§ 300 — Unclaimed property held or owing by banking organizations

New York § 300

• Jurisdiction: New York
• Law ABP: Abandoned Property
• Art. 3: Unclaimed Property Held or Owing By Banking Organizations

Text

§ 300. Unclaimed property held or owing by banking organizations. 1.\nThe following unclaimed property held or owing by banking organizations\nshall be deemed abandoned property:\n (a) Any amounts due on deposits or any amounts to which a shareholder\nof a savings and loan association or a credit union is entitled, held or\nowing by a banking organization, which shall have remained unclaimed for\nthree years by the person or persons appearing to be entitled thereto,\nincluding any interest or dividends credited thereon, excepting\n (i) any such amount which has been reduced or increased, exclusive of\ndividend or interest payment, within three years, or\n (ii) any such amount which is represented by a passbook not in the\npossession of the banking organization, which has been presented for\nentry of dividend or interest credit within three years, or\n (iii) any such amount with respect to which the banking organization\nhas on file written evidence received within three years that the person\nor persons appearing to be entitled to such amounts had knowledge\nthereof, or\n (iv) any such amount payable only at or by a branch office located in\na foreign country, or payable in currency other than United States\ncurrency, or\n (v) any such amount that is separately identifiable and has been set\naside to meet the burial and related expenses of an individual, provided\nhowever that said amount shall be deemed abandoned property where it\nremains unclaimed for three years subsequent to the death of the\nindividual for whom the amount was deposited.\n (b) Any amounts, together with all accumulations of interest or other\nincrement thereon, held or owing by a banking organization for the\npayment of an interest in a bond and mortgage apportioned or transferred\nby it pursuant to subdivision seven of former section one hundred\neighty-eight of the banking law as it existed prior to July first,\nnineteen hundred thirty-seven, which shall have remained unclaimed by\nthe person or persons appearing to be entitled thereto for three years\nafter the full and final liquidation of such mortgage, excepting\n (i) any such amount which has been reduced by payment to the person or\npersons appearing to be entitled thereto within three years, or\n (ii) any such amount which is represented by a certificate of share\nownership not in the possession of the banking organization, which\ncertificate has been presented for transfer within three years, or\n (iii) any such amount with respect to which the banking organization\nhas on file written evidence received within three years that the person\nor persons appearing to be entitled to such amount had knowledge\nthereof.\n (c) Any amount held or owing by a banking organization for the payment\nof a negotiable instrument under article three of the uniform commercial\ncode or a certified check whether negotiable or not, on which such\norganization is directly liable, which instrument shall have been\noutstanding for more than three years from the date it was payable or\nfrom the date of its issuance, if payable on demand; provided, however,\nthe provisions of this paragraph shall not apply\n (i) to any negotiable instrument payable outside the continental\nlimits of the United States, or\n (ii) to any instrument payable in currency other than United States\ncurrency.\n (d) After the expiration of three years from the opening of any vault,\nsafe deposit box or other receptacle by a banking organization pursuant\nto the provisions of the banking law, any surplus amounts arising from a\nsale by such banking organization of the contents of such vault, safe\ndeposit box or other receptacle pursuant to the provisions of the\nbanking law, the balance remaining of any United States coin or currency\namong the contents of such vault, safe deposit box or other receptacle\nand the balance remaining of the proceeds of the principal of or\ninterest or dividends on any securities among the contents of such\nvault, safe deposit box or other receptacle or the securities themselves\nwhich have remained unsold by the banking organization.\n (e) Any amount or security representing a dividend or other payment\nreceived (i) after June thirtieth, nineteen hundred forty, by a banking\norganization or its nominee as the record holder of any stock, bond, or\nother security of any corporation, association or joint stock company to\nwhich amount or security an unknown person (except a person entitled to\nsuch dividend or other payment upon the surrender of other outstanding\nsecurities) is entitled or (ii) on or after July first, nineteen hundred\nseventy-four by a banking organization or its nominee other than as a\nholder of record or as holder of record for known persons on any stock,\nbond or other security of any corporation, association or joint stock\ncompany or (iii) on or after July first, nineteen hundred eighty-four by\na banking organization or its nominee on any stock, bond, or other\nsecurity of a governmental or other public issuer, (1) which shall have\nremained unclaimed by the person entitled thereto for three years after\nreceipt thereof by such banking organization or its nominee, or (2) when\nthe stock, bond or other security with respect to which such amount or\nsecurity representing a dividend or other payment is payable has been\ndeemed abandoned.\n (f) Except as provided in paragraph (e) of this subdivision, any\nstock, bond or other security of any corporation, association or joint\nstock company received on or after July first, nineteen hundred\nseventy-seven or any stock, bond or other security of any governmental\nor other public issuer received on or after July first, nineteen hundred\neighty-four by a banking organization or its nominee and held by such\nbanking organization or its nominee (1) as holder of record of such\nstock, bond or other security, or (2) as custodian, trustee or fiduciary\nfor a person other than the issuer with respect to such stock, bond or\nother security, or (3) for unknown persons where, for three successive\nyears, (i) all amounts payable upon such stocks, bonds, or other\nsecurities of any corporation, association or joint stock company and\nreceived by such banking organization or its nominee on or after July\nfirst, nineteen hundred seventy-seven or all amounts payable upon such\nstocks, bonds, or other securities of any governmental or other public\nissuer and received by such banking organization or its nominee on or\nafter July first, nineteen hundred eighty-four have remained unclaimed\nby the person entitled thereto, and (ii) no written communication\nconcerning such stock, bond or other security has been received from the\nperson entitled thereto by such banking organization or its nominee.\n (g) Any stock, bond, or other security held by a banking organization\nin any vault or other storage area in any capacity other than as set\nforth in paragraphs (d), (e) or (f) of this subdivision where, for three\nsuccessive years, (i) such stock, bond, or other security has remained\nunclaimed by the person entitled thereto, and (ii) no written\ncommunication concerning such stock, bond or other security has been\nreceived from the person entitled thereto by such banking organization.\n (h) (i) Any amount or security of any domestic, foreign,\nnon-authorized foreign or public corporation, for which a banking\norganization acts as either agent or trustee of such corporation or as\nagent or trustee of a fiduciary engaged in the conduct of business, as\nsuch terms are defined in article five of this chapter, shall be deemed\nabandoned property in the same manner and under the same conditions as\nsuch amounts or securities are deemed abandoned pursuant to article five\nof this chapter, except that such amounts or securities shall be\nreportable, payable and/or deliverable to the state comptroller on the\ndates specified within this article for the report and delivery of\nabandoned property by banking organizations to the state comptroller.\n (ii) Where a banking organization or its nominee acts as either agent\nor trustee for the issuer of American depositary receipts, or as agent,\nfiduciary or holder of record for the rightful owner of such American\ndepositary receipts, or the banking organization is itself the issuer of\nAmerican depositary receipts, the American depositary receipts shall be\ndeemed "securities" and such securities and amounts payable or\ndistributable thereon shall be deemed abandoned property in the same\nmanner and under the same conditions as securities and amounts payable\nby banking organizations pursuant to the provisions of subparagraph (i)\nof this paragraph, provided, however, that this subparagraph shall apply\nto amounts or securities owing to or owned by persons with a last known\naddress in New York or a foreign address or persons with no last known\naddress and provided further that this subparagraph shall apply to such\namounts, whether in cash or stock, received by such banking organization\nor payable or distributable on or after July first, nineteen hundred\nseventy-four.\n (iii) The certified letters required to be mailed to apparent owners\nof securities enrolled in a reinvestment plan pursuant to subdivision\ntwo of section five hundred one of this chapter shall be mailed in the\nsame manner and at the same time as specified in this article, except\nthat such certified mail must be made to the apparent owners of such\nsecurities regardless of the amount.\n (i) Any amount or security which shall have become payable or\ndeliverable by a banking organization, as agent or trustee for a\ncorporation, association or joint stock company which shall have\ndiscontinued the conduct of its business, or the corporate existence of\nwhich shall have terminated, without the right to receive such amount\nhaving passed to a successor or successors, and which shall have\nremained unpaid or undelivered to the person or persons entitled thereto\nfor three years.\n (j) Any security representing the capital stock of a banking\norganization or any amount payable or distributable thereon shall be\ndeemed abandoned property in the same manner and under the same\nconditions as amounts or securities are deemed abandoned pursuant to\narticle five of this chapter.\n (k) Lost property or instruments as defined in section two hundred\nfifty-one of the personal property law which shall have been held by a\nsafe deposit company or bank for three years pursuant to the provisions\nof section two hundred fifty-six of the personal property law.\n 2. Any abandoned property held or owing by a banking organization to\nwhich the right to receive the same is established to the satisfaction\nof such banking organization shall cease to be deemed abandoned.\n 3. A deposit made with a banking organization directly by a court or\nby a guardian pursuant to order of a court for the benefit of a person\nwho was an infant at the time of the making of such deposit, which\ndeposit is subject to withdrawal only upon the further order of such\ncourt, shall not be subject to the provisions of this chapter until such\ninfant attains the age of eighteen years or until the death of such\ninfant whichever event occurs sooner.\n 4. As used in sections three hundred to three hundred three inclusive\nof this article, the term "banking organizations" shall be deemed to\ninclude the New York branch or branches or agency or agencies of all\nforeign banking corporations licensed to do business in this state\npursuant to article two and all branches of all out-of-state depository\ninstitutions authorized to conduct business in this state pursuant to\narticle five-C of the banking law, and the word "deposits" shall be\ndeemed to include credit balances maintained by any such agencies for\nthe account of others in accordance with the provisions of section two\nhundred two-a of the banking law.\n