Zone; and the acceptance by the claimant of the award shall be final and conclusive on the claimant, and shall constitute a complete release by him of his claim against the United States.

This section does not apply to tort claims cognizable under section 1346 (b) of Title 28, United States Code.

Subchapter II-Claims Arising From Operations of Canal

§ 291. Injuries in locks of Canal

The Panama Canal Company shall promptly adjust and pay damages for injuries to vessels, or to the cargo, crew, or passengers of vessels, which may arise by reason of their passage through the locks of the Panama Canal under the control of officers or employees of the company. Damages may not be paid where the injury was proximately caused by the negligence or fault of the vessel, master, crew, or passengers. If the negligence or fault of the vessel, master, crew, or passengers proximately contributed to the injury, the award of damages shall be diminished in proportion to the negligence or fault attributable to the vessel, master, crew, or passengers. Damages may not be allowed and paid for injuries to any protrusion beyond the side of a vessel, whether it is permanent or temporary in character. A vessel is considered to be passing through the locks of the Canal, under the control of officers or employees of the Company, from the time the first towing line is made fast on board before entrance into the locks and until the towing lines are cast off upon, or immediately prior to, departure from the lock chamber. § 292. Injuries outside locks

The Panama Canal Company shall promptly adjust and pay damages for injuries to vessels, or to the cargo, crew, or passengers of vessels which may arise by reason of their presence in the waters of the Canal Zone, other than the locks, when the injury was proximately caused by negligence or fault on the part of an officer or employee of the Company acting within the scope of his employment and in the line of his duties in connection with the operation of the canal. If the negligence or fault of the vessel, master, crew, or passengers proximately contributed to the injury, the award of damages shall be diminished in proportion to the negligence or fault attributable to the vessel, master, crew, or passengers. In the case of a vessel which is required by or pursuant to regulations prescribed pursuant to section 1331 of this title to have a Panama Canal pilot on duty aboard, damages may not be adjusted and paid for injuries to the vessel, or its cargo, crew, or passengers, incurred while the vessel was under way and in motion, unless at the time the injuries were incurred the navigation or movement of the vessel was under the control of a Panama Canal pilot.

§ 293. Measure of damages generally

In determining the amount of the award of damages for injuries to a vessel for which the Panama Canal Company is determined to be liable, there may be included:

(1) actual or estimated cost of repairs;

(2) charter hire actually lost by the owners, or charter hire actually paid, depending upon the terms of the charter party, for the time the vessel is undergoing repairs;

(3) maintenance of the vessel and wages of the crew, if they are found to be actual additional expenses or losses incurred outside of the charter hire; and

(4) other expenses which are definitely and accurately shown to have been incurred necessarily and by reason of the accident or injuries.

Agent's fees, or commissions, or other incidental expenses of similar character, or any items which are indefinite, indeterminable, speculative, or conjectural may not be allowed. The Panama Canal Company shall be furnished such vouchers, receipts, or other evidence as may be necessary in support of any item of a claim. If a vessel is not operated under charter but by the owner directly, evidence shall be secured if available as to the sum for which vessels of the same size and class can be chartered in the market. If the charter value can not be determined, the value of the use of the vessel to its owners in the business in which it was engaged at the time of the injuries shall be used as a basis for estimating the damages for the vessel's detention; and the books of the owners showing the vessel's earnings about the time of the accident or injuries shall be considered as evidence of probable earnings during the time of detention. If the books are unavailable, such other evidence shall be furnished as may be necessary.

§ 294. Delays for which no responsibility assumed

The Panama Canal Company is not responsible, and may not consider any claim, for demurrage or delays caused by:

(1) landslides or other natural causes;

(2) necessary construction or maintenance work on Canal locks, terminals, or equipment;

(3) obstructions arising from accidents;

(4) time necessary for admeasurement;

(5) congestion of traffic; or

(6) except as specially set forth in this subchapter, any other

cause.

§ 295. Settlement of claims

The Panama Canal Company, by mutual agreement, compromise, or otherwise, may adjust and determine the amounts of the respective awards of damages pursuant to sections 291-293 of this title. Acceptance by a claimant of the amount awarded to him shall be deemed to be in full settlement of his claims.

§ 296. Actions on claims

A claimant for damages pursuant to section 291 or 292 of this title who considers himself aggrieved by the findings, determination, or award of the Panama Canal Company in reference to his claim may bring an action on the claim against the Company in the United States District Court for the District of the Canal Zone. In the action, the provisions of this subchapter, relative to the determination, adjustment, and payment of claims, and the provisions of the regulations established pursuant to section 1331 of this title, relative to navigation of Canal Zone waters and to transiting the Panama Canal, shall apply. An action for damages cognizable under this section shall not lie against the Company, otherwise, nor in any other court, than as provided in this section; nor may it lie against any officer or employee of the Company.

This section does not prohibit actions against the Company's officers or employees for damages for injuries resulting from their acts outside the scope of their employment or not in the line of their duties, or from their acts committed with intent to injure the person or property of another.

Actions under this section shall be tried by the court without a jury.

§ 297. Investigation of accident or injury giving rise to claim Notwithstanding any other law, a claim may not be considered under this subchapter, or an action for damages lie thereon, unless, prior to the departure from Canal Zone waters of the vessel involved:

Sec.

(1) the investigation by the competent authorities of the accident or injury giving rise to the claim has been completed; and (2) the basis for the claim has been laid before the Panama Canal Company.

CHAPTER 13-PUBLIC LANDS

331. Acquisition by United States of title to land in Canal Zone. 332. Withdrawal of certain tract from effect of section 331.

333. Revocable licenses for lands outside town sites.

334. Revocable licenses for lots in town sites.

§ 331. Acquisition by United States of title to land in Canal Zone

The President may declare by executive order that land and land under water within the limits of the Canal Zone is necessary for the construction, maintenance, operation, sanitation or protection of the Panama Canal, and extinguish, by agreement when advisable, claims and titles of adverse claimants and occupants. Upon failure to secure by agreement title to such a parcel of land or land under water the adverse claim or occupancy shall be disposed of and title thereto secured in the United States and compensation therefor fixed and paid in the manner provided in the convention with the Republic of Panama signed November 18, 1903, or such modification of that convention as may be made.

§ 332. Withdrawal of certain tract from effect of section 331

The tract of land situated within the Canal Zone, and more particularly described as lots numbered 641, 643, 645, and 647, in the town of Cristobal, Canal Zone, bounded on the north by Eleventh Street, on the east by Bolivar Street, on the south by lot numbered 649, and on the west by a vacant lot, having an extension from north to south of 120 feet and from east to west of 100 feet, and measuring in superficial area 12,000 square feet, is withdrawn from the operation of section 331 of this title and the Executive Order of December 5, 1912, relating thereto.

§ 333. Revocable licenses for lands outside town sites

(a) Whenever the Governor deems the action to be necessary to, or in the interest of, the Government of the United States and of the efficient maintenance, operation, sanitation, government, and protection of the Panama Canal and the Canal Zone, he or his designee may issue revocable licenses covering the use of tracts of land situated outside of town sites in the Canal Zone.

(b) The Governor shall prescribe the terms and conditions of licenses issued under this section, except that the licenses shall be revocable at the pleasure of the Governor and except that, upon revocation of a license hereunder, the licensee shall, immediately or upon such reasonable notice as the Governor prescribes, vacate the licensed area, remove therefrom all improvements which he may have placed upon the licensed area, and restore the licensed area to a condition satisfactory to the Governor, and the licensee may not be entitled to indemnification for the value of the improvements.

(c) Licenses issued by authority of the Governor prior to August 10, 1949, and still in force, covering the use of tracts of land for agricultural purposes are ratified and confirmed in accordance with the terms and conditions applicable to them, respectively. Upon the rev

ocation of any of such licenses the terms and conditions applicable to which are such as to provide for compensation to the licensee in the reasonable value of the improvements made by him on said tract, to be determined in such manner as the Governor may direct, the compensation is authorized so to be determined and to be paid out of any moneys appropriated for that purpose, except that no compensation may be paid in the case of a license revoked on account of a material breach by the licensee of the terms and conditions applicable to his license, or where the licensee has abandoned the license, or in case of the death of the licensee.

§ 334. Revocable licenses for lots in town sites

The Governor or his designee may execute licenses for lots in town sites in the Canal Zone, revocable at the pleasure of the Governor. Upon revocation of a license, the licensee shall vacate and remove improvements at once without indemnity.

CHAPTER 15-PUBLIC PROPERTY AND PROCUREMENT

Sec.

371. Acquisition or construction of structures, equipment, and improvements. 372. Transfers of properties between departments and agencies.

§ 371. Acquisition or construction of structures, equipment, and improvements

Within the limits of available funds, the Governor may:

(1) purchase or otherwise acquire equipment; and

(2) within the Canal Zone, purchase or otherwise acquire, construct, repair, replace, alter, or enlarge any building, structure, or other improvement

when in his judgment the action is necessary for the civil government, including health, sanitation, and protection of the Canal Zone.

§ 372. Transfers of properties between departments and agencies

(a) In the interest of economy and maximum efficiency in the utilization of Government property and facilities, there are authorized to be transferred between departments and agencies, with or without exchange of funds, all or so much of the facilities, buildings, structures, improvements, stock and equipment, of their activities located in the Canal Zone, as may be mutually agreed upon by the departments and agencies involved and approved by the Director of the Bureau of the Budget.

(b) With respect to transfers without exchange of funds, transfers: (1) to or from the Panama Canal Company are subject to section 62 of this title; and

(2) to or from the Canal Zone Government shall be at such appropriate amounts as are agreed upon between the Canal Zone Government and the departments or agencies concerned and approved by the Director of the Bureau of the Budget.

(c) In determining the amounts referred to in paragraph (2) of subsection (b) of this section, due consideration must be given to the cost of the transferred assets, or usable value to the transferee if clearly less than cost, and adequate provision made for depreciation of properties and equipment, obsolete or otherwise unusable inventories, and other reasonably determinable shrinkages in values. The amounts shall be added to or deducted from the investment of the United States in the Canal Zone Government as applicable.

Sec.

CHAPTER 17—TOLLS FOR USE OF CANAL

411. Prescription of measurement rules and tolls.

412. Bases of tolls.

§ 411. Prescription of measurement rules and tolls

The Panama Canal Company may prescribe, and from time to time change:

(1) the rules for the measurement of vessels for the Panama Canal; and

(2) subject to section 412 of this title, the tolls that shall be levied for the use of the Canal.

The rules of measurement and the tolls prevailing on January 2, 1963, shall continue in effect until changed as provided in this section. The Company shall give six months' notice, by publication in the Federal Register, of proposed changes in basic rules of measurement and of changes in rates of tolls, during which period a public hearing shall be conducted.

Changes in basic rules of measurement and changes in rates of tolls shall be subject to, and shall take effect upon, the approval of the President of the United States, whose action in such matters shall be final.

§ 412. Bases of tolls

(a) Tolls on merchant vessels, army and navy transports, colliers, tankers, hospital ships, supply ships, and yachts shall be based on net vessel-tons of one hundred cubic feet each of actual earning capacity determined in accordance with the rules for the measurement of vessels for the Panama Canal, and tolls on other floating craft shall be based on displacement tonnage. The tolls on vessels in ballast without passengers or cargo may be less than the tolls for vessels with passengers or cargo.

(b) Tolls shall be prescribed at rates calculated to cover, as nearly as practicable, all costs of maintaining and operating the Panama Canal, together with the facilities and appurtenances related thereto, including interest and depreciation, and an appropriate share of the net costs of operation of the agency known as the Canal Zone Government. In the determination of the appropriate share, substantial weight shall be given to the ratio of the estimated gross revenues from tolls to the estimated total gross revenues of the Panama Canal Company exclusive of the cost of commodities resold, and exclusive of revenues arising from transactions within the Company or from transactions with the Canal Zone Government.

(c) The President of the United States may require vessels operated by the United States, including warships, naval tenders, colliers, tankers, transports, hospital ships, and other vessels owned or chartered by the United States for transporting troops or supplies, and ocean-going training ships owned by the United States and operated by State nautical schools, to pay tolls. If, however, they are not required to pay tolls, the tolls thereon shall nevertheless be computed and the amounts thereof shall be treated as revenues of the Panama Canal Company for the purpose of prescribing the rates of tolls, and shall be offset against the obligations of the Company under subsections (e) and (g) of section 62 of this title.

(d) The levy of tolls is subject to the provisions of section 1 of article III of the treaty between the United States of America and Great Britain signed November 18, 1901, of articles XVIII and XIX of the convention between the United States of America and the Republic of Panama concluded on November 18, 1903, and of article I of the treaty between the United States of America and the Republic of Colombia signed April 6, 1914.