An Act to amend the Merchant Marine Act of 1936, as amended
PL 84-958 (S.1833), enacted 08/03/1956

984 
PUBLIC L,AW 968-;AUG. 3, 1956 
[70 STAT. 
Public Law 958 
CHAPTER 929 
August 3,1956 
AN ACT 
IS. 1833] 
ffQ amend the Merchant Marine Act of 1936, as amended. 
Be it enacted hy the Senate and House of Representatives 
of the 
WM*'rUk**tol^ United States of America in Congress assembled^ That section 1209 
ance. 
(a) of the Merchant Marine Act, 1936, as amended (U. S. C, title 
46, sec. 1289 (a)), is amended to read as follows: 
ciM*"<^*^ °'^°"" 
"(^) (^) '^^® Secretary, in the administration of this title, may 
cfaisns setti©^ issue such policies, rules, and regulations as he deems proper and 
™*"*' 
may adjust and pay losses, compromise and settle claims, whether 
in favor of or against the United States and pay the amount of any 
judgment rendered against the United States in any suit, or the 
amount of any settlement agreed upon, in respect of any claim under 
insurance authorized by this title. 
Valuation. 
«^2) In respect of hull insurance, the valuation in the policy for 
actual or constructive total loss of the vessel insured shall be a stated 
valuation (exclusive of National Defense features paid for by the 
(xovernment) determined by the Secretary which shall not exceed 
the amount that would be payable if the vessel had been requisitioned 
46 use 1242. 
for titJe under section 902 (a) at the time of the attachment of the in-
a^i^a^iWzeVvlT- surauce under said policy: Provided, however, That in the case of 
aeis. 
5
t construction-subsidized vessel, for the period of insurance prior to 
requisition for title or use, the valuation so determined shall be re-
duced by such proportion as the amount of construction subsidy paid 
with respect to the vessel bears to the entire construction cost and 
capital improvements thereof ^excluding the cost of national defense 
features), and for the period of insurance after requisition for use the 
valuation so determined shall not exceed the amount which would be 
46 use 1212. 
payable under section 802 in the case of requisition for title or use: 
uauom*'"*'"^'^^^' t^^ovided further. That the insured shall have the right within sixty 
days after the attachment of the insurance under said policy, or within 
sixty days after determination of such valuation by the Secretary, 
whichever is later, to reject such valuation, and shall pay, at the rate 
provided for in said policy, premiums upon such asserted valuation 
as the insured shall specify at the time of rejection, but such asserted 
valuation shall not operate to the prejudice of the Government in 
any subsequent action on the policy. In the event of the actual or 
constructive total loss of the vessel, if the insured has not rejected 
such valuation the amount of any claim therefor which is adjusted, 
compromised, settled, adjudged, or paid shall not exceed such stated 
amount, but if the insured has so rejected such valuation, the in-
sured shall be paid as a tentative advance only, 75 per centum of 
such valuation so determined by the Secretary and shall be entitled 
to sue the United States in a court having jurisdiction of such claims 
to recover such valuation as would be equal to the just compensation 
which such court determines would have been payable if the vessel 
had been requisitioned for title under section 902 (a) at the time of 
the attachment of the insurance under said policy: Provided, 
however, 
That in the case of a construction-subsidized vessel, the valuation de-
termined by the court as such just compensation for any period of 
insurance prior to actual requisition for title or use of the vessel 
shall be reduced by such proportion as the amount of construction 
subsidy paid with respect to the vessel bears to the entire construction 
cost and capital improvements thereof (excluding the cost of national 
defense features), and for any period of insurance after actual requisi-
tion for use, the valuation determined by the court shall be the amount 
which would have been payable under section 802 in the case of requisi-
tion for title: And proviaed further, That in the event of an election 
Charter of v e s -
sels. 
70 STAT.] 
PUBLIC LAW 9B8-AUG. 3, 1956 
986 
by the insured to reject the stated valuation fixed by the Secretary and 
to sue in the courts, the amount of the judgment will be payable 
without regard to the limitations contained in the twelfth paragraph 
under the heading Maritime Activities in title I of the Department of 
^
<
5 use 1243-1. 
Commerce and Related Agencies Appropriation Act, 1956, in the 
^^ stat. 231. 
tenth paragraph under the heading Maritime Activities in title I I I 
of the Department of State, Justice, and Commerce, and the United 
States Information Agency Appropriation Act, 1955, in the eleventh 
68 stat. 426. 
paragraph under the heading 'MARITIME ACTIVITIES' in title I I I of 
the Department of Justice, State, and Commerce Appropriation Act, 
1954, the tenth paragraph under the heading 'OPERATING DIFFERENTIAL 
^^ stat, asi. 
SUBSIDIES' in title I I of the Independent Offices Appropriation Act, 
1953, the corresponding paragraphs of the Independent Offices Ap- 
^^ stat. 414. 
propriation Act, 1952, and the Third Supplemental Appropriation 
^s stat. 286. 
Act, 1951, although the excess of any amounts advanced on account 
ss stat. eo. 
of just compensation over the amount of the court judgment will be 
required to be refunded. 
In the event of such court determination, 
premiums under the policy shall be adjusted on the basis of the valua-
tion as finally determined and of the rate provided for in said policy." 
SEC. 2. Section 902 (c) of the Merchant Marine Act, 1936, as 
amended (U. S. C , title 46, sec. 1242 (c)), is amended to read as 
"stat. 1255. 
follows: 
"(c) If any property is taken and used under authority of this 
section, but the ownership thereof is not required by the United States, 
the Commission, at. the time of the taking or as soon thereafter as the 
exigencies of the situation may permit, shall transmit to the person 
entitled to the possession of such property a charter setting forth the 
terms which, in the Commission's judgment, should govern the re-
lationships between the United States and such person and a state-
ment of the rate of hire which, in the Commission's judgment, will 
be just compensation for the use of such property and for the services 
required under the terms of such charter. 
If such person does not 
execute and deliver such charter and accept such rate of hire, the 
Commission shall pay to such person as a tentative advance only, 
on account of such just compensation a sum equal to 75 per centum of 
such rate of hire as the same may from time to time be due under the 
terms of the charter so tendered, and such person shall be entitled to 
sue the United States in a court having jurisdiction of such claims 
to recover such amounts as would be equal to just compensation for 
the use of the property and for the services required in connection with 
such use: Provided^ however, That in the event of an election by 
such person to reject the rate of hire fixed by the Commission and to 
sue in the courts, the excess of any amounts advanced on account of 
just compensation over the amount of the court judgment will be re-
quired to be refunded. 
In the event of loss or damage to such prop-
erty, due to operation of a risk assumed by the United States under 
the terms of a charter prescribed in this subsection, but no valuation 
of such vessel or other property or mode of compensation has been 
agreed to, the United States shall pay just compensation for such 
loss or damage, to the extent the person entitled thereto is not reim-
bursed therefor through policies of insurance against such loss or 
damage." 
SEC. 3. The first sentence of section 902 (d) of the Merchant Marine 
Act, 1936, as amended (U. S. C, title 46, sec. 1242 (d)) is amended 
" stat. i2ss. 
to read as follows: 
"(d) In all cases, the just compensation authorized by this section ^J^t*ro«"o"°" "' 
shall be determined and paid by the Commission as soon as practica- ""'""'•"""'* """ 
ble, but if the amount of just compensation determined by the Com-
mission is unsatisfactory to the person entitled thereto, such person 
compensation. 
986 
PUBLIC D
.
A
W 959-lAUG. 3, 1956 
[70 ST A T . 
A m e n d m e n t of 
prior insurance. 
64 Stat. 773. 
4 6 u s e 
1 2 8 1-
1294. 
46 u s e 1289. 
shall be paid, as a tentative advance only, 75 per centum of the 
amount so determined and shall be entitled to sue the United States 
to recover such amount as would equal just compensation therefor, 
in the manner provided for by section 24, paragraph 20, and section 
145 of the Judicial Code (U. S. C, 1946 edition, title 28, sees. 41 (20) 
and 250) : Provided^ hmoever^ That in the event of an election to 
reject the amount determined by the Commission and to sue in 
the courts, the excess of any amounts advanced on account of just 
compensation over the amount of the court judgment will be required 
to be refunded." 
SEC. 4. All war-risk insurance issued under title X I I of the 
Merchant Marine Act, 1936, which is in force on the date of the enact-
ment of this Act shall, as of the beginning of such date, be deemed 
to have been amended to conform to the requirements of section 1209 
of the Merchant Marine Act, 1936, as amended by this Act unless 
the insured, within ten days after such date, objects to such 
amendment. 
SEC. 5. The first sentence of section 1206 of the Merchant Marine 
Act, 1936, as amended (46 U. S. C. 1286), is amended by striking out 
the words "during any time the United States is at war or during 
any period of emergency declared to exist by the President of the 
United States." 
Approved August 3, 1956. 
August 3, 1956 
[S. 3416] 
Public Law 959 
CHAPTER 930 
AN ACT 
Relative to employment for certain adult Indians on or near Indian reservations. 
Indians. 
Vocational train-
ing. 
Appropriation. 
Be it enacted hy the Senate and House of Representatives 
of the 
United States of America in Congress assembled, That in order to 
help adult Indians who reside on or near Indian reservations to 
obtain reasonable and satisfactory employment, the Secretary of the 
Interior is authorized to undertake a program of vocational training 
that provides for vocational counseling or guidance, institutional 
training in any recognized vocation or trade, apprenticeship, and on 
the job training, for periods that do not exceed twenty-four months, 
transportation to the place of training, and subsistence during the 
course of training. 
The program shall be available primarily to 
Indians who are not less than eighteen and not more than thirty-five 
years of age and who reside on or near an Indian reservation, and the 
program shall be conducted under such rules and regulations as the 
Secretary may prescribe. 
For the purposes of this program the 
Secretary is authorized to enter into contracts or agreements with any 
Federal, State, or local governmental agency, or with any private 
school which has a recognized reputation in the field of vocational 
education and has successfully obtained employment for its graduates 
in their respective fields of training, or with any corporation or as-
sociation which has an existing apprenticeship or on-the-job training 
program which is recognized by industry and labor as leading to 
skilled employment. 
SEC. 2. There is authorized to be appropriated for the purposes 
of this Act the sum of $3,500,000 for each fiscal year, and not to 
exceed $500,000 of such sum shall be available for administrative 
purposes. 
Approved August 3, 1956.