38 U.S.C. § 1151: Benefits for persons disabled by treatment or vocational rehabilitation

carelessness, negligence, lack of proper skill, error in judgment, or similar instance of fault on the part of the Department in furnishing the hospital care, medical or surgical treatment, or examination; or an event not reasonably foreseeable; or the disability or death was proximately caused (A) by the provision of training and rehabilitation services by the Secretary (including by a service-provider used by the Secretary for such purpose under section 3115 of this title ) as part of an approved rehabilitation program under chapter 31 of this title, or (B) by participation in a program (known as a “compensated work therapy program”) under section 1718 of this title . Where an individual is, on or after December 1, 1962 , awarded a judgment against the United States in a civil action brought pursuant to section 1346(b) of title 28 or, on or after December 1, 1962 , enters into a settlement or compromise under section 2672 or 2677 of title 28 by reason of a disability or death treated pursuant to this section as if it were service-connected, then (except as otherwise provided in paragraph (2)) no benefits shall be paid to such individual for any month beginning after the date such judgment, settlement, or compromise on account of such disability or death becomes final until the aggregate amount of benefits which would be paid but for this subsection equals the total amount included in such judgment, settlement, or compromise. the amount of such award shall be reduced by the offset amount; and if the offset amount is greater than the amount of such award, the excess amount received pursuant to the judgment, settlement or compromise, shall be offset against benefits otherwise payable under this chapter. Chapter 21, relating to specially adapted housing. Chapter 39, relating to automobiles and adaptive equipment. The amendments made by subsection (a) [amending this section] shall take effect on October 1, 1996 . Section 1151 of title 38 , United States Code (as amended by subsection (a)), shall govern all administrative and judicial determinations of eligibility for benefits under such section that are made with respect to claims filed on or after the effective date set forth in paragraph (1) [ Oct. 1, 1996 ], including those based on original applications and applications seeking to reopen, revise, reconsider, or otherwise readjudicate on any basis claims for benefits under such section 1151 or any provision of law that is a predecessor of such section. Nothwithstanding [sic] subsection (b)(1), section 421(d) [set out as a note under section 1801 of this title ], or any other provision of this Act [see Tables for classification], section 421 [enacting sections 1801 to 1806 of this title, amending section 5312 of this title , and enacting provisions set out as notes under section 1801 of this title ] and this section [amending this section] shall not take effect until October 1, 1997 , unless legislation other than this Act is enacted to provide for an earlier effective date.”