegated for direct handling to the USAO. Requests are expected to demonstrate a thorough, thoughtful exploration of any issues relating to jurisdiction, liability, and damages, with the ultimate goal of ensuring that a proposed settlement is in the best interests of the United States and that the United States has bought peace with respect to any claims that the plaintiff could bring based on the subject matter of the case. The Associate Attorney General has issued internal guidance on this.

After approval, the settlement agreement may be submitted by the United States Attorney directly to the Department of the Treasury through the Judgment Fund Internet Claims System (JFICS) (or, 1. in Postal Service cases, to the Postal Service; or 2. in Federally Supported Health Center cases, to HHS). Compromises in suits under the Federal Tort Claims Act, the Suits in Admiralty Act or the Public Vessels Act, are payable in the same manner as judgments. In no event should the settlement be submitted to Treasury, the Postal Service, or HHS prior to approval from the Civil Division, except when cases are settled within the United States Attorneys' delegated authority.

See JM 4-10.000 for the letters and forms to be used when sending compromises or settlements to the Treasury, the Postal Service, or HHS for payment.

[updated April 2018]