Any person receiving benefits on the same earnings record as the overpaid person is
contingently liable for recovery of the overpayment. Contingent liability is imposing
the responsibility for repayment of an overpayment on another person entitled on the
same record when we are unable to recover from the primarily liable person(s). It
does not matter if the person lives in the same or a different household as the overpaid
If we are unable to recover the overpayment from the overpaid person(s), the Program
Service Center (PSC) will propose adjustment of the benefit payable to another person
receiving benefits on the same earnings record. Follow instructions for applying priority
of adjustment in GN 02210.016.
EXCEPTION: If we make a misuse determination, other persons on the same earnings record are
not contingently liable for repayment of any misused funds. In these situations, only
the payee is liable for repayment of those funds.