(2) Liability under paragraph (1) is in addition to any period of obligated service or other obligation or liability under such agreement.
(A) The participant fails to maintain an acceptable level of academic standing in the educational institution in which the participant is enrolled (as determined by the educational institution under regulations prescribed by the Secretary).
(B) The participant is dismissed from such educational institution for disciplinary reasons.
(C) The participant voluntarily terminates the program of study in such educational institution before the completion of such program of study.
(2) Liability under this subsection is in lieu of any service obligation arising under the agreement.
(2) In the formula in paragraph (1):
(A) "A" is the amount the United States is entitled to recover.
(B) "Φ" is the sum of—
(i) the amounts paid under this subchapter to or on behalf of the participant; and
(ii) the interest on such amounts which would be payable if at the time the amounts were paid they were loans bearing interest at the maximum legal prevailing rate, as determined by the Treasurer of the United States.
(C) "t" is the total number of months in the period of obligated service of the participant.
(D) "s" is the number of months of such period served by the participant.
Secretary of Veterans Affairs to begin awarding scholarships under this subchapter for programs of study beginning no later than one year after Oct. 17, 2020, see section 502(c) of Pub. L. 116–171, set out as a note under section 7698 of this title.