Sec. 3-67a. State responsibility for property. Reimbursement of prior holder for payment to holder. Reimbursement of holder compelled to register transfer of original certificate.
Sec. 3-67a. State responsibility for property. Reimbursement of prior holder
for payment to holder. Reimbursement of holder compelled to register transfer of
original certificate. (a) Upon payment or delivery of property presumed abandoned
to the Treasurer, the state shall assume custody and, except as otherwise provided in
subsection (h) of section 3-65a, shall be responsible for all claims thereto. If, after payment or delivery to the Treasurer, any holder is compelled by authority of another jurisdiction to make a second payment, the Treasurer, upon proof thereof, shall refund to
the holder the amount of such second payment not in excess of the amount paid or
realized under the provisions of this part.
(b) Any holder who, having transmitted unclaimed property to the Treasurer, makes
payment therefor within the time limited by subsection (a) of section 3-70a to any person
appearing to be the owner shall be reimbursed by the Treasurer upon proof of payment
and upon proof that the payee was entitled thereto.
(c) Whenever any property other than money is paid or delivered to the Treasurer
under this part, the Treasurer upon receipt shall credit to the owner's account any dividends, interest or other increments realized or accruing on the property at or before
liquidation or conversion thereof into money.
(d) Any person who pays or delivers to the Treasurer, in good faith, property presumed abandoned pursuant to section 3-59b shall be relieved of liability, to the extent
of the value of the property so paid or delivered, for any claim then existing or which
thereafter may arise or be made in respect to the property. For the purposes of this section
"good faith" means that payment or delivery was made in a reasonable attempt to comply
with this part, that the person making payment or delivery of the property had a reasonable basis for believing, based on the facts as they were known to him, that the property
was abandoned for the purposes of this part; and there is no showing that the records
pursuant to which the payment or delivery was made did not meet reasonable standards
of practice in the industry.
(e) If such person pays or delivers property to the Treasurer, in good faith, property
presumed abandoned pursuant to section 3-59b and thereafter any other person claims
the property from the person so paying or delivering or another state claims the property
under its laws relating to escheat or abandoned or unclaimed property, the Treasurer,
upon written notice of the claim, shall defend the person who paid or delivered such
property against the claim and indemnify him against any liability on the claim.
(1961, P.A. 540, S. 12; 1963, P.A. 114, S. 3; 1971, P.A. 831, S. 4; P.A. 84-456, S. 8, 12.)
History: 1963 act added exception of Sec. 3-65a(h) in Subsec. (a); 1971 act added Subsec. (c); P.A. 84-456 replaced
former Subsec. (c) with new provisions and added Subsecs. (d) and (e) concerning the liability of any person delivering
to the treasurer, in good faith, any property presumed to be abandoned.