Recent legal events related to Vietnam-era servicemembers who received an "other than honorable" (OTH) discharge (commonly referred to as an "undesirable" or "bad paper" discharge) from the military have drawn the attention of Congress due to the impact that OTH discharges may have on restricting eligibility for veterans' benefits. On March 3, 2014, a group of veterans, assisted by the Yale Law School Veterans Legal Services Clinic, filed a class action lawsuit on behalf of Vietnam servicemembers who received OTH discharges due to misconduct that—the servicemembers contend—was related to undiagnosed post-traumatic stress disorder (PTSD). The plaintiffs sued the Secretaries of the Army, Navy, and Air Force alleging violations of the Administrative Procedure Act during the review of petitions to the Boards for Correction of Military/Naval Records (BCM/NR) requesting an "upgrade" in discharge status. An upgrade to an honorable or general discharge (under honorable conditions) would allow some Vietnam-era servicemembers with OTH discharges to establish basic eligibility for veterans' benefits. In response to the class action, then-Secretary of Defense Chuck Hagel issued a September 3, 2014, memorandum to the Secretaries of the military departments providing supplemental policy guidance for the BCM/NR to give "liberal consideration" to petitions for changes in discharge status. The guidance " ... is intended to ease the application process ... and assist the Boards in reaching fair and consistent results" for PTSD-related cases involving former servicemembers petitioning the BCM/NR for redress. Although the Department of Veterans Affairs (VA) is not party to the lawsuit, in a process known as a character of s ervice determination, the VA plays a separate, but related, role in assessing entitlement to veterans' benefits for individuals whose character of discharge does not automatically meet basic eligibility criteria. The circumstances surrounding a servicemember's discharge from the military have implications for his or her ability to claim entitlement to a wide range of gratuitous benefits administered by the VA, including service-connected disability compensation, health care, education assistance, non-service-connected pension, burial benefits, housing benefits, and vocational rehabilitation, among others. To meet basic eligibility criteria for veterans' benefits, the former servicemember must first establish "veteran" status. Specifically, the individual must meet certain active duty service requirements and minimum length-of-service requirements, and have a discharge or separation from the military under conditions that are "other than dishonorable." Entitlement to veterans' benefits is generally denied to former servicemembers who do not meet the statutory definition of a veteran. This report discusses the discharge or separation requirement for veteran status or, more specifically, how the VA assesses character of service to determine whether a former servicemember's separation from the military can be considered other than dishonorable. In some instances, the military characterization of discharge is relatively uncomplicated, creating a binding entitlement to VA benefits (i.e., an honorable or general discharge [under honorable conditions]), assuming the individual meets other eligibility requirements for veteran status. However, if the characterization of discharge may preclude access to veteran's benefits, the VA must develop the case, through an assessment of service records and other evidence related to a claimant's time in the military. This report includes a hypothetical example (in Appendix C ) illustrating the complexities associated with making character of service determinations by the VA. The initial step in filing a claim, for example, for VA disability compensation or pension benefits, is to submit an application either through the VA's online system or a completed VA Form 21-526 to a local VA regional office in person or by mail. Currently, a former servicemember does not need to submit a completed form to initiate a claim for veterans' benefits, because the VA accepts informal claims that include "[a]ny communication or action, indicating an intent to apply for one or more benefits under the laws administered by the Department of Veterans Affairs, from a claimant, [or] his or her duly authorized representative." Under the duty to assist provisions, the VA is required to "make reasonable efforts to assist a claimant in obtaining evidence necessary to substantiate the claimant's claim for a benefit under a law administered by the Secretary [of Veterans Affairs]." Former servicemembers can also receive free assistance in filing claims through a certified veterans service organization (VSO). After the VA receives a complete or substantially complete application for benefits, it is required to assist in the development of the claim. The Veterans Claims Assistance Act of 2000 (VCAA) requires the VA to notify the claimant of any information or medical or lay evidence that is needed to substantiate the claim. The VA is also obligated to inform the claimant about information it will attempt to obtain on the claimant's behalf and which information or evidence the claimant will be required to provide. Furthermore, the VA, when adjudicating any claim for benefits, is obligated to give the claimant the "benefit of the doubt" when there is "an approximate balance of positive and negative evidence regarding" any claim, and must consider legal theories that a claimant fails to raise if it would help substantiate a claim for benefits. However, if the claimant does not respond to the VA's notice within one year, then "no benefit may be paid or furnished by reason of the claimant's application." The application is no longer valid and the claimant must re-file for benefits with the VA. Veteran status forms the basis for eligibility for all VA benefits. The VA predicates access to benefits based on a former servicemember meeting the statutory criteria for a veteran, without which, they would generally be barred from benefits. Although veteran status can be demonstrated through a number of pathways, a former servicemember must meet three primary criteria: 1. full-time active duty (other than active duty for training) military service (i.e., Army, Navy, Air Force, Marine Corps, Coast Guard) or commissioned officers of the Public Health Service (PHS), and National Oceanic and Atmospheric Administration (NOAA) or its predecessor, the Environmental Science Services Administration; 2. 24 months of continuous service, or the full period for which the servicemember was called to duty if activated for less than 24 months (applicable to enlistments after September 7, 1980); and 3. discharge or separation from the military under conditions other than dishonorable. An applicant must have "active military, naval, or air service" to be considered a veteran for most VA benefits. However, not all types of service are considered active military service for this purpose. In general, active service means full-time service, other than active duty for training, as a member of the Army, Navy, Air Force, Marine Corps, Coast Guard, or as a commissioned officer of the Public Health Service, the National Oceanic and Atmospheric Administration, or its predecessor, the Environmental Science Services Administration. Active service includes a period of active duty for training during which the person was disabled or died from an injury or disease incurred or aggravated in the line of duty and any period of inactive duty for training during which the person was disabled or died from an injury incurred or aggravated in the line of duty or from certain health conditions incurred during the training. Additional circumstances of service, and whether they are deemed to be active military service, are set out in statute. For example, if on authorized travel to and from the performance of active duty training or inactive duty for training, a person is disabled or dies while proceeding directly to or returning from such duty, the duty will be considered to be active duty for training or inactive duty for training. The determination of whether a claimant has met the "active service" requirement may not be a simple process. It is possible that the claimant and the VA may have to scrutinize the claimant's service record(s) to determine whether the claimant's service fits into one of the many categories of active service, or whether an exception has been made for his or her service, so that it is considered to be active service for the purposes of veterans' benefits. In addition, if a claimant has more than one period of service, this may further complicate the determination. Prior to September 8, 1980, there was no minimum length of service necessary to be considered a veteran for most VA benefits. However, for an individual who enlisted after September 7, 1980, certain minimum length-of-service requirements must be met. The general requirement is either 24 months of continuous active duty or the "full period" for which the servicemember was called or ordered to active duty. Several exceptions exist to this general rule. For example, service-connected disability compensation benefits are exempt from the minimum active duty requirements. Thus, a veteran with a disease or injury incurred or aggravated during active service would generally be able to receive service-connected compensation for his or her condition or disability. Other exceptions to the minimum service requirements include claims for VA life insurance benefits, hardship discharges, and retirements or separations resulting from a service-related disability. If the former servicemember does not fall within the 24 months of active duty or the full period of active duty, or within one of the statutory exceptions, then the claimant has not completed a minimum period of active duty and is "not eligible for any benefit under Title 38, United States Code or under any law administered by the Department of Veterans Affairs based on that period of active service." The statutory definition of veteran also requires that the servicemember be discharged or released from military service under conditions other than dishonorable. The military characterization of discharge generally falls into one of five categories: (1) honorable, (2) general (under honorable conditions), (3) other than honorable (OTH), (4) bad conduct (adjudicated by a general court-martial or a special court-martial), and (5) dishonorable. See a description of the discharge categories in Appendix A . The military character of discharge is typically included in the former servicemember's DD-214 or other discharge paperwork. Assuming a former servicemember meets the active duty and length-of-service requirements for veteran status as discussed above, the character of his or her discharge will impact eligibility for VA benefits in one of three ways. The VA is to determine that the former servicemember is eligible for benefits, determine that the former servicemember is not eligible for benefits, or develop the case (i.e., assess the character of service) to make an eligibility determination. Military service characterized as honorable or general (under honorable conditions) is generally binding on the VA for the purposes of veterans' benefit eligibility, and former servicemembers will typically be awarded benefits for which they are entitled, regardless of the reason for separation. Servicemembers receiving a bad conduct discharge by a general court-martial or a dishonorable discharge are legally barred from receiving veterans' benefits unless, during the course of developing the character of service, the VA determines that they were insane at the time of the offense that led to the discharge or if eligibility for benefits can be established based on a prior period of other than dishonorable service. If the military service is characterized as OTH or a bad conduct discharge by a special court-martial, it is necessary for the VA to develop a formal character of service determination for potential eligibility for benefits. Table 1 illustrates basic eligibility criteria for common VA benefits based on a former servicemember's character of discharge. Characterization of service is distinct from the military in that the VA has no authority to change or upgrade a military discharge. The VA is limited to reviewing the relevant evidence to determine whether the former servicemember's record meets VA criteria for the awarding of veterans' benefits. The determination is bound by two outcomes: a finding that the record of service is (1) other than dishonorable (a favorable outcome) or (2) dishonorable (an unfavorable outcome). In determining potential eligibility for veteran's benefits, the VA adheres to a separate set of statutory and regulatory criteria than the military and considers mitigating factors that may have led to an adverse discharge, such as insanity. Character of service determinations are case-by-case, based on service records and other evidence related to the former servicemember's time in the military. The outcome is not always predictable and does not always directly correspond to a specific military discharge characterization. Congress has established that certain characterizations of service will preclude a former servicemember from receiving VA benefits. In addition, Congress has delegated to the Secretary of the VA the authority to promulgate regulations establishing additional circumstances that could bar receipt of VA benefits. Collectively, these are known as legal bars. Legal bars to veterans' benefits will not apply if the VA finds that the former servicemember was insane at the time of the offense that led to the OTH discharge. In addition, a former servicemember may qualify for veterans' benefits based on a prior period of other than dishonorable service. See the " Exceptions to Legal Bars to VA Benefits " section below. Benefits may be barred to servicemembers who receive an OTH discharge as a result of the following conditions: (1) conscientious objection with refusal to perform duty, (2) sentencing by a general court-martial, (3) resignation by an officer for the "good of the service," (4) deserters, (5) an alien during a period of hostilities in which the servicemember requested release, and (6) absence without official leave (AWOL). Statutory bars will deprive the claimant of any VA benefits. For a description of the statutory bars to VA benefits, see Table B-1 in Appendix B . In addition, benefits may also be barred to servicemembers who receive an OTH discharge as a result of the following conditions: (1) acceptance of an OTH discharge to escape trial by general court-martial, (2) mutiny or spying, (3) an offense involving moral turpitude, (4) willful and persistent misconduct, and (5) certain homosexual acts involving aggravating circumstances. For a description of the regulatory bars to VA benefits, see Table B-2 in Appendix B . Certain exceptions permit the awarding of veterans' benefits, even if a statutory or regulatory bar would ordinarily prohibit access. If the VA determines that the claimant was insane at the time of the offense leading up to the discharge, the claimant may be granted veterans' benefits. There does not need to be a direct connection between the insanity and any misconduct that led to the punitive discharge. In addition, the VA may grant benefit eligibility based on a prior period of other than dishonorable service for individuals with two or more periods of service. If the VA finds evidence of insanity while developing the character of service, it will further develop the case to identify records that may indicate whether the misconduct that led to the adverse discharge was the result of insanity. The VA defines an insane person as one who, while not mentally defective or constitutionally psychopathic, except when a psychosis has been engrafted upon such basic condition, exhibits, due to disease, a more or less prolonged deviation from his normal method of behavior; or who interferes with the peace of society; or who has so departed (become antisocial) from the accepted standards of the community to which by birth and education he belongs as to lack the adaptability to make further adjustments to the social customs of the community in which he resides. The issue of insanity must emerge from the facts, circumstances, and evidence surrounding the case or by the claimant or claimant's representative. If the VA is alerted to the issue of possible insanity, the agency is obligated to develop evidence that may support this claim under its duty to assist provision. A formal rating decision will be required, with full and complete development of all relevant available and obtainable records, which may include administrative records, legal records, and a medical opinion on the servicemember's sanity at the time of the offense. However, a claimant is not specifically required to demonstrate insanity through medical or legal determinations. Under 38 C.F.R. §3.13, a former servicemember may be entitled to certain VA benefits based on a prior period of honorable service for the purposes of VA benefits, even if his or her most recent discharge is characterized as dishonorable. For example, a former servicemember who is separated from a second period of service with an OTH discharge would be precluded from receiving education assistance benefits such as the Post-9/11 GI Bill. However, if the servicemember has a prior period of qualifying honorable service, the VA could predicate the awarding of Post-9/11 GI Bill benefits based on that prior enlistment period. If the characterization of a former servicemember's discharge comes into question during the claims process for veterans' benefits, the regional offices of the Veterans Benefits Administration (VBA), a sub-agency of the VA, are tasked with developing the character of service to make a basic eligibility determination. The VA will " ... request the facts and circumstances surrounding the claimant's discharge prior to making a formal decision," which entails a comprehensive review of the entire period of the claimant's enlistment(s) to assess the quality of the service and to determine whether the individual is deserving of veterans benefits. In making the determination, the VA will generally review personnel files provided by the claimant's military branch, service treatment records, records of any court-martial proceedings (if applicable), and statements, documents, or other information submitted by the claimant. As mentioned earlier, once a former servicemember has filed an application for benefits with the VA, the agency has a unique obligation to the claimant when adjudicating the claim—the VA has a duty to assist the claimant throughout the claims process. This duty to assist includes obligations to ensure that a claimant's file is complete, seek evidence and records substantiating the claim, and provide medical examinations under certain circumstances. For cases requiring a character of service determination, a team at a VA Regional Office (VARO) becomes responsible for developing evidence and preparing administrative decisions for these cases. The VARO is to provide the claimant with advance notice of the need to conduct the determination. The notice explains reasons why a determination is necessary (e.g., the claimant's records indicate an OTH discharge). The notice would also include the criteria and applicable VA regulations to be used in the determination process. In addition, the VA is to provide information outlining the claimant's legal and procedural rights including the right to (1) legal representation; (2) an in-person hearing; and (3) submit any relevant evidence, contention, or argument. The VA notice would also explain the implications of an unfavorable determination, including benefits for which the claimant may be deprived. The claimant has 60 days to respond to the VA if he or she intends to submit additional evidence or needs additional time "for presentation of his/her case." The VA is to then request a complete summary of the facts, circumstances, and legal proceedings that are relevant to the discharge from the claimant's service department. In the event that a military department provides only limited information on the facts and circumstances, the VA is to make a determination using all of the evidence available. The evidence would be applied to a series of statutes and regulations to determine whether the former servicemember's service can be characterized as other than dishonorable for the purposes of veterans' benefits. Following a review of the facts, if the VA finds in favor of the claimant that the character of service is other than dishonorable, this will bestow "veteran" status and basic eligibility for full VA benefits (except for certain education assistance benefits), assuming active duty service and length-of-service criteria are also met. However, if the outcome is an unfavorable finding of dishonorable service, the VA is to notify the claimant of the effect on his or her entitlement to VA benefits, which will generally deprive the former servicemember of any VA benefits (except for the SGLI to VGLI conversion), pending the outcome of any subsequent appeals as discussed in the " Appealing an Unfavorable VA Determination " section below. Any notification of an unfavorable determination would also include information on how the former servicemember can seek a review of his or her discharge through the military department. A former servicemember's first contact with the VA may come many years after military separation and the individual may be unaware of the specific role that discharge status plays in determining eligibility. For example, consider the hypothetical case of a former soldier, Specialist (SPC) Mallone, as described in Appendix C . The applied example draws from a 2012 Military Law Review article that assesses the interaction between character of discharge and VA character of service decisions. The article also addresses factors that may affect the outcome of a VA determination, including the development of service records, advocacy by a representative for the former servicemember, and a former servicemember's willingness to appeal a VA decision. The Veterans Health Administration (VHA) of the VA operates the nation's largest integrated direct health care delivery system. Eligible veterans receive health care and counseling services through 150 VA Medical Centers (hospitals), 830 community-based outpatient clinics (CBOCs), 136 community-living centers, and 300 Vet Centers. Generally, veterans are required to be enrolled in the VA health care system to obtain health care services. Veterans who are enrolled have access to a comprehensive medical benefits package that includes a range of outpatient and inpatient services. Once enrolled, the veteran remains enrolled in the health care system and may access health care services at any VA medical facility. VHA's health care system manages the enrollment of veterans based on priority categories (Priority Groups). Veterans are not required to be enrolled to receive readjustment counseling services through Vet Centers. Similar to other benefits and services provided by the VA, eligibility for VA health care is based primarily on veteran status. To reiterate, veteran status is established by the former servicemember meeting three primary criteria: 1. full-time active duty (other than active duty for training) military service (i.e., Army, Navy, Air Force, Marine Corps, Coast Guard) or commissioned officers of the Public Health Service, and National Oceanic and Atmospheric Administration or its predecessor, the Environmental Science Services Administration; 2. minimum active duty requirement of 24 months of service or the period called to service if activated for less than 24 months—Reservists and National Guard members called to active duty by a federal order (for other than training purposes) and completing the full call-up period would qualify; 3. discharge or release from active military service under conditions other than dishonorable—VA accepts discharges that are characterized as honorable or general (under honorable conditions), as other than dishonorable for VA benefit purposes. Once these three criteria are met a veteran may enroll in the VA health care system. A veteran who does not receive an honorable or general discharge (under honorable conditions) from the military may still receive health care services from the VHA. It should be noted that a veteran's character of discharge under OTH conditions is not the same as dishonorable and does not deprive the veteran of all benefits. If a veteran received an OTH discharge that is determined to fall under a regulatory bar , the veteran will still be eligible to receive care for a disability or illness determined to be incurred or aggravated during active service (see Figure 1 ). However, a veteran with an OTH discharge that is determined to fall under a statutory bar for VA benefits or discharged by reason of a bad conduct discharge , would not be eligible for VA health care for that same period of service. Veterans with multiple periods of service may be eligible for VA health care services based on a prior period of other than dishonorable service. In some cases VHA could provide treatment to a former servicemember, even if their character of discharge is at issue, based on prima facie eligibility. If treatment based on prima facie eligibility is initially authorized by VHA, VHA prepares VA Form 10-7131 , Exchange of Beneficiary Information and Request for Administrative and Adjudicative Action and annotates it with "Medical care being authorized for (condition) on prima facie evidence of eligibility," and forwards the completed form along with a copy of the VA examination, hospital report, or outpatient treatment report, as applicable, to the Veterans Service Center (VSC) of the VBA office with claims folder jurisdiction. Upon receipt of VA Form 10-7131 , the VSC is to determine if the claimant's character discharge is favorable, or if eligibility for VA health care services is found to exist. The case is then referred to the rating activity for preparation of the memorandum rating. Upon review of the memorandum rating from the rating activity, the "Remarks" section of Part II of VA Form 10-7131 is completed to show the following: "The individual (is) (is not) entitled to health care under Section 1710 of Title 38, U.S. Code [VA health care] for any disabilities determined to be service connected. (List the SC [service connected] disabilities) is/are service connected." There is a specific exception with regard to discharge status and eligibility for VA health care for servicemembers who have experienced military sexual trauma (MST). According to statute, MST is defined as ''psychological trauma, which, in the judgment of a mental health professional employed by the Department [VHA], resulted from a physical assault of a sexual nature, battery of a sexual nature, or sexual harassment while the veteran was serving on active duty or active duty for training.'' Furthermore, sexual harassment is defined as ''repeated, unsolicited verbal or physical contact of a sexual nature which is threatening in character.'' Until the enactment of the Veterans Access, Choice, and Accountability Act of 2014 ( P.L. 113-146 as amended by P.L. 113-175 and P.L. 113-235 ) VHA policy interpreted this statute very broadly, and for VHA purposes of MST, VHA defined an "Eligible individual" as someone without veteran status who experienced sexual trauma ... while on active duty or active duty for training. Because eligibility accrues as a result of events incurred in service and is not dependent on length of service some individuals may be eligible for MST-related care even if they do not have veteran status... This benefit extends to Reservists and members of the National Guard who were activated to full- time duty status in the Armed Forces. Veterans and eligible individuals who received an "other than honorable" discharge may be able to receive free MST-related care with the Veterans Benefits Administration (VBA) Regional Office approval. The Veterans Access, Choice, and Accountability Act of 2014 amended the existing treatment authority and further broadened VHA's interpretation to also allow former servicemembers who experienced sexual trauma while serving on inactive duty training (i.e., reservists and members of the National Guard performing weekend drills) access to free MST-related health care. Accordingly, veterans are not required to be enrolled in VA's health care system to be eligible to receive MST-related counseling and care. In addition, veterans do not need to have a VA service-connected disability rating or other documentation that the MST experience occurred to receive VA health care services. All VA health care services (inpatient, outpatient, and pharmaceutical services) for physical and mental health conditions related to experiences of MST are provided at no cost to veterans. The Veterans Access, Choice, and Accountability Act of 2014 also authorized the VA, in consultation with DOD, to provide MST-related health care benefits to servicemembers (including members of the National Guard and Reserves) currently on active duty and individuals who have not yet established veteran status. The process for appealing a dishonorable character of service determination by the VA is handled in the same manner as other appeals for veterans claims. During the appeal process for veterans' claims, various officials will handle the claim. This section briefly introduces the decision makers who will potentially review an appeal. Each VA regional office (RO) has at least one decision review officer (DRO) on staff. The DRO is a "senior technical expert who is responsible" for processing appeals made to the RO. If a claimant elects to undergo a DRO review, the DRO is to review the claim at the RO level, before the appeal reaches the Board of Veterans' Appeals (BVA). During review, a DRO will examine the claim de novo —that is, he or she will look at the case anew and afford no deference to the initial determination made by the RO. The DRO may not revise the initial decision "in a manner that is less advantageous to the claimant" unless the DRO finds an instance of "clear and unmistakable error." To have an appeal reviewed by a DRO, the claimant must ask to take DRO review. Otherwise a review, directly through the BVA, will proceed. If a claimant opts for DRO review, the claimant may still request that the BVA review the claim if the DRO's decision is not favorable to the claimant. When a claimant's application for benefits has been denied, an appeal can be made to the BVA. The BVA is part of the VA, located in Washington, DC, and makes the final determination on an appeal within the VA. The board consists of experienced attorneys in the field of veterans law. Board members are appointed by the VA Secretary, with the approval of the President. As of 2012, the board consisted of 64 members. The BVA also employs staff attorneys that assist the Board members while preparing a decision for a claim, much like a clerk for a judge. If a claimant is not satisfied with the decision from the BVA, the claimant has the option of appealing to the Court of Appeals for Veterans Claims (CAVC). The CAVC is an Article I court, established by Congress, which has exclusive jurisdiction over appeals from the BVA. Therefore, the CAVC is a separate entity from the VA that reviews BVA decisions. Currently, up to nine judges may sit on the CAVC and review appeals from the BVA. The VA's General Counsel will defend the BVA decision before the court. If the claimant is dissatisfied with the determination reached by the CAVC, the claimant may appeal the decision to the Court of Appeals for the Federal Circuit (Federal Circuit). The scope of review on veterans' appeals provided by the Federal Circuit is limited by statute. The Federal Circuit can set aside regulations that are arbitrary or capricious, unconstitutional, in excess of statutory jurisdiction, or procedurally deficient. Generally, the Federal Circuit is not permitted to review any challenge to a factual determination, or a "challenge to a law or regulation as applied to the facts of a particular case." The Federal Circuit provides the last appeal of right for claimants appealing decisions made by the BVA. Finally, if the claimant is still not satisfied by the decision reached by the Court of Appeals for the Federal Circuit, the claimant may petition the Supreme Court for certiorari. The Supreme Court may or may not decide to grant certiorari (hear the case)—the claimant is not guaranteed to have the Supreme Court hear the appeal. If the Supreme Court grants certiorari, any decision provided by the Supreme Court is final. Appendix A. Descriptions of Military Character of Discharge Appendix B. Descriptions of Statutory and Regulatory Bars to VA Benefits Appendix C. Applied Example: Understanding the Impact of Character of Discharge and VA's Decision

Summary: The Department of Veterans Affairs (VA) offers a broad range of benefits to veterans of the U.S. Armed Forces and to certain members of their families; however, a claimant must meet the basic eligibility criteria. A benefit claimant must prove that he or she meets the statutory definition of a "veteran," which includes (1) service in the active military (i.e., Army, Navy, Air Force, Marine Corps, Coast Guard) or commissioned officers of the Public Health Service (PHS), and National Oceanic and Atmospheric Administration (NOAA); (2) minimum length of service requirements; and (3) discharge or separation from military service under conditions "other than dishonorable." This report focuses on the discharge or separation requirement for veteran status or, more specifically, how the VA determines that a former servicemember's military service can be characterized as under conditions other than dishonorable. The conditions surrounding a servicemember's discharge from the military can have important implications for his or her ability to subsequently claim entitlement to a host of benefits provided through the VA. The VA may deny benefits to former servicemembers whose military separation is characterized as "other than honorable" (OTH) or if they have received a punitive discharge adjudicated by a court-martial. In addition, certain types of misconduct could create a legal bar to receiving veterans' benefits. The VA generally accepts discharges that are characterized as "honorable" or "general" (under honorable conditions) for purposes of veterans' benefits. Such discharges generally do not disqualify a veteran for a wide range of VA benefits, including disability compensation and pension, health care services, educational assistance, vocational rehabilitation and employment services, home loan guaranty, and memorial and burial services. However, for purposes of the Montgomery GI Bill and the Post-9/11 GI Bill, a veteran must have received an honorable discharge. Furthermore, with certain exceptions, VA health care will be furnished for any disability incurred in or aggravated during a period of service terminated by a discharge under OTH conditions. However, an adverse discharge may preclude a former servicemember from receiving one or more VA benefits based on a complex set of statutory and regulatory restrictions. In these instances, the VA must develop the character of service, through an assessment of facts and other evidence related to a claimant's time in the military, to determine whether his or her military service meets the general statutory and regulatory criteria for entitlement to veterans' benefits. This report primarily focuses on the VA adjudication process for claimants who—as a result of an adverse discharge—are entitled to a character of service determination resulting in either a favorable finding of "other than dishonorable" service or an unfavorable finding of "dishonorable" service for the purposes of VA benefits. This report does not address Department of Defense (DOD) policy on military discharge procedures aside from descriptions of how military discharges impact the potential receipt of veterans' benefits. Although a former servicemember may also exercise the right to seek redress through the Discharge Review Board (DRB) or the Board for Correction for Military/Naval Records (BCM/NV) of his or her military department, the VA has no involvement in DOD administrative remedies and therefore a discussion of DOD-related discharge issues is outside the scope of this report. Situations where policy or program overlap occurs between the VA and DOD are addressed where appropriate.