# 26 U.S.C. § 7324: Special disposition of perishable goods

Source: OLRC release point 119-134 <https://uscode.house.gov/us/usc/119-134/t26/s7324>. Cite pinpoints as 26 U.S.C. § 7324(a)(1).

When any property which is seized under the provisions of section 7301 or section 7302 is liable to perish or become greatly reduced in price or value by keeping, or when it cannot be kept without great expense—

## § 7324(1) Application for examination

The owner thereof, or the United States marshal of the district, may apply to the Secretary to examine it; and

## § 7324(2) Appraisal

If, in the opinion of the Secretary, it shall be necessary that such property should be sold to prevent such waste or expense, the Secretary shall appraise the same; and thereupon

## § 7324(3) Return to owner under bond

The owner shall have such property returned to him upon giving bond in an amount equal to such appraised value to abide the final order, decree, or judgment of the court having cognizance of the case, and to pay the amount of said appraised value to the Secretary, the United States marshal, or otherwise, as may be ordered and directed by the court, which bond shall be filed by the Secretary with the United States attorney for the district in which the proceedings in rem authorized in section 7323 may be commenced.

## § 7324(4) Sale in absence of bond

**§ 7324(4)(A) Order to sell.** If such owner shall neglect or refuse to give such bond, the Secretary shall issue to any Treasury officer or employee or to the United States marshal an order to sell the same.

**§ 7324(4)(B) Manner of sale.** Such Treasury officer or employee or the marshal shall as soon as practicable make public sale of such property in accordance with such regulations as may be prescribed by the Secretary.

**§ 7324(4)(C) Disposition of proceeds.** The proceeds of the sale, after deducting the reasonable costs of the seizure and sale, shall be paid to the court to abide its final order, decree, or judgment.

## § 7324(5) Form of bond and sureties

For provisions relating to form and sureties on bonds, see section 7101.

## Regulations

- [Treas. Reg. § 301.7324-1](/26/reg/301.7324-1.md): Special disposition of perishable goods. (interprets § 7324)

## Connections

Cites: § 7101 Form of bonds; § 7301 Property subject to tax; § 7302 Property used in violation of internal revenue laws; § 7323 Judicial action to enforce forfeiture

Cited by: § 7103 Cross references—Other provisions for bonds; § 7323 Judicial action to enforce forfeiture

Derived from: 1939 § 3721; 1939 § 3722; 1939 § 3722(a), (b); 1939 § 3722(c); 1939 § 3722(d)

## Amendments

- 1954-08-16: [Act Aug. 16, 1954, ch. 736](/26/act/1954-ch736.md), 68A Stat. 870
- 1958-09-02: [Pub. L. 85-859](/26/act/85-859.md), 72 Stat. 1429
- 1958-09-02: [Pub. L. 85-866](/26/act/85-866.md), 72 Stat. 1662
- 1976-10-04: [Pub. L. 94-455](/26/act/94-455.md), 90 Stat. 1834