Up-to-date News Regarding Unclaimed Property and Corporate Compliance


Taylor Looks to Supreme Court

Photo by smokedsalmon on FreeDigitalPhotos.netJust when we thought the Taylor case was over after the 9th Circuit affirmed the dismissal, the plaintiffs are now asking the U.S. Supreme Court to take a look. Earlier this month, the Taylor plaintiffs filed a petition for writ of certiorari.

What Not To Do: Credit Balance Edition

Collecting payment for goods or services provided is such an essential function in a company that there are teams of people devoted to it. A well functioning accounts receivable team is critical for a company's success. With the focus on collecting money, what happens when too much comes in? In other words, what does a company do with credit balances on its books?

Prepaid Card Planning Goes Beyond Legal Analysis

Visa CardIn recent years, prepaid cards have become a common form of payment, for everything from payroll/wages to rebates and everything in between. A recent story out of Norfolk, Virginia, is showing the hidden dangers of using prepaid cards to replace checks without careful planning and protection for the end-user.

Overreaching State Authority in Unclaimed Property Audits

Photo provided courtesy of Freerange PhotosLet's welcome the State of New Jersey back to the unclaimed property stage, as it attempts to overreach its authority in claiming abandoned property during an audit.

Google Sued for California Gift Card Practices

Photo by smokedsalmon on FreeDigitalPhotos.netGift cards have become the preferred method for celebrating holidays, birthdays, graduations and many other gift-giving occasions. With the pre-payment and often increased sales, many companies are interested in offering gift cards for sale. However, gift cards are often the cause of many retailer headaches. Google is just the latest in a long string of companies that have run into trouble with their gift card offerings.

Louisiana Latest State to Adapt Unclaimed Property Laws to Modern Technology

With Act number 350, Louisiana became the latest state to make changes to its unclaimed property laws to reflect how consumers use technology to manage their financial lives. This act updates provisions regarding the presumption of abandonment, allowing owner-directed electronic transactions and access through websites or similar electronic access points to be an "indication of an owner's interest in property."

Investors Sue Delaware for Wrongful Seizure of Stock

Photo by smokedsalmon on FreeDigitalPhotos.netTwo investors, Belgium researchers, with stock in Idenix Pharmaceuticals, Inc., have filed a lawsuit in Delaware Chancery Court alleging that the State illegally seized and sold their shares, resulting in a $12 million loss to the investors. Together, the investors owned approximately 10% of the outstanding shares of Idenix and had physical possession of the shares.

How Reporting Unclaimed Property Can Help Your Company

Unclaimed property compliance is a best practice for corporations of all sizes. In addition to avoiding audits and audit assessments, annual compliance can also benefit a company when dealing with long lost shareholders, employees, vendors and customers.

Oklahoma Lawsuit Alleges Ponzi Scheme

Photo by smokedsalmon on FreeDigitalPhotos.netOklahoma attorney Jerry Fent has filed a lawsuit in Oklahoma County District Court alleging that the state is in effect operating a Ponzi scheme as it commonly uses unclaimed property funds for government operations. Attorney Fent is an activist, with Oklahoma cases challenging the oil and gas tax law, state pension board, capitol bonds, and the state budget.

West Virginia Supreme Court Rules Against Life Insurers

Court OrderInsurance companies have been the subject of intense scrutiny by state unclaimed property administrators over the industry's historic asynchronous use of the Social Security Death Master File and similar databases to stop payments on annuity contracts while not using the same databases to determine that an insured under a life insurance contract may have died, and thus triggering a payment obligation.