IC 32-34 ARTICLE 34. LOST OR UNCLAIMED PERSONAL
PROPERTY
IC 32-34-1
Chapter 1. Unclaimed Property Act
IC 32-34-1-1 Nonapplicability of foreign country property arising out of a
foreign transaction; excepted property
Sec. 1. (a) This chapter does not apply to any property held, due,
and owing in a foreign country and arising out of a foreign
transaction.
(b) This chapter does not apply to:
(1) stocks;
(2) dividends;
(3) capital credits;
(4) patronage refunds;
(5) utility deposits;
(6) membership fees;
(7) account balances; or
(8) book equities;
for which the owner cannot be found and that are the result of
distributable savings of a rural electric membership corporation
formed under IC 8-1-13, a rural telephone cooperative corporation
formed under IC 8-1-17, or an agricultural cooperative association
formed under IC 15-12-1.
(c) This chapter does not apply to unclaimed overpayments of
utility bills that become the property of a municipality under
IC 36-9-23-28.5.
(d) This chapter does not apply to deposits required by a
municipally owned utility (as defined in IC 8-1-2-1).
(e) This chapter does not apply to a business to business credit
memorandum or a credit balance resulting from a business to
business credit memorandum.
(f) This chapter does not apply to gift certificates or gift cards. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.1;
P.L.2-2008, SEC.70.
IC 32-34-1-2 Citation of law as "unclaimed property act"
Sec. 2. This chapter may be cited as the "unclaimed property act". As added by P.L.2-2002, SEC.19.
IC 32-34-1-3 "Administrator" defined
Sec. 3. As used in this chapter, "administrator" means the
administrator of the unclaimed property law of another state. As added by P.L.2-2002, SEC.19. IC 32-34-1-4 "Apparent owner" defined
Sec. 4. As used in this chapter, "apparent owner" means a person
whose name appears on the records of a holder as the person entitled
to property held, issued, or owing by the holder. As added by P.L.2-2002, SEC.19.
IC 32-34-1-5 "Business association" defined
Sec. 5. As used in this chapter, "business association" means the
following:
(1) A corporation.
(2) A limited liability company.
(3) A joint stock company.
(4) An investment company.
(5) A partnership.
(6) A business trust.
(7) A trust company.
(8) A savings association.
(9) A savings bank.
(10) An industrial bank.
(11) A land bank.
(12) A safe deposit company.
(13) A safekeeping depository.
(14) A bank.
(15) A banking organization.
(16) A financial organization.
(17) An insurance company.
(18) A mutual fund.
(19) A credit union.
(20) A utility.
(21) A for profit or nonprofit business association consisting of
two (2) or more individuals. As added by P.L.2-2002, SEC.19.
IC 32-34-1-6 "Domicile" defined
Sec. 6. As used in this chapter, "domicile" means the following:
(1) The state of incorporation of a corporation.
(2) The state of the principal place of business of a holder other
than a corporation. As added by P.L.2-2002, SEC.19.
IC 32-34-1-7 "Financial institution" defined
Sec. 7. As used in this chapter, "financial institution" means a
depository financial institution that is organized or reorganized under
Indiana law, the law of another state, or United States law. The term
includes any of the following:
(1) A commercial bank.
(2) A trust company.
(3) A savings bank.
(4) A savings association.
(5) A credit union.
(6) An industrial loan and investment company.
(7) Any other entity that has powers similar to the powers of an
entity described in subdivisions (1) through (6). As added by P.L.2-2002, SEC.19.
IC 32-34-1-8 "Holder" defined
Sec. 8. As used in this chapter, "holder" means a person obligated
to deliver or pay to the owner property that is subject to this chapter. As added by P.L.2-2002, SEC.19.
IC 32-34-1-9 "Insurance company" defined
Sec. 9. As used in this chapter, "insurance company" means an
association, a corporation, or a fraternal or mutual benefit
organization, whether or not for profit, that is engaged in the
business of providing insurance, including the following:
(1) Accident insurance.
(2) Burial insurance.
(3) Casualty insurance.
(4) Credit life insurance.
(5) Contract performance insurance.
(6) Dental insurance.
(7) Fidelity insurance.
(8) Fire insurance.
(9) Health insurance.
(10) Hospitalization insurance.
(11) Illness insurance.
(12) Life insurance (including endowments and annuities).
(13) Malpractice insurance.
(14) Marine insurance.
(15) Mortgage insurance.
(16) Surety insurance.
(17) Wage protection insurance. As added by P.L.2-2002, SEC.19.
IC 32-34-1-10 "Last known address" defined
Sec. 10. (a) As used in sections 26, 32, and 43 of this chapter,
"last known address" means a description of the location of the
apparent owner's residence or business sufficient for the purpose of
the delivery of mail or the receipt of a communication by other
means known to the holder.
(b) As used in sections 21 and 37 of this chapter, "last known
address" means a description indicating that the apparent owner was
located within Indiana, regardless of whether the description is
sufficient to direct the delivery of mail. As added by P.L.2-2002, SEC.19.
IC 32-34-1-11 "Mineral" defined
Sec. 11. As used in this chapter, "mineral" means any of the
following:
(1) Gas.
(2) Oil.
(3) Coal.
(4) Other gaseous, liquid, and solid hydrocarbons.
(5) Shale.
(6) Oil shale.
(7) Cement material.
(8) Sand and gravel.
(9) Road material.
(10) Building stone.
(11) Chemical substance.
(12) Gemstone.
(13) Metallic, fissionable, and nonfissionable ores.
(14) Colloidal and other clay.
(15) Steam and other geothermal resource.
(16) Any other substance defined as a mineral under Indiana
law. As added by P.L.2-2002, SEC.19.
IC 32-34-1-12 "Mineral proceeds" defined
Sec. 12. As used in this chapter, "mineral proceeds" means
proceeds currently payable and unclaimed and, upon the
abandonment of those proceeds, all proceeds that would have
become payable, including the following:
(1) Obligations to pay resulting from the extraction, production,
or sale of minerals, including the following:
(A) Net revenue interests.
(B) Royalties.
(C) Overriding royalties.
(D) Extraction and production payments.
(E) Joint operating agreements.
(F) Pooling arrangements.
(2) Obligations for the acquisition and retention of a mineral
lease, including the following:
(A) Bonuses.
(B) Delay rentals.
(C) Shut-in royalties.
(D) Minimum royalties. As added by P.L.2-2002, SEC.19.
IC 32-34-1-13 "Money order" defined
Sec. 13. (a) As used in this chapter, "money order" includes an
express money order and a personal money order on which the
remitter is the purchaser.
(b) The term does not include the following:
(1) A bank money order on which the remitter is the purchaser.
(2) A bank money order or any other instrument sold by a
banking or financial institution if the seller has obtained the
name and address of the payee. As added by P.L.2-2002, SEC.19.
IC 32-34-1-14 "Owner" defined
Sec. 14. (a) As used in this chapter, "owner" means:
(1) a person who has a legal or an equitable interest in property
subject to this chapter; or
(2) the person's legal representative.
(b) The term includes the following:
(1) A depositor in the case of property that is a deposit.
(2) A beneficiary in the case of property that is a trust other
than a deposit in trust.
(3) A creditor, claimant, or payee in the case of other property. As added by P.L.2-2002, SEC.19.
IC 32-34-1-15 "Person" defined
Sec. 15. As used in this chapter, "person" means an individual, a
corporation, a business trust, an estate, a trust, a partnership, an
association, a joint venture, a government, a governmental
subdivision, agency, or instrumentality, a public corporation, a joint
or common owner, or any other legal or commercial entity. As added by P.L.2-2002, SEC.19.
IC 32-34-1-16 "Political subdivision" defined
Sec. 16. (a) As used in section 47 of this chapter, "political
subdivision" includes any Indiana municipality, county, civil
township, civil incorporated city or town, public school corporation,
state educational institution, or any other territorial subdivision of the
state recognized or designated in any law, including the following:
(1) Judicial circuits.
(2) A public utility entity not privately owned.
(3) A special taxing district or entity.
(4) A public improvement district authority or entity authorized
to levy taxes or assessments.
(b) The term does not include any retirement system supported
entirely or in part by the state. As added by P.L.2-2002, SEC.19. Amended by P.L.2-2007, SEC.366.
IC 32-34-1-17 "Property" defined
Sec. 17. (a) This section does not apply to section 24 of this
chapter.
(b) As used in this chapter, "property" means an interest in
intangible personal property, except an unliquidated claim, and all
income or increment derived from the interest, including an interest
that is referred to as or evidenced by:
(1) money, a check, a draft, a deposit, an interest, or a dividend;
(2) a credit balance, a customer overpayment, a security deposit,
a refund, a credit memorandum other than a business to
business credit memorandum, an unpaid wage, an unused
airline ticket, mineral proceeds, or an unidentified remittance;
(3) stock and other ownership interest in a business association;
(4) a bond, debenture, note, or other evidence of indebtedness;
(5) money deposited to redeem stocks, bonds, coupons, and
other securities or to make distributions;
(6) an amount due and payable under the terms of an insurance
policy; and
(7) an amount distributable from a trust or custodial fund
established under a plan to provide:
(A) health;
(B) welfare;
(C) pension;
(D) vacation;
(E) severance;
(F) retirement;
(G) death;
(H) stock purchase;
(I) profit sharing;
(J) employee savings;
(K) supplemental unemployment insurance; or
(L) similar;
benefits.
(c) The term does not include transactions between business
entities and:
(1) a motor carrier (as defined in IC 8-2.1-17-10); or
(2) a carrier (as defined in 49 U.S.C. 13102(3)). As added by P.L.2-2002, SEC.19. Amended by P.L.64-2010, SEC.1.
IC 32-34-1-18 "State" defined
Sec. 18. As used in this chapter, "state" means a state of the
United States, the District of Columbia, the Commonwealth of
Puerto Rico, or any territory or insular possession subject to the
jurisdiction of the United States. As added by P.L.2-2002, SEC.19.
IC 32-34-1-19 "Utility" defined
Sec. 19. As used in this chapter, "utility" means a person that
owns or operates for public use any plant, equipment, property,
franchise, or license for the transmission of communications or for
the production, storage, transmission, sale, delivery, or furnishing of
electricity, water, steam, or gas. As added by P.L.2-2002, SEC.19.
IC 32-34-1-20 Owner indication of interest in property; presumption of
abandonment
Sec. 20. (a) For purposes of this section, an indication of interest
in the property by the owner:
(1) does not include a communication with an owner by an
agent of the holder who has not identified in writing the
property to the owner; and
(2) includes the following:
(A) With respect to an account or underlying shares of stock
or other interest in a business association or financial
organization:
(i) the cashing of a dividend check or other instrument of
payment received; or
(ii) evidence that the distribution has been received if the
distribution was made by electronic or similar means.
(B) A deposit to or withdrawal from a bank account.
(C) The payment of a premium with respect to a property
interest in an insurance policy.
(D) The mailing of any correspondence in writing from a
financial institution to the owner, including:
(i) a statement;
(ii) a report of interest paid or credited; or
(iii) any other written advice;
relating to a demand, savings, or matured time deposit
account, including a deposit account that is automatically
renewable, or any other account or other property the owner
has with the financial institution if the correspondence is not
returned to the financial institution for nondelivery.
(E) Any activity by the owner that concerns:
(i) another demand, savings, or matured time deposit
account or other account that the owner has with a
financial institution, including any activity by the owner
that results in an increase or decrease in the amount of any
other account; or
(ii) any other relationship with the financial institution,
including the payment of any amounts due on a loan;
if the mailing address for the owner contained in the
financial institution's books and records is the same for both
an inactive account and for a related account.
(b) The application of an automatic premium loan provision or
other nonforfeiture provision contained in an insurance policy does
not prevent the policy from maturing or terminating if the insured has
died or the insured or the beneficiary of the policy otherwise has
become entitled to the proceeds before the depletion of the cash
surrender value of the policy by the application of those provisions.
(c) Property that is held, issued, or owed in the ordinary course of
a holder's business is presumed abandoned if the owner or apparent
owner has not communicated in writing with the holder concerning
the property or has not otherwise given an indication of interest in
the property during the following times:
(1) For traveler's checks, fifteen (15) years after issuance.
(2) For money orders, seven (7) years after issuance.
(3) For consumer credits, three (3) years after the credit
becomes payable.
(4) For amounts owed by an insurer on a life or an endowment
insurance policy or an annuity contract:
(A) if the policy or contract has matured or terminated, three
(3) years after the obligation to pay arose; or
(B) if the policy or contract is payable upon proof of death,
three (3) years after the insured has attained, or would have
attained if living, the limiting age under the mortality table
on which the reserve is based.
(5) For property distributable by a business association in a
course of dissolution, one (1) year after the property becomes
distributable.
(6) For property or proceeds held by a court or a court clerk,
five (5) years after the property or proceeds become
distributable. The property or proceeds must be treated as
unclaimed property under IC 32-34-3.
(7) For property held by a state or other government,
governmental subdivision or agency, or public corporation or
other public authority, one (1) year after the property becomes
distributable.
(8) For compensation for personal services, one (1) year after
the compensation becomes payable.
(9) For deposits and refunds held for subscribers by utilities,
one (1) year after the deposits or refunds became payable.
(10) For stock, dividends, profits, distributions, interest,
redemption, payments on principal, or any other sum held or
owed by a business association for or to a shareholder,
certificate holder, member, bondholder, or other security
holders of the business association, or other interest in a
business association, three (3) years after the earlier of:
(A) the date of the last dividend, stock split, or other
distribution unclaimed by the apparent owner; or
(B) the date of the second mailing of a statement of account
or other notification or communication that was:
(i) returned as undeliverable; or
(ii) made after the holder discontinued mailings to the
apparent owner.
(11) For property in an individual retirement account or another
account or plan that is qualified for tax deferral under the
Internal Revenue Code, three (3) years after the earliest of:
(A) the actual date of the distribution or attempted
distribution;
(B) the distribution date as stated in the plan or trust
agreement governing the plan; or
(C) the date specified in the Internal Revenue Code by which
distribution must begin in order to avoid a tax penalty.
(12) For a demand, savings, or matured time deposit, including
a deposit that is automatically renewable, three (3) years after
maturity or three (3) years after the date of the last indication by
the owner of interest in the property, whichever is earlier.
Property that is automatically renewable is considered matured
for purposes of this section upon the expiration of its initial
period, unless the owner has consented to a renewal at or about
the time of the renewal and the consent is in writing or is
evidenced by a memorandum or other record on file with the
holder.
(13) For property payable or distributable in the course of a
demutualization, rehabilitation, or related reorganization of a
mutual insurance company, three (3) years after the earlier of:
(A) the date of last contact with the policyholder; or
(B) the date the property became payable or distributable.
(14) For all other property, the earlier of three (3) years after:
(A) the owner's right to demand the property; or
(B) the obligation to pay or distribute the property;
arose.
(d) Property is payable or distributed for purposes of this chapter
notwithstanding the owner's failure to make demand or present an
instrument or a document otherwise required to receive payment. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.2;
P.L.224-2003, SEC.113; P.L.97-2004, SEC.109; P.L.85-2005,
SEC.1; P.L.64-2010, SEC.2.
IC 32-34-1-21 Property subject to custody of state as unclaimed property
Sec. 21. Except as provided in another state statute, property
located in Indiana or another state is subject to the custody of this
state as unclaimed property if the property is presumed abandoned
and if:
(1) the last known address of the apparent owner, as shown on
the records of the holder, is in Indiana;
(2) the records of the holder do not reflect the identity of the
person entitled to the property and it is established that the last
known address of the person entitled to the property is in
Indiana;
(3) the records of the holder do not reflect the last known
address of the apparent owner and it is established that:
(A) the last known address of the person entitled to the
property is in Indiana; or
(B) the holder is a domiciliary or a government or
governmental subdivision or agency of this state and has not
previously paid or delivered the property to the state of the
last known address of the apparent owner or other person
entitled to the property;
(4) the last known address of the apparent owner, as shown on
the records of the holder, is in a state that does not provide for
the escheat or custodial taking of the property and the holder is
a domiciliary or a government or governmental subdivision or
agency of this state;
(5) the last known address of the apparent owner, as shown on
the records of the holder, is in a foreign country and the holder
is a domiciliary or a government or governmental subdivision
or agency of this state;
(6) the transaction out of which the property arose occurred in
Indiana, the holder is a domiciliary of a state that does not
provide for the escheat or custodial taking of the property, and
the last known address of the apparent owner or other person
entitled to the property is:
(A) unknown; or
(B) in a state that does not provide for the escheat or
custodial taking of the property; or
(7) the property is a traveler's check or money order:
(A) purchased in Indiana; or
(B) for which the issuer of the traveler's check or money
order has its principal place of business in Indiana and the
issuer's records:
(i) do not show the state in which the instrument was
purchased; or
(ii) show that the instrument was purchased in a state that
does not provide for the escheat or custodial taking of the
property. As added by P.L.2-2002, SEC.19.
IC 32-34-1-22 Dormancy charges
Sec. 22. (a) A holder may not deduct a charge from property that
is presumed abandoned if the charge is imposed because the owner
failed to claim the property within a specified time unless:
(1) there is a valid and enforceable written contract between the
holder and the owner that allows the holder to impose the
charge; and
(2) the holder regularly imposes the charge, and the charge is
not regularly reversed or otherwise canceled.
(b) If a holder described in this section is a financial institution,
the dormancy charges of the department of financial institutions
apply. As added by P.L.2-2002, SEC.19.
IC 32-34-1-23 Prima facie evidence of an obligation; attorney general's burden of
proof; affirmative defenses
Sec. 23. (a) A record that a check, draft, or similar instrument was
issued is prima facie evidence of an obligation.
(b) If the attorney general claims property from a holder who is
also the issuer, the attorney general's burden of proof as to the
existence and amount of the property and the abandonment of the
property is satisfied by showing the following:
(1) That the instrument was issued.
(2) That the required period of time of abandonment has passed.
(c) For purposes of this section, the defenses of:
(1) payment;
(2) satisfaction;
(3) discharge; and
(4) want of consideration;
are affirmative defenses that must be established by the holder. As added by P.L.2-2002, SEC.19.
IC 32-34-1-24 Property in safe deposit box or safekeeping depository
Sec. 24. If:
(1) tangible or intangible property that is held in a safe deposit
box or any other safekeeping depository in Indiana in the
ordinary course of the holder's business; or
(2) the proceeds resulting from the sale of the property
described in subdivision (1) as authorized by other law;
remain unclaimed by the owner for more than five (5) years after
expiration of the lease or rental period on the box or other
depository, the property or proceeds are presumed abandoned. As added by P.L.2-2002, SEC.19.
IC 32-34-1-25 Voluntary dissolution of business association, banking
organization, or financial institution
Sec. 25. Any:
(1) business association;
(2) banking organization; or
(3) financial institution;
that is organized under Indiana law or created in Indiana and that
undergoes voluntary dissolution shall file a notice of the voluntary
dissolution with the attorney general not later than ten (10) days after
the adoption by the members or shareholders of the resolution to
dissolve. As added by P.L.2-2002, SEC.19.
IC 32-34-1-26 Report of property presumed abandoned
Sec. 26. (a) A holder of property that is presumed abandoned and
that is subject to custody as unclaimed property under this chapter
shall report in writing to the attorney general concerning the
property. Items of value of less than fifty dollars ($50) may be
reported by the holder in the aggregate.
(b) For each item with a value of at least fifty dollars ($50), the
report required under subsection (a) must be verified and must
include the following:
(1) The apparent owner's:
(A) name, if known;
(B) last known address, if any; and
(C) Social Security number or taxpayer identification
number, if readily ascertainable.
(2) In the case of the contents of a safe deposit box or other
safekeeping depository of tangible property:
(A) a description of the property;
(B) the place where the property is held and may be
inspected by the attorney general; and
(C) any amount that is owed to the holder.
(3) The date:
(A) the property became payable, demandable, or returnable;
and
(B) of the last transaction with the apparent owner with
respect to the property.
(4) Other information that the attorney general requires by rules
adopted under IC 4-22-2 as necessary for the administration of
this chapter.
(c) If:
(1) a holder of property that is presumed abandoned and that is
subject to custody as unclaimed property is a successor to
another person who previously held the property for the
apparent owner; or
(2) the holder has changed its name while holding the property;
the holder shall file with the report required by subsection (a) the
former names of the holder, if any, and the known name and address
of any previous holder of the property.
(d) The attorney general shall establish filing dates for the report
required by subsection (a).
(e) The holder of property that is presumed abandoned and that is
subject to custody as unclaimed property under this chapter shall, not
more than one hundred twenty (120) days or less than sixty (60) days
before filing the report required by subsection (a), send written
notice to the apparent owner of the property stating that the holder is
in possession of property subject to this chapter if:
(1) the holder has a record of an address for the apparent owner
that the holder's records do not show as inaccurate;
(2) the claim of the apparent owner is not barred by the statute
of limitations; and
(3) the value of the property is at least fifty dollars ($50).
(f) Before the date of filing the report required by subsection (a),
the holder may request the attorney general to extend the time for
filing the report. The attorney general may grant the extension upon
a showing of good cause. The holder, upon receipt of the extension,
may make an interim payment on the amount the holder estimates
will ultimately be due. The making of an interim payment under this
subsection suspends the accrual of interest on the amount.
(g) The holder shall file with the report an affidavit stating that
the holder has complied with this section. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.3.
IC 32-34-1-27 Payment or delivery of property to attorney general; automatically
renewable deposits; liability
Sec. 27. (a) Except as provided in subsections (b) and (c), on the
date a report is filed under section 26 of this chapter, the holder shall
pay or deliver to the attorney general the property that is described
in the report as unclaimed.
(b) In the case of an automatically renewable deposit, if at the
time of delivery under subsection (a) a penalty or forfeiture in the
payment of interest would result from the delivery of the property,
the time for delivery is extended until the earliest date upon which a
penalty or forfeiture would not result.
(c) Tangible property held in a safe deposit box or other
safekeeping depository may not be delivered to the attorney general
until one hundred twenty (120) days after the date the report
describing the property under section 26 of this chapter is filed.
(d) If the property reported to the attorney general is a security or
security entitlement under IC 26-1-8.1, the attorney general may
make an endorsement, instruction, or entitlement order on behalf of
the apparent owner to invoke the duty of the issuer or its transfer
agent or the securities intermediary to transfer or dispose of the
security or the security entitlement in accordance with IC 26-1-8.1.
(e) If the holder of property reported to the attorney general is the
issuer of a certificated security, the attorney general has the right to
obtain a replacement certificate under IC 26-1-8.1-405, and an
indemnity bond is not required.
(f) An issuer, the holder, and any transfer agent or other person
acting under the instructions of and on behalf of the issuer in
accordance with this section are not liable to the apparent owner and
must be indemnified against the claims of any person in accordance
with section 29 of this chapter. As added by P.L.2-2002, SEC.19.
IC 32-34-1-28 Publication of notice requirements; exceptions
Sec. 28. (a) Except as provided in subsection (e), the attorney
general shall publish a notice not later than November 30 of the year
immediately following the year in which unclaimed property has
been paid or delivered to the attorney general.
(b) Except as provided in subsection (c), the notice required by
subsection (a) must be published at least once each week for two (2)
successive weeks in a newspaper of general circulation published in
the county in Indiana of the last known address of any person named
in the notice.
(c) If the holder does not report an address for the apparent owner
or reports an address outside Indiana, the attorney general shall
publish the notice:
(1) at least once each week for two (2) successive weeks in a
newspaper of general circulation published in:
(A) the county in which the holder has its principal place of
business within Indiana; or
(B) any other county that the attorney general may
reasonably select; or
(2) electronically on the attorney general's web site for a period
that the attorney general may reasonably select, but in no case
for a period less than two (2) weeks.
(d) The advertised notice required by this section must be in a
form that, in the judgment of the attorney general, will attract the
attention of the apparent owner of the unclaimed property and must
contain the following information:
(1) The name of each person appearing to be an owner of
property that is presumed abandoned, as set forth in the report
filed by the holder.
(2) The last known address or location of each person appearing
to be an owner of property that is presumed abandoned, if an
address or a location is set forth in the report filed by the
holder.
(3) A statement explaining that the property of the owner is
presumed to be abandoned and has been taken into the
protective custody of the attorney general.
(4) A statement that information about the abandoned property
and its return to the owner is available, upon request, from the
attorney general, to a person having a legal or beneficial interest
in the property.
(e) The attorney general is not required to publish the following
in the notice:
(1) Any item with a value of less than one hundred dollars
($100).
(2) Information concerning a traveler's check, money order, or
any similar instrument.
(3) Property reported as a result of a demutualization of an
insurance company. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.4;
P.L.81-2004, SEC.27; P.L.64-2007, SEC.2.
IC 32-34-1-28.5 Unclaimed property resulting from demutualization of insurance
company; notice
Sec. 28.5. (a) The attorney general shall publish a notice not later
than November 30 of the year immediately following the year in
which unclaimed property as a result of a demutualization of an
insurance company has been paid or delivered to the attorney
general.
(b) The notice required by subsection (a) must be published at
least once in a newspaper of general circulation published in the
county of Indiana of the last known address of any person named in
the notice.
(c) If the holder does not report an address for the apparent owner,
the notice must be published in the county in which the holder has its
principal place of business within Indiana or any other county that
the attorney general may reasonably select.
(d) The advertised notice required by this section must be in a
form that, in the judgment of the attorney general, will attract the
attention of the apparent owner of the unclaimed property. The
advertised notice is not subject to the rate prescribed in IC 5-3-1-1.
The rate may not be higher than the rate set in IC 5-3-1-1.
(e) The advertised notice must contain the following information:
(1) The name of each person appearing to be an owner of
property that is presumed abandoned, as set forth in the report
filed by the holder.
(2) The last known address or location of each person appearing
to be an owner of property that is presumed abandoned, if an
address or a location is set forth in the report filed by the
holder.
(3) A statement explaining that the property of the owner is
presumed to be abandoned and has been taken into protective
custody of the attorney general.
(4) A statement that information about the abandoned property
and its return to the owner is available, upon request, from the
attorney general, to a person having a legal or beneficial interest
in the property.
(f) The attorney general is not required to include any item with
a value of less than one hundred dollars ($100) in the notice. As added by P.L.81-2004, SEC.28.
IC 32-34-1-29 Good faith payment or delivery; custody of state; immunity of
holder; reimbursement by holder; reclamation for owner;
reimbursement or payment of safe deposit box or safekeeping
depository charges
Sec. 29. (a) For purposes of this section, payment or delivery is
made in good faith if:
(1) payment or delivery was made in a reasonable attempt to
comply with this chapter;
(2) the holder was not a fiduciary in breach of trust with respect
to the property and had a reasonable basis for believing, based
on the facts known at the time, that the property was
abandoned; and
(3) there is not a showing that the records under which the
delivery was made did not meet reasonable commercial
standards of practice in the industry.
(b) Upon the payment or delivery of property to the attorney
general, the state assumes custody and responsibility for the
safekeeping of the property. A holder who pays or delivers property
to the attorney general in good faith is relieved of all liability with
respect to the property after the payment and delivery.
(c) A holder who has paid money to the attorney general under
this chapter may later make payment to a person who, in the opinion
of the holder, appears to be entitled to the payment. The attorney
general shall promptly reimburse the holder for the payment without
imposing a fee or other charge if the holder files proof of payment
and proof that the payee was entitled to the payment. If any
reimbursement is sought for a payment made on a negotiable
instrument, including a traveler's check or money order, the holder
must be reimbursed upon filing proof that:
(1) the instrument was duly presented; and
(2) the payment was made to a person who appeared to be
entitled to the payment.
The holder must be reimbursed for the payment made even if the
payment was made to a person whose claim was barred under section
41 of this chapter.
(d) A holder who has delivered property, including a certificate of
any interest in a business association, but not including money, to the
attorney general under this chapter may reclaim the property without
paying a fee or other charge if the property is still in the possession
of the attorney general, upon filing proof that the apparent owner has
claimed the property from the holder.
(e) The attorney general may accept the holder's affidavit as
sufficient proof of the holder's right to recover the money and the
property under this section.
(f) If the holder pays or delivers property to the attorney general
in good faith and later:
(1) another person claims the property from the holder; or
(2) another state claims the money or property under that state's
laws relating to escheat or abandoned or unclaimed property;
the attorney general, upon written notice of the claim, shall defend
the holder against the claim and indemnify the holder against any
liability on the claim.
(g) Property removed from a safe deposit box or other safekeeping
depository is received by the attorney general subject to the holder's
right to be reimbursed for the cost of the opening and reasonable
expenses incurred in determining the current addresses of any owners
for whom the last previous address contained in the holder's records
appears to be inaccurate. The property is subject to any valid lien or
contract providing for the holder to be reimbursed for unpaid rent or
storage charges. The attorney general shall reimburse or pay the
holder out of the proceeds remaining after deducting the attorney
general's cost of selling the property. As added by P.L.2-2002, SEC.19.
IC 32-34-1-30 Owner entitled to dividends, interest, or other increments realized;
exception
Sec. 30. (a) If property, other than money, is paid or delivered to
the attorney general under this chapter, the owner is entitled to
receive from the attorney general any dividends, interest, or other
increments realized or accruing on the property at or before delivery
to the attorney general.
(b) The owner is not entitled to receive dividends, interest, or
other increments accruing after delivery of the property to the
attorney general under this chapter unless the property was paid or
delivered under section 39(b) of this chapter. As added by P.L.2-2002, SEC.19.
IC 32-34-1-31 Public sale of abandoned property by attorney general; sale of
securities; transfer of certain property
Sec. 31. (a) Except as provided in subsections (b), (c), and (f), the
attorney general, not later than three (3) years after the receipt of
abandoned property, shall sell the property to the highest bidder at a
commercially reasonable public sale that, in the judgment of the
attorney general, affords the most favorable market for the property.
The attorney general may decline the highest bid and reoffer the
property for sale if, in the judgment of the attorney general, the bid
is insufficient. If, in the judgment of the attorney general, the
probable cost of the sale exceeds the value of the property, the
attorney general is not required to offer the property for sale. A sale
held under this section must be preceded, at least three (3) weeks
before the sale, by one (1) publication of notice in a newspaper of
general circulation published in the county in which the property is
to be sold.
(b) If the property is of a type that is customarily sold on a
recognized market or that is subject to widely distributed standard
price quotations, and if, in the opinion of the attorney general, the
probable cost of a public sale to the highest bidder would:
(1) exceed the value of the property; or
(2) result in a net loss;
the attorney general may sell the property privately, without notice
by publication, at or above the prevailing price for the property at the
time of the sale.
(c) Securities shall be sold as soon as reasonably possible
following receipt. If a valid claim is made for any securities in the
possession of the attorney general, the attorney general may:
(1) transfer the securities to the claimant; or
(2) pay the claimant the value of the securities as of the date the
securities were delivered to the attorney general.
Notice of the sale of securities is not required. Securities listed on an
established stock exchange must be sold at prices prevailing at the
time of the sale on the stock exchange. Other securities may be sold
over the counter at prices prevailing at the time of sale or by any
other method the attorney general considers reasonable.
(d) A purchaser of property at a sale conducted by the attorney
general under this chapter takes the property free of all claims of the
owner or previous holder and of all persons claiming through or
under them. The attorney general shall execute all documents
necessary to complete the transfer of ownership.
(e) A person does not have a claim against the attorney general for
any appreciation of property after the property is delivered to the
attorney general, except in a case of intentional misconduct or
malfeasance by the attorney general.
(f) If property is forwarded to the attorney general and the report
concerning the property does not have all of the information required
under section 26(b)(1) of this chapter or the total value of the
property is ten dollars ($10) or less, the attorney general may
immediately:
(1) sell the property and transmit the proceeds; or
(2) transfer the property;
to the state general fund. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.5;
P.L.97-2004, SEC.110.
IC 32-34-1-32 Property custody fund; notice requirements; transfer of principal;
claim by apparent owner
Sec. 32. (a) The property custody fund is established. Except as
provided in section 31(f) of this chapter, any money received by the
attorney general under section 39(b) of this chapter shall be delivered
to the treasurer of state for deposit in the property custody fund.
Subject to any claim of the owner allowed by the attorney general
under this chapter, the money shall be held in the property custody
fund for safekeeping until the date the money is presumed abandoned
under sections 20 and 24 of this chapter and transferred to the
abandoned property fund established by section 33 of this chapter in
accordance with this section.
(b) The attorney general shall specify in the notice required by
section 28 of this chapter the latest date the apparent owner may
claim the property from the property custody fund. Notice must also
be mailed to each person having a last known address listed in the
report to the attorney general filed under section 26 of this chapter.
(c) Except as provided in subsection (d), not later than twenty-five
(25) days after the date specified in the notice published under
subsection (b), the treasurer of state, upon order of the attorney
general, shall transfer the principal of the property to which the
notice relates from property custody fund to the abandoned property
fund.
(d) The attorney general may allow a claim of the apparent owner
before the principal of the property in the property custody fund is
transferred to the abandoned property fund under subsection (c).
After the elapse of the twenty-five (25) days referred to in subsection
(c), the funds are considered abandoned property instead of property
received under section 39(b) of this chapter for purposes of this
chapter. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.6.
IC 32-34-1-33 Abandoned property fund; transfer of certain funds
Sec. 33. (a) The abandoned property fund is established. Except
as provided in subsection (b) and sections 31 and 32 of this chapter,
money received by the attorney general under this chapter, including
the proceeds from the sale of abandoned property under section 31
of this chapter, shall be transferred by the attorney general to the
treasurer of state for deposit in the abandoned property fund.
(b) Money received under this chapter that was originally drawn
from a fund under the control of a local unit of government shall be
transferred to the fund from which the money was originally drawn. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.7.
IC 32-34-1-34 Payment by treasurer; transfer if fund exceeds $500,000; payment
of claims over $500,000; deposit recording requirements; earnings
credited; interest transfers
Sec. 34. (a) Except as provided in section 42(d) of this chapter,
the treasurer of state shall, on order of the attorney general, pay the
necessary costs of the following:
(1) Selling abandoned property.
(2) Mailing notices.
(3) Making publications required by this chapter.
(4) Paying other operating expenses and administrative
expenses, including:
(A) salaries and wages reasonably incurred by the attorney
general in the administration and enforcement of this
chapter; and
(B) costs incurred in examining records of the holders of
property and in collecting the property from the holders.
(b) If the balance of the principal of the abandoned property fund
established by section 33 of this chapter exceeds five hundred
thousand dollars ($500,000), the treasurer of state may, and at least
once each fiscal year shall, transfer to the state general fund the
balance of the principal of the abandoned property fund that exceeds
five hundred thousand dollars ($500,000).
(c) If a claim is allowed or a refund is ordered under this chapter
that is more than five hundred thousand dollars ($500,000), the
treasurer of state shall transfer from the state general fund sufficient
money to make prompt payment of the claim. There is annually
appropriated to the treasurer of state from the state general fund the
amount of money sufficient to implement this subsection.
(d) Before making a deposit into the abandoned property fund, the
attorney general shall record the following:
(1) The name and last known address of each person appearing
from the holder's reports to be entitled to the abandoned
property.
(2) The name and last known address of each insured person or
annuitant.
(3) The number, the name of the corporation, and the amount
due concerning any policy or contract listed in the report of a
life insurance company.
(e) Except as provided in subsection (f), earnings on the property
custody fund and the abandoned property fund shall be credited to
each fund.
(f) On July 1 of each year, the interest balance in the property
custody fund established by section 32 of this chapter and the interest
balance in the abandoned property fund shall be transferred to the
state general fund. As added by P.L.2-2002, SEC.19. Amended by P.L.246-2005,
SEC.217.
IC 32-34-1-35 Custody of property custody fund and abandoned property fund;
fund investment; appropriation
Sec. 35. (a) The treasurer of state shall keep safely the money in
the property custody fund established by section 32 of this chapter
and the abandoned property fund established by section 33 of this
chapter. The money may not be transferred or assigned except as
specifically authorized and directed in this chapter. At any time,
upon certification of the attorney general and the treasurer of state
that there is cash on deposit in either fund in excess of the cash
requirements of the fund anticipated for the next succeeding
semiannual fiscal period, the state board of finance may authorize the
treasurer of state to invest and reinvest the money as authorized for
other funds of the state by IC 5-13, including the purchase of
certificates of deposit. However, an investment may not be made in
a certificate of deposit with a maturity or redemption date that is
more than six (6) months after the date of purchase, subscription, or
deposit. Any interest or other accretions derived from investments
made under this subsection become a part of the fund from which the
money was invested.
(b) A sufficient amount of money from the abandoned property
fund is appropriated to the treasurer of state to pay claims, costs, and
expenses ordered paid from the abandoned property fund under this
chapter.
(c) A sufficient amount of money from the property custody fund
is annually appropriated to the treasurer of state to pay claims
ordered paid from the property custody fund under this chapter. As added by P.L.2-2002, SEC.19.
IC 32-34 ARTICLE 34. LOST OR UNCLAIMED PERSONAL
PROPERTY
IC 32-34-1
Chapter 1. Unclaimed Property Act
IC 32-34-1-1 Nonapplicability of foreign country property arising out of a
foreign transaction; excepted property
Sec. 1. (a) This chapter does not apply to any property held, due,
and owing in a foreign country and arising out of a foreign
transaction.
(b) This chapter does not apply to:
(1) stocks;
(2) dividends;
(3) capital credits;
(4) patronage refunds;
(5) utility deposits;
(6) membership fees;
(7) account balances; or
(8) book equities;
for which the owner cannot be found and that are the result of
distributable savings of a rural electric membership corporation
formed under IC 8-1-13, a rural telephone cooperative corporation
formed under IC 8-1-17, or an agricultural cooperative association
formed under IC 15-12-1.
(c) This chapter does not apply to unclaimed overpayments of
utility bills that become the property of a municipality under
IC 36-9-23-28.5.
(d) This chapter does not apply to deposits required by a
municipally owned utility (as defined in IC 8-1-2-1).
(e) This chapter does not apply to a business to business credit
memorandum or a credit balance resulting from a business to
business credit memorandum.
(f) This chapter does not apply to gift certificates or gift cards. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.1;
P.L.2-2008, SEC.70.
IC 32-34-1-2 Citation of law as "unclaimed property act"
Sec. 2. This chapter may be cited as the "unclaimed property act". As added by P.L.2-2002, SEC.19.
IC 32-34-1-3 "Administrator" defined
Sec. 3. As used in this chapter, "administrator" means the
administrator of the unclaimed property law of another state. As added by P.L.2-2002, SEC.19. IC 32-34-1-4 "Apparent owner" defined
Sec. 4. As used in this chapter, "apparent owner" means a person
whose name appears on the records of a holder as the person entitled
to property held, issued, or owing by the holder. As added by P.L.2-2002, SEC.19.
IC 32-34-1-5 "Business association" defined
Sec. 5. As used in this chapter, "business association" means the
following:
(1) A corporation.
(2) A limited liability company.
(3) A joint stock company.
(4) An investment company.
(5) A partnership.
(6) A business trust.
(7) A trust company.
(8) A savings association.
(9) A savings bank.
(10) An industrial bank.
(11) A land bank.
(12) A safe deposit company.
(13) A safekeeping depository.
(14) A bank.
(15) A banking organization.
(16) A financial organization.
(17) An insurance company.
(18) A mutual fund.
(19) A credit union.
(20) A utility.
(21) A for profit or nonprofit business association consisting of
two (2) or more individuals. As added by P.L.2-2002, SEC.19.
IC 32-34-1-6 "Domicile" defined
Sec. 6. As used in this chapter, "domicile" means the following:
(1) The state of incorporation of a corporation.
(2) The state of the principal place of business of a holder other
than a corporation. As added by P.L.2-2002, SEC.19.
IC 32-34-1-7 "Financial institution" defined
Sec. 7. As used in this chapter, "financial institution" means a
depository financial institution that is organized or reorganized under
Indiana law, the law of another state, or United States law. The term
includes any of the following:
(1) A commercial bank.
(2) A trust company.
(3) A savings bank.
(4) A savings association.
(5) A credit union.
(6) An industrial loan and investment company.
(7) Any other entity that has powers similar to the powers of an
entity described in subdivisions (1) through (6). As added by P.L.2-2002, SEC.19.
IC 32-34-1-8 "Holder" defined
Sec. 8. As used in this chapter, "holder" means a person obligated
to deliver or pay to the owner property that is subject to this chapter. As added by P.L.2-2002, SEC.19.
IC 32-34-1-9 "Insurance company" defined
Sec. 9. As used in this chapter, "insurance company" means an
association, a corporation, or a fraternal or mutual benefit
organization, whether or not for profit, that is engaged in the
business of providing insurance, including the following:
(1) Accident insurance.
(2) Burial insurance.
(3) Casualty insurance.
(4) Credit life insurance.
(5) Contract performance insurance.
(6) Dental insurance.
(7) Fidelity insurance.
(8) Fire insurance.
(9) Health insurance.
(10) Hospitalization insurance.
(11) Illness insurance.
(12) Life insurance (including endowments and annuities).
(13) Malpractice insurance.
(14) Marine insurance.
(15) Mortgage insurance.
(16) Surety insurance.
(17) Wage protection insurance. As added by P.L.2-2002, SEC.19.
IC 32-34-1-10 "Last known address" defined
Sec. 10. (a) As used in sections 26, 32, and 43 of this chapter,
"last known address" means a description of the location of the
apparent owner's residence or business sufficient for the purpose of
the delivery of mail or the receipt of a communication by other
means known to the holder.
(b) As used in sections 21 and 37 of this chapter, "last known
address" means a description indicating that the apparent owner was
located within Indiana, regardless of whether the description is
sufficient to direct the delivery of mail. As added by P.L.2-2002, SEC.19.
IC 32-34-1-11 "Mineral" defined
Sec. 11. As used in this chapter, "mineral" means any of the
following:
(1) Gas.
(2) Oil.
(3) Coal.
(4) Other gaseous, liquid, and solid hydrocarbons.
(5) Shale.
(6) Oil shale.
(7) Cement material.
(8) Sand and gravel.
(9) Road material.
(10) Building stone.
(11) Chemical substance.
(12) Gemstone.
(13) Metallic, fissionable, and nonfissionable ores.
(14) Colloidal and other clay.
(15) Steam and other geothermal resource.
(16) Any other substance defined as a mineral under Indiana
law. As added by P.L.2-2002, SEC.19.
IC 32-34-1-12 "Mineral proceeds" defined
Sec. 12. As used in this chapter, "mineral proceeds" means
proceeds currently payable and unclaimed and, upon the
abandonment of those proceeds, all proceeds that would have
become payable, including the following:
(1) Obligations to pay resulting from the extraction, production,
or sale of minerals, including the following:
(A) Net revenue interests.
(B) Royalties.
(C) Overriding royalties.
(D) Extraction and production payments.
(E) Joint operating agreements.
(F) Pooling arrangements.
(2) Obligations for the acquisition and retention of a mineral
lease, including the following:
(A) Bonuses.
(B) Delay rentals.
(C) Shut-in royalties.
(D) Minimum royalties. As added by P.L.2-2002, SEC.19.
IC 32-34-1-13 "Money order" defined
Sec. 13. (a) As used in this chapter, "money order" includes an
express money order and a personal money order on which the
remitter is the purchaser.
(b) The term does not include the following:
(1) A bank money order on which the remitter is the purchaser.
(2) A bank money order or any other instrument sold by a
banking or financial institution if the seller has obtained the
name and address of the payee. As added by P.L.2-2002, SEC.19.
IC 32-34-1-14 "Owner" defined
Sec. 14. (a) As used in this chapter, "owner" means:
(1) a person who has a legal or an equitable interest in property
subject to this chapter; or
(2) the person's legal representative.
(b) The term includes the following:
(1) A depositor in the case of property that is a deposit.
(2) A beneficiary in the case of property that is a trust other
than a deposit in trust.
(3) A creditor, claimant, or payee in the case of other property. As added by P.L.2-2002, SEC.19.
IC 32-34-1-15 "Person" defined
Sec. 15. As used in this chapter, "person" means an individual, a
corporation, a business trust, an estate, a trust, a partnership, an
association, a joint venture, a government, a governmental
subdivision, agency, or instrumentality, a public corporation, a joint
or common owner, or any other legal or commercial entity. As added by P.L.2-2002, SEC.19.
IC 32-34-1-16 "Political subdivision" defined
Sec. 16. (a) As used in section 47 of this chapter, "political
subdivision" includes any Indiana municipality, county, civil
township, civil incorporated city or town, public school corporation,
state educational institution, or any other territorial subdivision of the
state recognized or designated in any law, including the following:
(1) Judicial circuits.
(2) A public utility entity not privately owned.
(3) A special taxing district or entity.
(4) A public improvement district authority or entity authorized
to levy taxes or assessments.
(b) The term does not include any retirement system supported
entirely or in part by the state. As added by P.L.2-2002, SEC.19. Amended by P.L.2-2007, SEC.366.
IC 32-34-1-17 "Property" defined
Sec. 17. (a) This section does not apply to section 24 of this
chapter.
(b) As used in this chapter, "property" means an interest in
intangible personal property, except an unliquidated claim, and all
income or increment derived from the interest, including an interest
that is referred to as or evidenced by:
(1) money, a check, a draft, a deposit, an interest, or a dividend;
(2) a credit balance, a customer overpayment, a security deposit,
a refund, a credit memorandum other than a business to
business credit memorandum, an unpaid wage, an unused
airline ticket, mineral proceeds, or an unidentified remittance;
(3) stock and other ownership interest in a business association;
(4) a bond, debenture, note, or other evidence of indebtedness;
(5) money deposited to redeem stocks, bonds, coupons, and
other securities or to make distributions;
(6) an amount due and payable under the terms of an insurance
policy; and
(7) an amount distributable from a trust or custodial fund
established under a plan to provide:
(A) health;
(B) welfare;
(C) pension;
(D) vacation;
(E) severance;
(F) retirement;
(G) death;
(H) stock purchase;
(I) profit sharing;
(J) employee savings;
(K) supplemental unemployment insurance; or
(L) similar;
benefits.
(c) The term does not include transactions between business
entities and:
(1) a motor carrier (as defined in IC 8-2.1-17-10); or
(2) a carrier (as defined in 49 U.S.C. 13102(3)). As added by P.L.2-2002, SEC.19. Amended by P.L.64-2010, SEC.1.
IC 32-34-1-18 "State" defined
Sec. 18. As used in this chapter, "state" means a state of the
United States, the District of Columbia, the Commonwealth of
Puerto Rico, or any territory or insular possession subject to the
jurisdiction of the United States. As added by P.L.2-2002, SEC.19.
IC 32-34-1-19 "Utility" defined
Sec. 19. As used in this chapter, "utility" means a person that
owns or operates for public use any plant, equipment, property,
franchise, or license for the transmission of communications or for
the production, storage, transmission, sale, delivery, or furnishing of
electricity, water, steam, or gas. As added by P.L.2-2002, SEC.19.
IC 32-34-1-20 Owner indication of interest in property; presumption of
abandonment
Sec. 20. (a) For purposes of this section, an indication of interest
in the property by the owner:
(1) does not include a communication with an owner by an
agent of the holder who has not identified in writing the
property to the owner; and
(2) includes the following:
(A) With respect to an account or underlying shares of stock
or other interest in a business association or financial
organization:
(i) the cashing of a dividend check or other instrument of
payment received; or
(ii) evidence that the distribution has been received if the
distribution was made by electronic or similar means.
(B) A deposit to or withdrawal from a bank account.
(C) The payment of a premium with respect to a property
interest in an insurance policy.
(D) The mailing of any correspondence in writing from a
financial institution to the owner, including:
(i) a statement;
(ii) a report of interest paid or credited; or
(iii) any other written advice;
relating to a demand, savings, or matured time deposit
account, including a deposit account that is automatically
renewable, or any other account or other property the owner
has with the financial institution if the correspondence is not
returned to the financial institution for nondelivery.
(E) Any activity by the owner that concerns:
(i) another demand, savings, or matured time deposit
account or other account that the owner has with a
financial institution, including any activity by the owner
that results in an increase or decrease in the amount of any
other account; or
(ii) any other relationship with the financial institution,
including the payment of any amounts due on a loan;
if the mailing address for the owner contained in the
financial institution's books and records is the same for both
an inactive account and for a related account.
(b) The application of an automatic premium loan provision or
other nonforfeiture provision contained in an insurance policy does
not prevent the policy from maturing or terminating if the insured has
died or the insured or the beneficiary of the policy otherwise has
become entitled to the proceeds before the depletion of the cash
surrender value of the policy by the application of those provisions.
(c) Property that is held, issued, or owed in the ordinary course of
a holder's business is presumed abandoned if the owner or apparent
owner has not communicated in writing with the holder concerning
the property or has not otherwise given an indication of interest in
the property during the following times:
(1) For traveler's checks, fifteen (15) years after issuance.
(2) For money orders, seven (7) years after issuance.
(3) For consumer credits, three (3) years after the credit
becomes payable.
(4) For amounts owed by an insurer on a life or an endowment
insurance policy or an annuity contract:
(A) if the policy or contract has matured or terminated, three
(3) years after the obligation to pay arose; or
(B) if the policy or contract is payable upon proof of death,
three (3) years after the insured has attained, or would have
attained if living, the limiting age under the mortality table
on which the reserve is based.
(5) For property distributable by a business association in a
course of dissolution, one (1) year after the property becomes
distributable.
(6) For property or proceeds held by a court or a court clerk,
five (5) years after the property or proceeds become
distributable. The property or proceeds must be treated as
unclaimed property under IC 32-34-3.
(7) For property held by a state or other government,
governmental subdivision or agency, or public corporation or
other public authority, one (1) year after the property becomes
distributable.
(8) For compensation for personal services, one (1) year after
the compensation becomes payable.
(9) For deposits and refunds held for subscribers by utilities,
one (1) year after the deposits or refunds became payable.
(10) For stock, dividends, profits, distributions, interest,
redemption, payments on principal, or any other sum held or
owed by a business association for or to a shareholder,
certificate holder, member, bondholder, or other security
holders of the business association, or other interest in a
business association, three (3) years after the earlier of:
(A) the date of the last dividend, stock split, or other
distribution unclaimed by the apparent owner; or
(B) the date of the second mailing of a statement of account
or other notification or communication that was:
(i) returned as undeliverable; or
(ii) made after the holder discontinued mailings to the
apparent owner.
(11) For property in an individual retirement account or another
account or plan that is qualified for tax deferral under the
Internal Revenue Code, three (3) years after the earliest of:
(A) the actual date of the distribution or attempted
distribution;
(B) the distribution date as stated in the plan or trust
agreement governing the plan; or
(C) the date specified in the Internal Revenue Code by which
distribution must begin in order to avoid a tax penalty.
(12) For a demand, savings, or matured time deposit, including
a deposit that is automatically renewable, three (3) years after
maturity or three (3) years after the date of the last indication by
the owner of interest in the property, whichever is earlier.
Property that is automatically renewable is considered matured
for purposes of this section upon the expiration of its initial
period, unless the owner has consented to a renewal at or about
the time of the renewal and the consent is in writing or is
evidenced by a memorandum or other record on file with the
holder.
(13) For property payable or distributable in the course of a
demutualization, rehabilitation, or related reorganization of a
mutual insurance company, three (3) years after the earlier of:
(A) the date of last contact with the policyholder; or
(B) the date the property became payable or distributable.
(14) For all other property, the earlier of three (3) years after:
(A) the owner's right to demand the property; or
(B) the obligation to pay or distribute the property;
arose.
(d) Property is payable or distributed for purposes of this chapter
notwithstanding the owner's failure to make demand or present an
instrument or a document otherwise required to receive payment. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.2;
P.L.224-2003, SEC.113; P.L.97-2004, SEC.109; P.L.85-2005,
SEC.1; P.L.64-2010, SEC.2.
IC 32-34-1-21 Property subject to custody of state as unclaimed property
Sec. 21. Except as provided in another state statute, property
located in Indiana or another state is subject to the custody of this
state as unclaimed property if the property is presumed abandoned
and if:
(1) the last known address of the apparent owner, as shown on
the records of the holder, is in Indiana;
(2) the records of the holder do not reflect the identity of the
person entitled to the property and it is established that the last
known address of the person entitled to the property is in
Indiana;
(3) the records of the holder do not reflect the last known
address of the apparent owner and it is established that:
(A) the last known address of the person entitled to the
property is in Indiana; or
(B) the holder is a domiciliary or a government or
governmental subdivision or agency of this state and has not
previously paid or delivered the property to the state of the
last known address of the apparent owner or other person
entitled to the property;
(4) the last known address of the apparent owner, as shown on
the records of the holder, is in a state that does not provide for
the escheat or custodial taking of the property and the holder is
a domiciliary or a government or governmental subdivision or
agency of this state;
(5) the last known address of the apparent owner, as shown on
the records of the holder, is in a foreign country and the holder
is a domiciliary or a government or governmental subdivision
or agency of this state;
(6) the transaction out of which the property arose occurred in
Indiana, the holder is a domiciliary of a state that does not
provide for the escheat or custodial taking of the property, and
the last known address of the apparent owner or other person
entitled to the property is:
(A) unknown; or
(B) in a state that does not provide for the escheat or
custodial taking of the property; or
(7) the property is a traveler's check or money order:
(A) purchased in Indiana; or
(B) for which the issuer of the traveler's check or money
order has its principal place of business in Indiana and the
issuer's records:
(i) do not show the state in which the instrument was
purchased; or
(ii) show that the instrument was purchased in a state that
does not provide for the escheat or custodial taking of the
property. As added by P.L.2-2002, SEC.19.
IC 32-34-1-22 Dormancy charges
Sec. 22. (a) A holder may not deduct a charge from property that
is presumed abandoned if the charge is imposed because the owner
failed to claim the property within a specified time unless:
(1) there is a valid and enforceable written contract between the
holder and the owner that allows the holder to impose the
charge; and
(2) the holder regularly imposes the charge, and the charge is
not regularly reversed or otherwise canceled.
(b) If a holder described in this section is a financial institution,
the dormancy charges of the department of financial institutions
apply. As added by P.L.2-2002, SEC.19.
IC 32-34-1-23 Prima facie evidence of an obligation; attorney general's burden of
proof; affirmative defenses
Sec. 23. (a) A record that a check, draft, or similar instrument was
issued is prima facie evidence of an obligation.
(b) If the attorney general claims property from a holder who is
also the issuer, the attorney general's burden of proof as to the
existence and amount of the property and the abandonment of the
property is satisfied by showing the following:
(1) That the instrument was issued.
(2) That the required period of time of abandonment has passed.
(c) For purposes of this section, the defenses of:
(1) payment;
(2) satisfaction;
(3) discharge; and
(4) want of consideration;
are affirmative defenses that must be established by the holder. As added by P.L.2-2002, SEC.19.
IC 32-34-1-24 Property in safe deposit box or safekeeping depository
Sec. 24. If:
(1) tangible or intangible property that is held in a safe deposit
box or any other safekeeping depository in Indiana in the
ordinary course of the holder's business; or
(2) the proceeds resulting from the sale of the property
described in subdivision (1) as authorized by other law;
remain unclaimed by the owner for more than five (5) years after
expiration of the lease or rental period on the box or other
depository, the property or proceeds are presumed abandoned. As added by P.L.2-2002, SEC.19.
IC 32-34-1-25 Voluntary dissolution of business association, banking
organization, or financial institution
Sec. 25. Any:
(1) business association;
(2) banking organization; or
(3) financial institution;
that is organized under Indiana law or created in Indiana and that
undergoes voluntary dissolution shall file a notice of the voluntary
dissolution with the attorney general not later than ten (10) days after
the adoption by the members or shareholders of the resolution to
dissolve. As added by P.L.2-2002, SEC.19.
IC 32-34-1-26 Report of property presumed abandoned
Sec. 26. (a) A holder of property that is presumed abandoned and
that is subject to custody as unclaimed property under this chapter
shall report in writing to the attorney general concerning the
property. Items of value of less than fifty dollars ($50) may be
reported by the holder in the aggregate.
(b) For each item with a value of at least fifty dollars ($50), the
report required under subsection (a) must be verified and must
include the following:
(1) The apparent owner's:
(A) name, if known;
(B) last known address, if any; and
(C) Social Security number or taxpayer identification
number, if readily ascertainable.
(2) In the case of the contents of a safe deposit box or other
safekeeping depository of tangible property:
(A) a description of the property;
(B) the place where the property is held and may be
inspected by the attorney general; and
(C) any amount that is owed to the holder.
(3) The date:
(A) the property became payable, demandable, or returnable;
and
(B) of the last transaction with the apparent owner with
respect to the property.
(4) Other information that the attorney general requires by rules
adopted under IC 4-22-2 as necessary for the administration of
this chapter.
(c) If:
(1) a holder of property that is presumed abandoned and that is
subject to custody as unclaimed property is a successor to
another person who previously held the property for the
apparent owner; or
(2) the holder has changed its name while holding the property;
the holder shall file with the report required by subsection (a) the
former names of the holder, if any, and the known name and address
of any previous holder of the property.
(d) The attorney general shall establish filing dates for the report
required by subsection (a).
(e) The holder of property that is presumed abandoned and that is
subject to custody as unclaimed property under this chapter shall, not
more than one hundred twenty (120) days or less than sixty (60) days
before filing the report required by subsection (a), send written
notice to the apparent owner of the property stating that the holder is
in possession of property subject to this chapter if:
(1) the holder has a record of an address for the apparent owner
that the holder's records do not show as inaccurate;
(2) the claim of the apparent owner is not barred by the statute
of limitations; and
(3) the value of the property is at least fifty dollars ($50).
(f) Before the date of filing the report required by subsection (a),
the holder may request the attorney general to extend the time for
filing the report. The attorney general may grant the extension upon
a showing of good cause. The holder, upon receipt of the extension,
may make an interim payment on the amount the holder estimates
will ultimately be due. The making of an interim payment under this
subsection suspends the accrual of interest on the amount.
(g) The holder shall file with the report an affidavit stating that
the holder has complied with this section. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.3.
IC 32-34-1-27 Payment or delivery of property to attorney general; automatically
renewable deposits; liability
Sec. 27. (a) Except as provided in subsections (b) and (c), on the
date a report is filed under section 26 of this chapter, the holder shall
pay or deliver to the attorney general the property that is described
in the report as unclaimed.
(b) In the case of an automatically renewable deposit, if at the
time of delivery under subsection (a) a penalty or forfeiture in the
payment of interest would result from the delivery of the property,
the time for delivery is extended until the earliest date upon which a
penalty or forfeiture would not result.
(c) Tangible property held in a safe deposit box or other
safekeeping depository may not be delivered to the attorney general
until one hundred twenty (120) days after the date the report
describing the property under section 26 of this chapter is filed.
(d) If the property reported to the attorney general is a security or
security entitlement under IC 26-1-8.1, the attorney general may
make an endorsement, instruction, or entitlement order on behalf of
the apparent owner to invoke the duty of the issuer or its transfer
agent or the securities intermediary to transfer or dispose of the
security or the security entitlement in accordance with IC 26-1-8.1.
(e) If the holder of property reported to the attorney general is the
issuer of a certificated security, the attorney general has the right to
obtain a replacement certificate under IC 26-1-8.1-405, and an
indemnity bond is not required.
(f) An issuer, the holder, and any transfer agent or other person
acting under the instructions of and on behalf of the issuer in
accordance with this section are not liable to the apparent owner and
must be indemnified against the claims of any person in accordance
with section 29 of this chapter. As added by P.L.2-2002, SEC.19.
IC 32-34-1-28 Publication of notice requirements; exceptions
Sec. 28. (a) Except as provided in subsection (e), the attorney
general shall publish a notice not later than November 30 of the year
immediately following the year in which unclaimed property has
been paid or delivered to the attorney general.
(b) Except as provided in subsection (c), the notice required by
subsection (a) must be published at least once each week for two (2)
successive weeks in a newspaper of general circulation published in
the county in Indiana of the last known address of any person named
in the notice.
(c) If the holder does not report an address for the apparent owner
or reports an address outside Indiana, the attorney general shall
publish the notice:
(1) at least once each week for two (2) successive weeks in a
newspaper of general circulation published in:
(A) the county in which the holder has its principal place of
business within Indiana; or
(B) any other county that the attorney general may
reasonably select; or
(2) electronically on the attorney general's web site for a period
that the attorney general may reasonably select, but in no case
for a period less than two (2) weeks.
(d) The advertised notice required by this section must be in a
form that, in the judgment of the attorney general, will attract the
attention of the apparent owner of the unclaimed property and must
contain the following information:
(1) The name of each person appearing to be an owner of
property that is presumed abandoned, as set forth in the report
filed by the holder.
(2) The last known address or location of each person appearing
to be an owner of property that is presumed abandoned, if an
address or a location is set forth in the report filed by the
holder.
(3) A statement explaining that the property of the owner is
presumed to be abandoned and has been taken into the
protective custody of the attorney general.
(4) A statement that information about the abandoned property
and its return to the owner is available, upon request, from the
attorney general, to a person having a legal or beneficial interest
in the property.
(e) The attorney general is not required to publish the following
in the notice:
(1) Any item with a value of less than one hundred dollars
($100).
(2) Information concerning a traveler's check, money order, or
any similar instrument.
(3) Property reported as a result of a demutualization of an
insurance company. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.4;
P.L.81-2004, SEC.27; P.L.64-2007, SEC.2.
IC 32-34-1-28.5 Unclaimed property resulting from demutualization of insurance
company; notice
Sec. 28.5. (a) The attorney general shall publish a notice not later
than November 30 of the year immediately following the year in
which unclaimed property as a result of a demutualization of an
insurance company has been paid or delivered to the attorney
general.
(b) The notice required by subsection (a) must be published at
least once in a newspaper of general circulation published in the
county of Indiana of the last known address of any person named in
the notice.
(c) If the holder does not report an address for the apparent owner,
the notice must be published in the county in which the holder has its
principal place of business within Indiana or any other county that
the attorney general may reasonably select.
(d) The advertised notice required by this section must be in a
form that, in the judgment of the attorney general, will attract the
attention of the apparent owner of the unclaimed property. The
advertised notice is not subject to the rate prescribed in IC 5-3-1-1.
The rate may not be higher than the rate set in IC 5-3-1-1.
(e) The advertised notice must contain the following information:
(1) The name of each person appearing to be an owner of
property that is presumed abandoned, as set forth in the report
filed by the holder.
(2) The last known address or location of each person appearing
to be an owner of property that is presumed abandoned, if an
address or a location is set forth in the report filed by the
holder.
(3) A statement explaining that the property of the owner is
presumed to be abandoned and has been taken into protective
custody of the attorney general.
(4) A statement that information about the abandoned property
and its return to the owner is available, upon request, from the
attorney general, to a person having a legal or beneficial interest
in the property.
(f) The attorney general is not required to include any item with
a value of less than one hundred dollars ($100) in the notice. As added by P.L.81-2004, SEC.28.
IC 32-34-1-29 Good faith payment or delivery; custody of state; immunity of
holder; reimbursement by holder; reclamation for owner;
reimbursement or payment of safe deposit box or safekeeping
depository charges
Sec. 29. (a) For purposes of this section, payment or delivery is
made in good faith if:
(1) payment or delivery was made in a reasonable attempt to
comply with this chapter;
(2) the holder was not a fiduciary in breach of trust with respect
to the property and had a reasonable basis for believing, based
on the facts known at the time, that the property was
abandoned; and
(3) there is not a showing that the records under which the
delivery was made did not meet reasonable commercial
standards of practice in the industry.
(b) Upon the payment or delivery of property to the attorney
general, the state assumes custody and responsibility for the
safekeeping of the property. A holder who pays or delivers property
to the attorney general in good faith is relieved of all liability with
respect to the property after the payment and delivery.
(c) A holder who has paid money to the attorney general under
this chapter may later make payment to a person who, in the opinion
of the holder, appears to be entitled to the payment. The attorney
general shall promptly reimburse the holder for the payment without
imposing a fee or other charge if the holder files proof of payment
and proof that the payee was entitled to the payment. If any
reimbursement is sought for a payment made on a negotiable
instrument, including a traveler's check or money order, the holder
must be reimbursed upon filing proof that:
(1) the instrument was duly presented; and
(2) the payment was made to a person who appeared to be
entitled to the payment.
The holder must be reimbursed for the payment made even if the
payment was made to a person whose claim was barred under section
41 of this chapter.
(d) A holder who has delivered property, including a certificate of
any interest in a business association, but not including money, to the
attorney general under this chapter may reclaim the property without
paying a fee or other charge if the property is still in the possession
of the attorney general, upon filing proof that the apparent owner has
claimed the property from the holder.
(e) The attorney general may accept the holder's affidavit as
sufficient proof of the holder's right to recover the money and the
property under this section.
(f) If the holder pays or delivers property to the attorney general
in good faith and later:
(1) another person claims the property from the holder; or
(2) another state claims the money or property under that state's
laws relating to escheat or abandoned or unclaimed property;
the attorney general, upon written notice of the claim, shall defend
the holder against the claim and indemnify the holder against any
liability on the claim.
(g) Property removed from a safe deposit box or other safekeeping
depository is received by the attorney general subject to the holder's
right to be reimbursed for the cost of the opening and reasonable
expenses incurred in determining the current addresses of any owners
for whom the last previous address contained in the holder's records
appears to be inaccurate. The property is subject to any valid lien or
contract providing for the holder to be reimbursed for unpaid rent or
storage charges. The attorney general shall reimburse or pay the
holder out of the proceeds remaining after deducting the attorney
general's cost of selling the property. As added by P.L.2-2002, SEC.19.
IC 32-34-1-30 Owner entitled to dividends, interest, or other increments realized;
exception
Sec. 30. (a) If property, other than money, is paid or delivered to
the attorney general under this chapter, the owner is entitled to
receive from the attorney general any dividends, interest, or other
increments realized or accruing on the property at or before delivery
to the attorney general.
(b) The owner is not entitled to receive dividends, interest, or
other increments accruing after delivery of the property to the
attorney general under this chapter unless the property was paid or
delivered under section 39(b) of this chapter. As added by P.L.2-2002, SEC.19.
IC 32-34-1-31 Public sale of abandoned property by attorney general; sale of
securities; transfer of certain property
Sec. 31. (a) Except as provided in subsections (b), (c), and (f), the
attorney general, not later than three (3) years after the receipt of
abandoned property, shall sell the property to the highest bidder at a
commercially reasonable public sale that, in the judgment of the
attorney general, affords the most favorable market for the property.
The attorney general may decline the highest bid and reoffer the
property for sale if, in the judgment of the attorney general, the bid
is insufficient. If, in the judgment of the attorney general, the
probable cost of the sale exceeds the value of the property, the
attorney general is not required to offer the property for sale. A sale
held under this section must be preceded, at least three (3) weeks
before the sale, by one (1) publication of notice in a newspaper of
general circulation published in the county in which the property is
to be sold.
(b) If the property is of a type that is customarily sold on a
recognized market or that is subject to widely distributed standard
price quotations, and if, in the opinion of the attorney general, the
probable cost of a public sale to the highest bidder would:
(1) exceed the value of the property; or
(2) result in a net loss;
the attorney general may sell the property privately, without notice
by publication, at or above the prevailing price for the property at the
time of the sale.
(c) Securities shall be sold as soon as reasonably possible
following receipt. If a valid claim is made for any securities in the
possession of the attorney general, the attorney general may:
(1) transfer the securities to the claimant; or
(2) pay the claimant the value of the securities as of the date the
securities were delivered to the attorney general.
Notice of the sale of securities is not required. Securities listed on an
established stock exchange must be sold at prices prevailing at the
time of the sale on the stock exchange. Other securities may be sold
over the counter at prices prevailing at the time of sale or by any
other method the attorney general considers reasonable.
(d) A purchaser of property at a sale conducted by the attorney
general under this chapter takes the property free of all claims of the
owner or previous holder and of all persons claiming through or
under them. The attorney general shall execute all documents
necessary to complete the transfer of ownership.
(e) A person does not have a claim against the attorney general for
any appreciation of property after the property is delivered to the
attorney general, except in a case of intentional misconduct or
malfeasance by the attorney general.
(f) If property is forwarded to the attorney general and the report
concerning the property does not have all of the information required
under section 26(b)(1) of this chapter or the total value of the
property is ten dollars ($10) or less, the attorney general may
immediately:
(1) sell the property and transmit the proceeds; or
(2) transfer the property;
to the state general fund. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.5;
P.L.97-2004, SEC.110.
IC 32-34-1-32 Property custody fund; notice requirements; transfer of principal;
claim by apparent owner
Sec. 32. (a) The property custody fund is established. Except as
provided in section 31(f) of this chapter, any money received by the
attorney general under section 39(b) of this chapter shall be delivered
to the treasurer of state for deposit in the property custody fund.
Subject to any claim of the owner allowed by the attorney general
under this chapter, the money shall be held in the property custody
fund for safekeeping until the date the money is presumed abandoned
under sections 20 and 24 of this chapter and transferred to the
abandoned property fund established by section 33 of this chapter in
accordance with this section.
(b) The attorney general shall specify in the notice required by
section 28 of this chapter the latest date the apparent owner may
claim the property from the property custody fund. Notice must also
be mailed to each person having a last known address listed in the
report to the attorney general filed under section 26 of this chapter.
(c) Except as provided in subsection (d), not later than twenty-five
(25) days after the date specified in the notice published under
subsection (b), the treasurer of state, upon order of the attorney
general, shall transfer the principal of the property to which the
notice relates from property custody fund to the abandoned property
fund.
(d) The attorney general may allow a claim of the apparent owner
before the principal of the property in the property custody fund is
transferred to the abandoned property fund under subsection (c).
After the elapse of the twenty-five (25) days referred to in subsection
(c), the funds are considered abandoned property instead of property
received under section 39(b) of this chapter for purposes of this
chapter. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.6.
IC 32-34-1-33 Abandoned property fund; transfer of certain funds
Sec. 33. (a) The abandoned property fund is established. Except
as provided in subsection (b) and sections 31 and 32 of this chapter,
money received by the attorney general under this chapter, including
the proceeds from the sale of abandoned property under section 31
of this chapter, shall be transferred by the attorney general to the
treasurer of state for deposit in the abandoned property fund.
(b) Money received under this chapter that was originally drawn
from a fund under the control of a local unit of government shall be
transferred to the fund from which the money was originally drawn. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.7.
IC 32-34-1-34 Payment by treasurer; transfer if fund exceeds $500,000; payment
of claims over $500,000; deposit recording requirements; earnings
credited; interest transfers
Sec. 34. (a) Except as provided in section 42(d) of this chapter,
the treasurer of state shall, on order of the attorney general, pay the
necessary costs of the following:
(1) Selling abandoned property.
(2) Mailing notices.
(3) Making publications required by this chapter.
(4) Paying other operating expenses and administrative
expenses, including:
(A) salaries and wages reasonably incurred by the attorney
general in the administration and enforcement of this
chapter; and
(B) costs incurred in examining records of the holders of
property and in collecting the property from the holders.
(b) If the balance of the principal of the abandoned property fund
established by section 33 of this chapter exceeds five hundred
thousand dollars ($500,000), the treasurer of state may, and at least
once each fiscal year shall, transfer to the state general fund the
balance of the principal of the abandoned property fund that exceeds
five hundred thousand dollars ($500,000).
(c) If a claim is allowed or a refund is ordered under this chapter
that is more than five hundred thousand dollars ($500,000), the
treasurer of state shall transfer from the state general fund sufficient
money to make prompt payment of the claim. There is annually
appropriated to the treasurer of state from the state general fund the
amount of money sufficient to implement this subsection.
(d) Before making a deposit into the abandoned property fund, the
attorney general shall record the following:
(1) The name and last known address of each person appearing
from the holder's reports to be entitled to the abandoned
property.
(2) The name and last known address of each insured person or
annuitant.
(3) The number, the name of the corporation, and the amount
due concerning any policy or contract listed in the report of a
life insurance company.
(e) Except as provided in subsection (f), earnings on the property
custody fund and the abandoned property fund shall be credited to
each fund.
(f) On July 1 of each year, the interest balance in the property
custody fund established by section 32 of this chapter and the interest
balance in the abandoned property fund shall be transferred to the
state general fund. As added by P.L.2-2002, SEC.19. Amended by P.L.246-2005,
SEC.217.
IC 32-34-1-35 Custody of property custody fund and abandoned property fund;
fund investment; appropriation
Sec. 35. (a) The treasurer of state shall keep safely the money in
the property custody fund established by section 32 of this chapter
and the abandoned property fund established by section 33 of this
chapter. The money may not be transferred or assigned except as
specifically authorized and directed in this chapter. At any time,
upon certification of the attorney general and the treasurer of state
that there is cash on deposit in either fund in excess of the cash
requirements of the fund anticipated for the next succeeding
semiannual fiscal period, the state board of finance may authorize the
treasurer of state to invest and reinvest the money as authorized for
other funds of the state by IC 5-13, including the purchase of
certificates of deposit. However, an investment may not be made in
a certificate of deposit with a maturity or redemption date that is
more than six (6) months after the date of purchase, subscription, or
deposit. Any interest or other accretions derived from investments
made under this subsection become a part of the fund from which the
money was invested.
(b) A sufficient amount of money from the abandoned property
fund is appropriated to the treasurer of state to pay claims, costs, and
expenses ordered paid from the abandoned property fund under this
chapter.
(c) A sufficient amount of money from the property custody fund
is annually appropriated to the treasurer of state to pay claims
ordered paid from the property custody fund under this chapter. As added by P.L.2-2002, SEC.19.
IC 32-34 ARTICLE 34. LOST OR UNCLAIMED PERSONAL
PROPERTY
IC 32-34-1
Chapter 1. Unclaimed Property Act
IC 32-34-1-1 Nonapplicability of foreign country property arising out of a
foreign transaction; excepted property
Sec. 1. (a) This chapter does not apply to any property held, due,
and owing in a foreign country and arising out of a foreign
transaction.
(b) This chapter does not apply to:
(1) stocks;
(2) dividends;
(3) capital credits;
(4) patronage refunds;
(5) utility deposits;
(6) membership fees;
(7) account balances; or
(8) book equities;
for which the owner cannot be found and that are the result of
distributable savings of a rural electric membership corporation
formed under IC 8-1-13, a rural telephone cooperative corporation
formed under IC 8-1-17, or an agricultural cooperative association
formed under IC 15-12-1.
(c) This chapter does not apply to unclaimed overpayments of
utility bills that become the property of a municipality under
IC 36-9-23-28.5.
(d) This chapter does not apply to deposits required by a
municipally owned utility (as defined in IC 8-1-2-1).
(e) This chapter does not apply to a business to business credit
memorandum or a credit balance resulting from a business to
business credit memorandum.
(f) This chapter does not apply to gift certificates or gift cards. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.1;
P.L.2-2008, SEC.70.
IC 32-34-1-2 Citation of law as "unclaimed property act"
Sec. 2. This chapter may be cited as the "unclaimed property act". As added by P.L.2-2002, SEC.19.
IC 32-34-1-3 "Administrator" defined
Sec. 3. As used in this chapter, "administrator" means the
administrator of the unclaimed property law of another state. As added by P.L.2-2002, SEC.19. IC 32-34-1-4 "Apparent owner" defined
Sec. 4. As used in this chapter, "apparent owner" means a person
whose name appears on the records of a holder as the person entitled
to property held, issued, or owing by the holder. As added by P.L.2-2002, SEC.19.
IC 32-34-1-5 "Business association" defined
Sec. 5. As used in this chapter, "business association" means the
following:
(1) A corporation.
(2) A limited liability company.
(3) A joint stock company.
(4) An investment company.
(5) A partnership.
(6) A business trust.
(7) A trust company.
(8) A savings association.
(9) A savings bank.
(10) An industrial bank.
(11) A land bank.
(12) A safe deposit company.
(13) A safekeeping depository.
(14) A bank.
(15) A banking organization.
(16) A financial organization.
(17) An insurance company.
(18) A mutual fund.
(19) A credit union.
(20) A utility.
(21) A for profit or nonprofit business association consisting of
two (2) or more individuals. As added by P.L.2-2002, SEC.19.
IC 32-34-1-6 "Domicile" defined
Sec. 6. As used in this chapter, "domicile" means the following:
(1) The state of incorporation of a corporation.
(2) The state of the principal place of business of a holder other
than a corporation. As added by P.L.2-2002, SEC.19.
IC 32-34-1-7 "Financial institution" defined
Sec. 7. As used in this chapter, "financial institution" means a
depository financial institution that is organized or reorganized under
Indiana law, the law of another state, or United States law. The term
includes any of the following:
(1) A commercial bank.
(2) A trust company.
(3) A savings bank.
(4) A savings association.
(5) A credit union.
(6) An industrial loan and investment company.
(7) Any other entity that has powers similar to the powers of an
entity described in subdivisions (1) through (6). As added by P.L.2-2002, SEC.19.
IC 32-34-1-8 "Holder" defined
Sec. 8. As used in this chapter, "holder" means a person obligated
to deliver or pay to the owner property that is subject to this chapter. As added by P.L.2-2002, SEC.19.
IC 32-34-1-9 "Insurance company" defined
Sec. 9. As used in this chapter, "insurance company" means an
association, a corporation, or a fraternal or mutual benefit
organization, whether or not for profit, that is engaged in the
business of providing insurance, including the following:
(1) Accident insurance.
(2) Burial insurance.
(3) Casualty insurance.
(4) Credit life insurance.
(5) Contract performance insurance.
(6) Dental insurance.
(7) Fidelity insurance.
(8) Fire insurance.
(9) Health insurance.
(10) Hospitalization insurance.
(11) Illness insurance.
(12) Life insurance (including endowments and annuities).
(13) Malpractice insurance.
(14) Marine insurance.
(15) Mortgage insurance.
(16) Surety insurance.
(17) Wage protection insurance. As added by P.L.2-2002, SEC.19.
IC 32-34-1-10 "Last known address" defined
Sec. 10. (a) As used in sections 26, 32, and 43 of this chapter,
"last known address" means a description of the location of the
apparent owner's residence or business sufficient for the purpose of
the delivery of mail or the receipt of a communication by other
means known to the holder.
(b) As used in sections 21 and 37 of this chapter, "last known
address" means a description indicating that the apparent owner was
located within Indiana, regardless of whether the description is
sufficient to direct the delivery of mail. As added by P.L.2-2002, SEC.19.
IC 32-34-1-11 "Mineral" defined
Sec. 11. As used in this chapter, "mineral" means any of the
following:
(1) Gas.
(2) Oil.
(3) Coal.
(4) Other gaseous, liquid, and solid hydrocarbons.
(5) Shale.
(6) Oil shale.
(7) Cement material.
(8) Sand and gravel.
(9) Road material.
(10) Building stone.
(11) Chemical substance.
(12) Gemstone.
(13) Metallic, fissionable, and nonfissionable ores.
(14) Colloidal and other clay.
(15) Steam and other geothermal resource.
(16) Any other substance defined as a mineral under Indiana
law. As added by P.L.2-2002, SEC.19.
IC 32-34-1-12 "Mineral proceeds" defined
Sec. 12. As used in this chapter, "mineral proceeds" means
proceeds currently payable and unclaimed and, upon the
abandonment of those proceeds, all proceeds that would have
become payable, including the following:
(1) Obligations to pay resulting from the extraction, production,
or sale of minerals, including the following:
(A) Net revenue interests.
(B) Royalties.
(C) Overriding royalties.
(D) Extraction and production payments.
(E) Joint operating agreements.
(F) Pooling arrangements.
(2) Obligations for the acquisition and retention of a mineral
lease, including the following:
(A) Bonuses.
(B) Delay rentals.
(C) Shut-in royalties.
(D) Minimum royalties. As added by P.L.2-2002, SEC.19.
IC 32-34-1-13 "Money order" defined
Sec. 13. (a) As used in this chapter, "money order" includes an
express money order and a personal money order on which the
remitter is the purchaser.
(b) The term does not include the following:
(1) A bank money order on which the remitter is the purchaser.
(2) A bank money order or any other instrument sold by a
banking or financial institution if the seller has obtained the
name and address of the payee. As added by P.L.2-2002, SEC.19.
IC 32-34-1-14 "Owner" defined
Sec. 14. (a) As used in this chapter, "owner" means:
(1) a person who has a legal or an equitable interest in property
subject to this chapter; or
(2) the person's legal representative.
(b) The term includes the following:
(1) A depositor in the case of property that is a deposit.
(2) A beneficiary in the case of property that is a trust other
than a deposit in trust.
(3) A creditor, claimant, or payee in the case of other property. As added by P.L.2-2002, SEC.19.
IC 32-34-1-15 "Person" defined
Sec. 15. As used in this chapter, "person" means an individual, a
corporation, a business trust, an estate, a trust, a partnership, an
association, a joint venture, a government, a governmental
subdivision, agency, or instrumentality, a public corporation, a joint
or common owner, or any other legal or commercial entity. As added by P.L.2-2002, SEC.19.
IC 32-34-1-16 "Political subdivision" defined
Sec. 16. (a) As used in section 47 of this chapter, "political
subdivision" includes any Indiana municipality, county, civil
township, civil incorporated city or town, public school corporation,
state educational institution, or any other territorial subdivision of the
state recognized or designated in any law, including the following:
(1) Judicial circuits.
(2) A public utility entity not privately owned.
(3) A special taxing district or entity.
(4) A public improvement district authority or entity authorized
to levy taxes or assessments.
(b) The term does not include any retirement system supported
entirely or in part by the state. As added by P.L.2-2002, SEC.19. Amended by P.L.2-2007, SEC.366.
IC 32-34-1-17 "Property" defined
Sec. 17. (a) This section does not apply to section 24 of this
chapter.
(b) As used in this chapter, "property" means an interest in
intangible personal property, except an unliquidated claim, and all
income or increment derived from the interest, including an interest
that is referred to as or evidenced by:
(1) money, a check, a draft, a deposit, an interest, or a dividend;
(2) a credit balance, a customer overpayment, a security deposit,
a refund, a credit memorandum other than a business to
business credit memorandum, an unpaid wage, an unused
airline ticket, mineral proceeds, or an unidentified remittance;
(3) stock and other ownership interest in a business association;
(4) a bond, debenture, note, or other evidence of indebtedness;
(5) money deposited to redeem stocks, bonds, coupons, and
other securities or to make distributions;
(6) an amount due and payable under the terms of an insurance
policy; and
(7) an amount distributable from a trust or custodial fund
established under a plan to provide:
(A) health;
(B) welfare;
(C) pension;
(D) vacation;
(E) severance;
(F) retirement;
(G) death;
(H) stock purchase;
(I) profit sharing;
(J) employee savings;
(K) supplemental unemployment insurance; or
(L) similar;
benefits.
(c) The term does not include transactions between business
entities and:
(1) a motor carrier (as defined in IC 8-2.1-17-10); or
(2) a carrier (as defined in 49 U.S.C. 13102(3)). As added by P.L.2-2002, SEC.19. Amended by P.L.64-2010, SEC.1.
IC 32-34-1-18 "State" defined
Sec. 18. As used in this chapter, "state" means a state of the
United States, the District of Columbia, the Commonwealth of
Puerto Rico, or any territory or insular possession subject to the
jurisdiction of the United States. As added by P.L.2-2002, SEC.19.
IC 32-34-1-19 "Utility" defined
Sec. 19. As used in this chapter, "utility" means a person that
owns or operates for public use any plant, equipment, property,
franchise, or license for the transmission of communications or for
the production, storage, transmission, sale, delivery, or furnishing of
electricity, water, steam, or gas. As added by P.L.2-2002, SEC.19.
IC 32-34-1-20 Owner indication of interest in property; presumption of
abandonment
Sec. 20. (a) For purposes of this section, an indication of interest
in the property by the owner:
(1) does not include a communication with an owner by an
agent of the holder who has not identified in writing the
property to the owner; and
(2) includes the following:
(A) With respect to an account or underlying shares of stock
or other interest in a business association or financial
organization:
(i) the cashing of a dividend check or other instrument of
payment received; or
(ii) evidence that the distribution has been received if the
distribution was made by electronic or similar means.
(B) A deposit to or withdrawal from a bank account.
(C) The payment of a premium with respect to a property
interest in an insurance policy.
(D) The mailing of any correspondence in writing from a
financial institution to the owner, including:
(i) a statement;
(ii) a report of interest paid or credited; or
(iii) any other written advice;
relating to a demand, savings, or matured time deposit
account, including a deposit account that is automatically
renewable, or any other account or other property the owner
has with the financial institution if the correspondence is not
returned to the financial institution for nondelivery.
(E) Any activity by the owner that concerns:
(i) another demand, savings, or matured time deposit
account or other account that the owner has with a
financial institution, including any activity by the owner
that results in an increase or decrease in the amount of any
other account; or
(ii) any other relationship with the financial institution,
including the payment of any amounts due on a loan;
if the mailing address for the owner contained in the
financial institution's books and records is the same for both
an inactive account and for a related account.
(b) The application of an automatic premium loan provision or
other nonforfeiture provision contained in an insurance policy does
not prevent the policy from maturing or terminating if the insured has
died or the insured or the beneficiary of the policy otherwise has
become entitled to the proceeds before the depletion of the cash
surrender value of the policy by the application of those provisions.
(c) Property that is held, issued, or owed in the ordinary course of
a holder's business is presumed abandoned if the owner or apparent
owner has not communicated in writing with the holder concerning
the property or has not otherwise given an indication of interest in
the property during the following times:
(1) For traveler's checks, fifteen (15) years after issuance.
(2) For money orders, seven (7) years after issuance.
(3) For consumer credits, three (3) years after the credit
becomes payable.
(4) For amounts owed by an insurer on a life or an endowment
insurance policy or an annuity contract:
(A) if the policy or contract has matured or terminated, three
(3) years after the obligation to pay arose; or
(B) if the policy or contract is payable upon proof of death,
three (3) years after the insured has attained, or would have
attained if living, the limiting age under the mortality table
on which the reserve is based.
(5) For property distributable by a business association in a
course of dissolution, one (1) year after the property becomes
distributable.
(6) For property or proceeds held by a court or a court clerk,
five (5) years after the property or proceeds become
distributable. The property or proceeds must be treated as
unclaimed property under IC 32-34-3.
(7) For property held by a state or other government,
governmental subdivision or agency, or public corporation or
other public authority, one (1) year after the property becomes
distributable.
(8) For compensation for personal services, one (1) year after
the compensation becomes payable.
(9) For deposits and refunds held for subscribers by utilities,
one (1) year after the deposits or refunds became payable.
(10) For stock, dividends, profits, distributions, interest,
redemption, payments on principal, or any other sum held or
owed by a business association for or to a shareholder,
certificate holder, member, bondholder, or other security
holders of the business association, or other interest in a
business association, three (3) years after the earlier of:
(A) the date of the last dividend, stock split, or other
distribution unclaimed by the apparent owner; or
(B) the date of the second mailing of a statement of account
or other notification or communication that was:
(i) returned as undeliverable; or
(ii) made after the holder discontinued mailings to the
apparent owner.
(11) For property in an individual retirement account or another
account or plan that is qualified for tax deferral under the
Internal Revenue Code, three (3) years after the earliest of:
(A) the actual date of the distribution or attempted
distribution;
(B) the distribution date as stated in the plan or trust
agreement governing the plan; or
(C) the date specified in the Internal Revenue Code by which
distribution must begin in order to avoid a tax penalty.
(12) For a demand, savings, or matured time deposit, including
a deposit that is automatically renewable, three (3) years after
maturity or three (3) years after the date of the last indication by
the owner of interest in the property, whichever is earlier.
Property that is automatically renewable is considered matured
for purposes of this section upon the expiration of its initial
period, unless the owner has consented to a renewal at or about
the time of the renewal and the consent is in writing or is
evidenced by a memorandum or other record on file with the
holder.
(13) For property payable or distributable in the course of a
demutualization, rehabilitation, or related reorganization of a
mutual insurance company, three (3) years after the earlier of:
(A) the date of last contact with the policyholder; or
(B) the date the property became payable or distributable.
(14) For all other property, the earlier of three (3) years after:
(A) the owner's right to demand the property; or
(B) the obligation to pay or distribute the property;
arose.
(d) Property is payable or distributed for purposes of this chapter
notwithstanding the owner's failure to make demand or present an
instrument or a document otherwise required to receive payment. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.2;
P.L.224-2003, SEC.113; P.L.97-2004, SEC.109; P.L.85-2005,
SEC.1; P.L.64-2010, SEC.2.
IC 32-34-1-21 Property subject to custody of state as unclaimed property
Sec. 21. Except as provided in another state statute, property
located in Indiana or another state is subject to the custody of this
state as unclaimed property if the property is presumed abandoned
and if:
(1) the last known address of the apparent owner, as shown on
the records of the holder, is in Indiana;
(2) the records of the holder do not reflect the identity of the
person entitled to the property and it is established that the last
known address of the person entitled to the property is in
Indiana;
(3) the records of the holder do not reflect the last known
address of the apparent owner and it is established that:
(A) the last known address of the person entitled to the
property is in Indiana; or
(B) the holder is a domiciliary or a government or
governmental subdivision or agency of this state and has not
previously paid or delivered the property to the state of the
last known address of the apparent owner or other person
entitled to the property;
(4) the last known address of the apparent owner, as shown on
the records of the holder, is in a state that does not provide for
the escheat or custodial taking of the property and the holder is
a domiciliary or a government or governmental subdivision or
agency of this state;
(5) the last known address of the apparent owner, as shown on
the records of the holder, is in a foreign country and the holder
is a domiciliary or a government or governmental subdivision
or agency of this state;
(6) the transaction out of which the property arose occurred in
Indiana, the holder is a domiciliary of a state that does not
provide for the escheat or custodial taking of the property, and
the last known address of the apparent owner or other person
entitled to the property is:
(A) unknown; or
(B) in a state that does not provide for the escheat or
custodial taking of the property; or
(7) the property is a traveler's check or money order:
(A) purchased in Indiana; or
(B) for which the issuer of the traveler's check or money
order has its principal place of business in Indiana and the
issuer's records:
(i) do not show the state in which the instrument was
purchased; or
(ii) show that the instrument was purchased in a state that
does not provide for the escheat or custodial taking of the
property. As added by P.L.2-2002, SEC.19.
IC 32-34-1-22 Dormancy charges
Sec. 22. (a) A holder may not deduct a charge from property that
is presumed abandoned if the charge is imposed because the owner
failed to claim the property within a specified time unless:
(1) there is a valid and enforceable written contract between the
holder and the owner that allows the holder to impose the
charge; and
(2) the holder regularly imposes the charge, and the charge is
not regularly reversed or otherwise canceled.
(b) If a holder described in this section is a financial institution,
the dormancy charges of the department of financial institutions
apply. As added by P.L.2-2002, SEC.19.
IC 32-34-1-23 Prima facie evidence of an obligation; attorney general's burden of
proof; affirmative defenses
Sec. 23. (a) A record that a check, draft, or similar instrument was
issued is prima facie evidence of an obligation.
(b) If the attorney general claims property from a holder who is
also the issuer, the attorney general's burden of proof as to the
existence and amount of the property and the abandonment of the
property is satisfied by showing the following:
(1) That the instrument was issued.
(2) That the required period of time of abandonment has passed.
(c) For purposes of this section, the defenses of:
(1) payment;
(2) satisfaction;
(3) discharge; and
(4) want of consideration;
are affirmative defenses that must be established by the holder. As added by P.L.2-2002, SEC.19.
IC 32-34-1-24 Property in safe deposit box or safekeeping depository
Sec. 24. If:
(1) tangible or intangible property that is held in a safe deposit
box or any other safekeeping depository in Indiana in the
ordinary course of the holder's business; or
(2) the proceeds resulting from the sale of the property
described in subdivision (1) as authorized by other law;
remain unclaimed by the owner for more than five (5) years after
expiration of the lease or rental period on the box or other
depository, the property or proceeds are presumed abandoned. As added by P.L.2-2002, SEC.19.
IC 32-34-1-25 Voluntary dissolution of business association, banking
organization, or financial institution
Sec. 25. Any:
(1) business association;
(2) banking organization; or
(3) financial institution;
that is organized under Indiana law or created in Indiana and that
undergoes voluntary dissolution shall file a notice of the voluntary
dissolution with the attorney general not later than ten (10) days after
the adoption by the members or shareholders of the resolution to
dissolve. As added by P.L.2-2002, SEC.19.
IC 32-34-1-26 Report of property presumed abandoned
Sec. 26. (a) A holder of property that is presumed abandoned and
that is subject to custody as unclaimed property under this chapter
shall report in writing to the attorney general concerning the
property. Items of value of less than fifty dollars ($50) may be
reported by the holder in the aggregate.
(b) For each item with a value of at least fifty dollars ($50), the
report required under subsection (a) must be verified and must
include the following:
(1) The apparent owner's:
(A) name, if known;
(B) last known address, if any; and
(C) Social Security number or taxpayer identification
number, if readily ascertainable.
(2) In the case of the contents of a safe deposit box or other
safekeeping depository of tangible property:
(A) a description of the property;
(B) the place where the property is held and may be
inspected by the attorney general; and
(C) any amount that is owed to the holder.
(3) The date:
(A) the property became payable, demandable, or returnable;
and
(B) of the last transaction with the apparent owner with
respect to the property.
(4) Other information that the attorney general requires by rules
adopted under IC 4-22-2 as necessary for the administration of
this chapter.
(c) If:
(1) a holder of property that is presumed abandoned and that is
subject to custody as unclaimed property is a successor to
another person who previously held the property for the
apparent owner; or
(2) the holder has changed its name while holding the property;
the holder shall file with the report required by subsection (a) the
former names of the holder, if any, and the known name and address
of any previous holder of the property.
(d) The attorney general shall establish filing dates for the report
required by subsection (a).
(e) The holder of property that is presumed abandoned and that is
subject to custody as unclaimed property under this chapter shall, not
more than one hundred twenty (120) days or less than sixty (60) days
before filing the report required by subsection (a), send written
notice to the apparent owner of the property stating that the holder is
in possession of property subject to this chapter if:
(1) the holder has a record of an address for the apparent owner
that the holder's records do not show as inaccurate;
(2) the claim of the apparent owner is not barred by the statute
of limitations; and
(3) the value of the property is at least fifty dollars ($50).
(f) Before the date of filing the report required by subsection (a),
the holder may request the attorney general to extend the time for
filing the report. The attorney general may grant the extension upon
a showing of good cause. The holder, upon receipt of the extension,
may make an interim payment on the amount the holder estimates
will ultimately be due. The making of an interim payment under this
subsection suspends the accrual of interest on the amount.
(g) The holder shall file with the report an affidavit stating that
the holder has complied with this section. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.3.
IC 32-34-1-27 Payment or delivery of property to attorney general; automatically
renewable deposits; liability
Sec. 27. (a) Except as provided in subsections (b) and (c), on the
date a report is filed under section 26 of this chapter, the holder shall
pay or deliver to the attorney general the property that is described
in the report as unclaimed.
(b) In the case of an automatically renewable deposit, if at the
time of delivery under subsection (a) a penalty or forfeiture in the
payment of interest would result from the delivery of the property,
the time for delivery is extended until the earliest date upon which a
penalty or forfeiture would not result.
(c) Tangible property held in a safe deposit box or other
safekeeping depository may not be delivered to the attorney general
until one hundred twenty (120) days after the date the report
describing the property under section 26 of this chapter is filed.
(d) If the property reported to the attorney general is a security or
security entitlement under IC 26-1-8.1, the attorney general may
make an endorsement, instruction, or entitlement order on behalf of
the apparent owner to invoke the duty of the issuer or its transfer
agent or the securities intermediary to transfer or dispose of the
security or the security entitlement in accordance with IC 26-1-8.1.
(e) If the holder of property reported to the attorney general is the
issuer of a certificated security, the attorney general has the right to
obtain a replacement certificate under IC 26-1-8.1-405, and an
indemnity bond is not required.
(f) An issuer, the holder, and any transfer agent or other person
acting under the instructions of and on behalf of the issuer in
accordance with this section are not liable to the apparent owner and
must be indemnified against the claims of any person in accordance
with section 29 of this chapter. As added by P.L.2-2002, SEC.19.
IC 32-34-1-28 Publication of notice requirements; exceptions
Sec. 28. (a) Except as provided in subsection (e), the attorney
general shall publish a notice not later than November 30 of the year
immediately following the year in which unclaimed property has
been paid or delivered to the attorney general.
(b) Except as provided in subsection (c), the notice required by
subsection (a) must be published at least once each week for two (2)
successive weeks in a newspaper of general circulation published in
the county in Indiana of the last known address of any person named
in the notice.
(c) If the holder does not report an address for the apparent owner
or reports an address outside Indiana, the attorney general shall
publish the notice:
(1) at least once each week for two (2) successive weeks in a
newspaper of general circulation published in:
(A) the county in which the holder has its principal place of
business within Indiana; or
(B) any other county that the attorney general may
reasonably select; or
(2) electronically on the attorney general's web site for a period
that the attorney general may reasonably select, but in no case
for a period less than two (2) weeks.
(d) The advertised notice required by this section must be in a
form that, in the judgment of the attorney general, will attract the
attention of the apparent owner of the unclaimed property and must
contain the following information:
(1) The name of each person appearing to be an owner of
property that is presumed abandoned, as set forth in the report
filed by the holder.
(2) The last known address or location of each person appearing
to be an owner of property that is presumed abandoned, if an
address or a location is set forth in the report filed by the
holder.
(3) A statement explaining that the property of the owner is
presumed to be abandoned and has been taken into the
protective custody of the attorney general.
(4) A statement that information about the abandoned property
and its return to the owner is available, upon request, from the
attorney general, to a person having a legal or beneficial interest
in the property.
(e) The attorney general is not required to publish the following
in the notice:
(1) Any item with a value of less than one hundred dollars
($100).
(2) Information concerning a traveler's check, money order, or
any similar instrument.
(3) Property reported as a result of a demutualization of an
insurance company. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.4;
P.L.81-2004, SEC.27; P.L.64-2007, SEC.2.
IC 32-34-1-28.5 Unclaimed property resulting from demutualization of insurance
company; notice
Sec. 28.5. (a) The attorney general shall publish a notice not later
than November 30 of the year immediately following the year in
which unclaimed property as a result of a demutualization of an
insurance company has been paid or delivered to the attorney
general.
(b) The notice required by subsection (a) must be published at
least once in a newspaper of general circulation published in the
county of Indiana of the last known address of any person named in
the notice.
(c) If the holder does not report an address for the apparent owner,
the notice must be published in the county in which the holder has its
principal place of business within Indiana or any other county that
the attorney general may reasonably select.
(d) The advertised notice required by this section must be in a
form that, in the judgment of the attorney general, will attract the
attention of the apparent owner of the unclaimed property. The
advertised notice is not subject to the rate prescribed in IC 5-3-1-1.
The rate may not be higher than the rate set in IC 5-3-1-1.
(e) The advertised notice must contain the following information:
(1) The name of each person appearing to be an owner of
property that is presumed abandoned, as set forth in the report
filed by the holder.
(2) The last known address or location of each person appearing
to be an owner of property that is presumed abandoned, if an
address or a location is set forth in the report filed by the
holder.
(3) A statement explaining that the property of the owner is
presumed to be abandoned and has been taken into protective
custody of the attorney general.
(4) A statement that information about the abandoned property
and its return to the owner is available, upon request, from the
attorney general, to a person having a legal or beneficial interest
in the property.
(f) The attorney general is not required to include any item with
a value of less than one hundred dollars ($100) in the notice. As added by P.L.81-2004, SEC.28.
IC 32-34-1-29 Good faith payment or delivery; custody of state; immunity of
holder; reimbursement by holder; reclamation for owner;
reimbursement or payment of safe deposit box or safekeeping
depository charges
Sec. 29. (a) For purposes of this section, payment or delivery is
made in good faith if:
(1) payment or delivery was made in a reasonable attempt to
comply with this chapter;
(2) the holder was not a fiduciary in breach of trust with respect
to the property and had a reasonable basis for believing, based
on the facts known at the time, that the property was
abandoned; and
(3) there is not a showing that the records under which the
delivery was made did not meet reasonable commercial
standards of practice in the industry.
(b) Upon the payment or delivery of property to the attorney
general, the state assumes custody and responsibility for the
safekeeping of the property. A holder who pays or delivers property
to the attorney general in good faith is relieved of all liability with
respect to the property after the payment and delivery.
(c) A holder who has paid money to the attorney general under
this chapter may later make payment to a person who, in the opinion
of the holder, appears to be entitled to the payment. The attorney
general shall promptly reimburse the holder for the payment without
imposing a fee or other charge if the holder files proof of payment
and proof that the payee was entitled to the payment. If any
reimbursement is sought for a payment made on a negotiable
instrument, including a traveler's check or money order, the holder
must be reimbursed upon filing proof that:
(1) the instrument was duly presented; and
(2) the payment was made to a person who appeared to be
entitled to the payment.
The holder must be reimbursed for the payment made even if the
payment was made to a person whose claim was barred under section
41 of this chapter.
(d) A holder who has delivered property, including a certificate of
any interest in a business association, but not including money, to the
attorney general under this chapter may reclaim the property without
paying a fee or other charge if the property is still in the possession
of the attorney general, upon filing proof that the apparent owner has
claimed the property from the holder.
(e) The attorney general may accept the holder's affidavit as
sufficient proof of the holder's right to recover the money and the
property under this section.
(f) If the holder pays or delivers property to the attorney general
in good faith and later:
(1) another person claims the property from the holder; or
(2) another state claims the money or property under that state's
laws relating to escheat or abandoned or unclaimed property;
the attorney general, upon written notice of the claim, shall defend
the holder against the claim and indemnify the holder against any
liability on the claim.
(g) Property removed from a safe deposit box or other safekeeping
depository is received by the attorney general subject to the holder's
right to be reimbursed for the cost of the opening and reasonable
expenses incurred in determining the current addresses of any owners
for whom the last previous address contained in the holder's records
appears to be inaccurate. The property is subject to any valid lien or
contract providing for the holder to be reimbursed for unpaid rent or
storage charges. The attorney general shall reimburse or pay the
holder out of the proceeds remaining after deducting the attorney
general's cost of selling the property. As added by P.L.2-2002, SEC.19.
IC 32-34-1-30 Owner entitled to dividends, interest, or other increments realized;
exception
Sec. 30. (a) If property, other than money, is paid or delivered to
the attorney general under this chapter, the owner is entitled to
receive from the attorney general any dividends, interest, or other
increments realized or accruing on the property at or before delivery
to the attorney general.
(b) The owner is not entitled to receive dividends, interest, or
other increments accruing after delivery of the property to the
attorney general under this chapter unless the property was paid or
delivered under section 39(b) of this chapter. As added by P.L.2-2002, SEC.19.
IC 32-34-1-31 Public sale of abandoned property by attorney general; sale of
securities; transfer of certain property
Sec. 31. (a) Except as provided in subsections (b), (c), and (f), the
attorney general, not later than three (3) years after the receipt of
abandoned property, shall sell the property to the highest bidder at a
commercially reasonable public sale that, in the judgment of the
attorney general, affords the most favorable market for the property.
The attorney general may decline the highest bid and reoffer the
property for sale if, in the judgment of the attorney general, the bid
is insufficient. If, in the judgment of the attorney general, the
probable cost of the sale exceeds the value of the property, the
attorney general is not required to offer the property for sale. A sale
held under this section must be preceded, at least three (3) weeks
before the sale, by one (1) publication of notice in a newspaper of
general circulation published in the county in which the property is
to be sold.
(b) If the property is of a type that is customarily sold on a
recognized market or that is subject to widely distributed standard
price quotations, and if, in the opinion of the attorney general, the
probable cost of a public sale to the highest bidder would:
(1) exceed the value of the property; or
(2) result in a net loss;
the attorney general may sell the property privately, without notice
by publication, at or above the prevailing price for the property at the
time of the sale.
(c) Securities shall be sold as soon as reasonably possible
following receipt. If a valid claim is made for any securities in the
possession of the attorney general, the attorney general may:
(1) transfer the securities to the claimant; or
(2) pay the claimant the value of the securities as of the date the
securities were delivered to the attorney general.
Notice of the sale of securities is not required. Securities listed on an
established stock exchange must be sold at prices prevailing at the
time of the sale on the stock exchange. Other securities may be sold
over the counter at prices prevailing at the time of sale or by any
other method the attorney general considers reasonable.
(d) A purchaser of property at a sale conducted by the attorney
general under this chapter takes the property free of all claims of the
owner or previous holder and of all persons claiming through or
under them. The attorney general shall execute all documents
necessary to complete the transfer of ownership.
(e) A person does not have a claim against the attorney general for
any appreciation of property after the property is delivered to the
attorney general, except in a case of intentional misconduct or
malfeasance by the attorney general.
(f) If property is forwarded to the attorney general and the report
concerning the property does not have all of the information required
under section 26(b)(1) of this chapter or the total value of the
property is ten dollars ($10) or less, the attorney general may
immediately:
(1) sell the property and transmit the proceeds; or
(2) transfer the property;
to the state general fund. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.5;
P.L.97-2004, SEC.110.
IC 32-34-1-32 Property custody fund; notice requirements; transfer of principal;
claim by apparent owner
Sec. 32. (a) The property custody fund is established. Except as
provided in section 31(f) of this chapter, any money received by the
attorney general under section 39(b) of this chapter shall be delivered
to the treasurer of state for deposit in the property custody fund.
Subject to any claim of the owner allowed by the attorney general
under this chapter, the money shall be held in the property custody
fund for safekeeping until the date the money is presumed abandoned
under sections 20 and 24 of this chapter and transferred to the
abandoned property fund established by section 33 of this chapter in
accordance with this section.
(b) The attorney general shall specify in the notice required by
section 28 of this chapter the latest date the apparent owner may
claim the property from the property custody fund. Notice must also
be mailed to each person having a last known address listed in the
report to the attorney general filed under section 26 of this chapter.
(c) Except as provided in subsection (d), not later than twenty-five
(25) days after the date specified in the notice published under
subsection (b), the treasurer of state, upon order of the attorney
general, shall transfer the principal of the property to which the
notice relates from property custody fund to the abandoned property
fund.
(d) The attorney general may allow a claim of the apparent owner
before the principal of the property in the property custody fund is
transferred to the abandoned property fund under subsection (c).
After the elapse of the twenty-five (25) days referred to in subsection
(c), the funds are considered abandoned property instead of property
received under section 39(b) of this chapter for purposes of this
chapter. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.6.
IC 32-34-1-33 Abandoned property fund; transfer of certain funds
Sec. 33. (a) The abandoned property fund is established. Except
as provided in subsection (b) and sections 31 and 32 of this chapter,
money received by the attorney general under this chapter, including
the proceeds from the sale of abandoned property under section 31
of this chapter, shall be transferred by the attorney general to the
treasurer of state for deposit in the abandoned property fund.
(b) Money received under this chapter that was originally drawn
from a fund under the control of a local unit of government shall be
transferred to the fund from which the money was originally drawn. As added by P.L.2-2002, SEC.19. Amended by P.L.107-2003, SEC.7.
IC 32-34-1-34 Payment by treasurer; transfer if fund exceeds $500,000; payment
of claims over $500,000; deposit recording requirements; earnings
credited; interest transfers
Sec. 34. (a) Except as provided in section 42(d) of this chapter,
the treasurer of state shall, on order of the attorney general, pay the
necessary costs of the following:
(1) Selling abandoned property.
(2) Mailing notices.
(3) Making publications required by this chapter.
(4) Paying other operating expenses and administrative
expenses, including:
(A) salaries and wages reasonably incurred by the attorney
general in the administration and enforcement of this
chapter; and
(B) costs incurred in examining records of the holders of
property and in collecting the property from the holders.
(b) If the balance of the principal of the abandoned property fund
established by section 33 of this chapter exceeds five hundred
thousand dollars ($500,000), the treasurer of state may, and at least
once each fiscal year shall, transfer to the state general fund the
balance of the principal of the abandoned property fund that exceeds
five hundred thousand dollars ($500,000).
(c) If a claim is allowed or a refund is ordered under this chapter
that is more than five hundred thousand dollars ($500,000), the
treasurer of state shall transfer from the state general fund sufficient
money to make prompt payment of the claim. There is annually
appropriated to the treasurer of state from the state general fund the
amount of money sufficient to implement this subsection.
(d) Before making a deposit into the abandoned property fund, the
attorney general shall record the following:
(1) The name and last known address of each person appearing
from the holder's reports to be entitled to the abandoned
property.
(2) The name and last known address of each insured person or
annuitant.
(3) The number, the name of the corporation, and the amount
due concerning any policy or contract listed in the report of a
life insurance company.
(e) Except as provided in subsection (f), earnings on the property
custody fund and the abandoned property fund shall be credited to
each fund.
(f) On July 1 of each year, the interest balance in the property
custody fund established by section 32 of this chapter and the interest
balance in the abandoned property fund shall be transferred to the
state general fund. As added by P.L.2-2002, SEC.19. Amended by P.L.246-2005,
SEC.217.
IC 32-34-1-35 Custody of property custody fund and abandoned property fund;
fund investment; appropriation
Sec. 35. (a) The treasurer of state shall keep safely the money in
the property custody fund established by section 32 of this chapter
and the abandoned property fund established by section 33 of this
chapter. The money may not be transferred or assigned except as
specifically authorized and directed in this chapter. At any time,
upon certification of the attorney general and the treasurer of state
that there is cash on deposit in either fund in excess of the cash
requirements of the fund anticipated for the next succeeding
semiannual fiscal period, the state board of finance may authorize the
treasurer of state to invest and reinvest the money as authorized for
other funds of the state by IC 5-13, including the purchase of
certificates of deposit. However, an investment may not be made in
a certificate of deposit with a maturity or redemption date that is
more than six (6) months after the date of purchase, subscription, or
deposit. Any interest or other accretions derived from investments
made under this subsection become a part of the fund from which the
money was invested.
(b) A sufficient amount of money from the abandoned property
fund is appropriated to the treasurer of state to pay claims, costs, and
expenses ordered paid from the abandoned property fund under this
chapter.
(c) A sufficient amount of money from the property custody fund
is annually appropriated to the treasurer of state to pay claims
ordered paid from the property custody fund under this chapter. As added by P.L.2-2002, SEC.19.
