Division of Federal Employees' Compensation (DFEC)
§8129. Recovery of overpayments
(a) When an overpayment has been made to an individual under this subchapter because of an error of fact or law, adjustment shall be made under regulations prescribed by the Secretary of Labor by decreasing later payments to which the individual is entitled. If the individual dies before the adjustment is completed, adjustment shall be made by decreasing later benefits payable under this subchapter with respect to the individual's death.
(b) Adjustment or recovery by the United States may not be made when incorrect payment has been made to an individual who is without fault and when adjustment or recovery would defeat the purpose of this subchapter or would be against equity and good conscience.
(c) A certifying or disbursing official is not liable for an amount certified or paid by him when--
(1) adjustment or recovery of the amount is waived under subsection (b) of this section; or
(2) adjustment under subsection (a) of this section is not completed before the death of all individuals against whose benefits deductions are authorized.