44-302

44-302. Presumptions of abandonment

A. Property is presumed abandoned if it is unclaimed by the apparent owner
according to the following schedule:

1. A traveler's check is presumed abandoned fifteen years after issuance.

2. A money order or similar written instrument, other than a third party bank
check, is presumed abandoned three years after issuance.

3. Any stock or other equity interest in a business association or financial
organization, including a security entitlement under title 47, chapter 8, is presumed
abandoned three years after any of the following, whichever occurs first:

(a) The date of the most recent dividend, stock split or other distribution that is
unclaimed by the apparent owner.

(b) The date of the second mailing of a statement of account or other notification
or communication that was returned as undeliverable.

4. The principal on debt, other than a bearer bond or an original issue discount
bond, of a business association or financial organization is presumed abandoned three
years after the maturity date and the interest on the debt is presumed abandoned three
years after the payment date.

5. A demand, savings or time deposit, including a deposit that is automatically
renewable, and any interest or dividends are presumed abandoned three years after
maturity or the date of the last indication by the owner of interest in the property,
whichever occurs first. For the purposes of this paragraph, a deposit that is
automatically renewable is deemed matured on its initial date of maturity, 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 any memorandum or other record on file with the holder.

6. Credits owed to a customer as a result of a retail business transaction are
presumed abandoned three years after the obligation accrued.

7. An amount owed by an insurance company on a life or endowment insurance policy
or an annuity that has matured or terminated is presumed abandoned three years after the
obligation to pay arose or, in the case of a policy or annuity that is payable on proof
of death, the amount is presumed abandoned one year after the insured has attained, or
would have attained if the insured were living, the limiting age under the mortality
table on which the reserve is based. For the purposes of this paragraph, all of the
following conditions apply:

(a) If a person other than the insured or annuitant is entitled to the owed amount
and the person's address is not known to the company or it is not definite and certain
from the records of the company who is entitled to the amount, it is presumed that the
last known address of the person who is entitled to the amount is the same as the last
known address of the insured or annuitant according to the company's records.

(b) Notwithstanding any law, if the company learns of the death of the insured or
annuitant and the beneficiary has not communicated with the insurer within four months
after the death, the company shall take reasonable steps to pay the proceeds to the
beneficiary.

(c) Every change of beneficiary form issued by an insurance company under any life
or endowment insurance policy or annuity contract to an insured or owner who is a
resident of this state shall request the following information:

(i) The name of each beneficiary, or if a class of beneficiaries is named, the name
of each current beneficiary in the class.

(ii) The address of each beneficiary.

(iii) The relationship of each beneficiary to the insured.

8. A life or endowment insurance policy or annuity contract not matured by actual
proof of the death of the insured or annuitant according to the company's records is
deemed matured and the proceeds are deemed due and payable and are presumed abandoned
after one year if all of the following conditions apply:

(a) The insured has attained, or would have attained if the insured were living,
the limiting age under the mortality table on which the reserve is based.

(b) The policy was in force at the time the insured attained or would have attained
the limiting age specified in subdivision (a) of this paragraph.

(c) Neither the insured nor any other person who appears to have an interest in the
policy within the last year according to the company's records has assigned, readjusted
or paid premiums on the policy or subjected the policy to a loan, corresponded in writing
with the company concerning the policy or otherwise indicated an interest as evidenced by
a memorandum or any other record on file with and prepared by an employee of the company.

9. Property that is distributable by a business association or financial
organization in a course of dissolution is presumed abandoned one year after the property
becomes distributable.

10. Property that is received by a court as proceeds of a class action and that is
not distributed pursuant to the judgment is presumed abandoned one year after the
distribution date.

11. Property that is held by a court, government or governmental subdivision, agency
or instrumentality, except for support as defined in section 25-500 or for spousal
maintenance, is presumed abandoned two years after the property becomes distributable.
Monies held for the payment of warrants by a state agency that remain unclaimed by the
owner at the time of the void date printed on the face of the warrant are presumed
abandoned. For the purposes of this paragraph, governmental subdivision does not include
a special taxing district as defined in section 48-241.

12. Wages or other compensation for personal services is presumed abandoned one year
after the compensation becomes payable.

13. Property in any individual retirement account, defined benefit plan or other
account or plan that qualifies for tax deferral under the income tax laws of the United
States is presumed abandoned two years after any of the following, whichever occurs
first:

(a) The date of the distribution or attempted distribution of the property.

(b) The date of the required distribution as stated in the plan or trust agreement
that governs the plan.

(c) If determinable by the holder, the date specified in the income tax laws of the
United States by which distribution of the property must begin in order to avoid a tax
penalty.

14. Any amount that is payable on a check, draft or similar instrument on which a
financial organization or business association is directly liable, including a cashier's
check and a certified check, and that has been outstanding for more than three years
after the check, draft or similar instrument was payable or after issuance if payable on
demand is presumed abandoned unless within three years the owner has communicated in
writing with the financial organization or business association concerning the check,
draft or similar instrument or otherwise indicated an interest as evidenced by a
memorandum or any other record on file and prepared by an employee of the financial
organization or business association.

15. All other property is presumed abandoned three years after the owner's rights to
demand the property or after the obligation to pay or distribute the property arises,
whichever occurs first.

16. Excess proceeds deposited with the county treasurer pursuant to section 33-812
are presumed abandoned if the monies remain with the treasurer for at least two years
from the date of deposit and there is no pending application for distribution.

17. Any dividend, profit, distribution, interest, redemption, payment on principal
or other sum held or owing by a business association for or to its shareholder,
certificate holder, member, bondholder or other security holder who has not claimed it,
or corresponded in writing with the business association concerning it, is presumed
abandoned three years after the date prescribed for payment or delivery.

B. At the time that an interest is presumed abandoned under subsection A of this
section, any other property right accrued or accruing to the owner as a result of the
interest, and not previously presumed abandoned, is also presumed abandoned.

C. Property is unclaimed if, for the applicable period prescribed in subsection A
of this section, the apparent owner has not communicated in writing with the holder or
communicated by other means reflected in a contemporaneous record that is prepared by or
on behalf of the holder and that concerns the property or the account or accounts in
which the property is held and has not otherwise indicated an interest in the property
and if the holder has not communicated in writing with regard to the property that would
otherwise be unclaimed. A communication with an owner by a person other than the holder
or the holder's representative who has not identified the property in writing to the
owner is not an indication of interest in the property by the owner.

D. An indication of an owner's interest in property includes:

1. The presentment of any check or other instrument of payment of any dividend or
other distribution that is made with respect to any account, underlying stock or other
interest in a business association or financial organization. If the distribution is made
by electronic or similar means an indication of an owner's interest includes evidence
that the distribution has been received.

2. Activity directed by the owner in the account in which the property is held,
including a direction by the owner to increase, decrease or change the amount or type of
property held in the account.

3. The making of a deposit to or withdrawal from a bank account.

4. The payment of a premium with respect to a property interest in an insurance
policy. The application of an automatic premium loan provision or any other nonforfeiture
provision in an insurance policy does not prevent a policy from maturing or terminating
if the insured has died or if the insured or the beneficiary of the policy has otherwise
become entitled to the proceeds before the depletion of the cash surrender value of a
policy by the application of those provisions.

E. Property is payable or distributable notwithstanding the owner's failure to make
demand or present an instrument or document otherwise required to obtain payment.