§ 556.9B — United States savings bonds — escheatment procedures

Iowa § 556.9B

• Jurisdiction: Iowa
• Title XIV: PROPERTY
• Ch. 556: DISPOSITION OF UNCLAIMED PROPERTY

Text

1. Notwithstanding any provision of this chapter to the contrary, the escheat of United
States savings bonds and proceeds from such bonds to the state shall be governed by this
section.
2. United States savings bonds held or owing in this state by any person, or issued or
owed in the course of a holder’s business, or issued or owed by a state or other government,
governmentalsubdivision,agency,orinstrumentality,andallproceedsfromsuchbonds,shall
escheat to the state three years after such bonds are presumed abandoned property under
section556.9, subsection1. AllpropertyrightsandlegaltitletoandownershipofsuchUnited
Statessavingsbondsorproceedsfromsuchbonds,includingallrights,powers,andprivileges
of survivorship of any owner, co-owner, or beneficiary, shall vest solely in the state.
3. Within one hundred eighty days after the three-year period referred to in subsection 2,
if a claim has not been filed in accordance with the provisions of section 556.19 for the United
States savings bonds, the treasurer of state shall commence a civil action in the district court
of Polk county for a determination that the savings bonds shall escheat to the state. The
treasurer of state may postpone the bringing of such an action until sufficient United States
savings bonds have accumulated in the treasurer of state’s custody to justify the expense of
the civil action.
4. a. In lieu of the notice and publication provisions specified in section 556.12, the
§556.9B, DISPOSITION OF UNCLAIMED PROPERTY 10
treasurer of state or the treasurer of state’s attorney must file an affidavit or a declaration
stating all of the following that apply:
(1) That personal service of notice or notification by certified mail has been attempted
at the last known address of all named defendants unless the treasurer or the treasurer’s
attorney has reason to believe that the address submitted by the holder is unknown or not
otherwise sufficient to ensure that personal service or delivery of such notice will likely occur.
The notice shall notify the defendant of the information in paragraph “b”, subparagraphs (1),
(2), and (3).
(2) That a reasonable effort has been made to ascertain the names and addresses of any
defendants sought to be served as unknown parties.
(3) That service of summons pursuant to subparagraph (1) or (2) has been unsuccessful.
b. Following the filing of the affidavit or declaration pursuant to paragraph “a”, the
treasurer of state shall serve notice by publication. Publication of the notice shall be made
once each week for three consecutive weeks in a newspaper of general circulation published
in the county where the petition is filed. Such notice shall name any defendant to be served
and shall notify the defendant of the following:
(1) The defendant has been sued in a named court.
(2) The defendant must answer the petition or other pleading or otherwise defend, on
or before a specified date that is less than forty-one days after the date the notice is first
published.
(3) If the defendant does not answer or otherwise defend, the petition or other pleading
will be taken as true and judgment, the nature of which must be stated, will be rendered
accordingly.
5. If a person does not file a claim or appear at the hearing to substantiate a claim, or if the
court determines that a claimant is not entitled to the property claimed by the claimant, the
court, if satisfied by evidence that the treasurer of state has substantially complied with the
laws of this state, shall enter a judgment that the United States savings bonds have escheated
to the state, and all property rights and legal title to and ownership of such savings bonds or
proceeds from such bonds, including all rights, powers, and privileges of survivorship of any
owner, co-owner, or beneficiary, have vested solely in the state.
6. The treasurer of state shall redeem United States savings bonds escheated to the state
and the proceeds from the redemption shall be deposited into the general fund of the state in
accordance with section 556.18.
7. Any person making a claim for the United States savings bonds escheated to the state
under this section, or for the proceeds from such bonds, may file a claim in accordance with
section 556.19. Upon providing sufficient proof of the validity of the person’s claim, the
treasurer of state may pay such claim in accordance with the provisions of section 556.20.