Escheatment


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Escheatment

The process of turning over unclaimed or abandoned property to a state authority. Escheatment laws require mutual funds to turn over uncashed or returned check dollars and/or client account fund shares if the owner cannot be located within a length of time determined by each state.

Escheat

The acquisition of property by a state or government from the estate of a deceased person. An escheat occurs when the deceased person has no will, no relatives, and no survivors to whom the property would otherwise go. Because it is rare for a person to have no relatives at all, escheats are fairly unusual. The concept has its origins in feudalism, when the immediately superior feudal lord would inherit property that would otherwise be left without an owner. Different states have different laws governing escheats.
References in periodicals archive ?
If the balance of the unredeemed cards is subject to full escheatment, the company is precluded from recording any breakage income.
Recall that if a state does not escheat gift cards, another state can step in and claim escheatment of the property.
Alternatively, if you have your own internal escheatment process, a transmission of the voided information could be delivered to you to assist in the activity.
Through our association with Keane, we can help these firms better manage and satisfy their federal and state requirements and help them preserve assets under management by preventing unnecessary escheatment of shareholder accounts.
Amendment of the Company's Articles of Association to provide for escheatment in accordance with U.
With: administration costs continuing; escheatment not being an option in many cases; and the threat of possible fines and lawsuits increasing the longer plan sponsors fail to follow through on their responsibilities, it becomes clear that automatic rollover IRAs provide an easy solution to the problem.
On August 5, 2011, MetLife disclosed in a Form 10-Q filed with the SEC that regulatory investigations into its death benefits practices could result in additional escheatment to the states and administrative penalties, the costs of which could be substantial.
4 million reserves for escheatment liability and $0.
On August 5, 2011, the Company disclosed in its Form 10-Q SEC filing that regulatory investigations into its death benefits practices could result in additional escheatment to the states and administrative penalties.
Jack Sunday commented, "While most transfer agents handle the escheatment process well, issuers are often not paying attention to the advantages that shareholder location and asset recovery services can have on the escheatment process.
On August 5, 2011, the Company disclosed in its Form 10-Q filed with the SEC that regulatory investigations into its death benefits practices could result in additional escheatment to the states and administrative penalties, the costs of which could be substantial.
Jack Sunday, CEO, Group Five pointed out, "As states continue their aggressive search for additional sources of revenue, escheatment continues to be a major management issue for equity issuers.