What Constitutes Intangible Unclaimed Property Reportable Under the Law?

Have you ever forgotten about an old gift card or a check tucked away in a drawer? Businesses deal with similar situations all the time. Unclaimed property refers to intangible assets – things like checks, credits, or refunds – that haven’t seen activity from the rightful owner for a set period called the “dormancy period.” After this time, the property becomes dormant or unclaimed.

Examples of intangible unclaimed property include:
-Uncashed payroll or commission checks
-Uncashed accounts payable/vendor checks
-Accounts receivable credit balances
-Gift certificates/gift cards
-Customer merchandise credits, layaways, deposits, refunds or rebates
-Overpayments/unidentified remittances
-Suspense accounts -Unused/outstanding benefits (non-ERISA)
-Goods received but not invoiced
-Miscellaneous income/bad debt expense accounts

Dormancy periods typically range from 3 to 5 years, but this can vary depending on the type of property. For instance, some states might have shorter periods for perishable items like gift certificates.

There are some general ranges to keep in mind:

  • Typical dormancy periods: Commonly range from 3 to 5 years for things like bank accounts, checks, and credit balances.
  • Some exceptions: Certain property types might have longer or shorter dormancy periods.

Here are some resources that can help you find specific dormancy periods:

  • National Association of Unclaimed Property Administrators (NAUPA): This site has links to each state’s unclaimed property website.
  • Unclaimed.org: Unclaimed Property Law This website allows you to search for unclaimed property by state.

Also visit our About Us page for more information or call 410-303-5510.

By understanding and complying with unclaimed property laws, you can avoid potential headaches. Not only does it prevent legal issues, but it also helps reunite rightful owners with their forgotten assets.

Once you understand the property types, the dormancy periods, and the different laws of each state, leave the compliance and reporting work to us.  You owe it to yourself and your company to contact PEACC to help alleviate all your unclaimed property compliance reporting headaches.

UNCLAIMED PROPERTY LAWS: WHAT ARE THEY ALL ABOUT?

Unclaimed property involves intangible property, normally cash, checks or securities. The only
tangible property involved would be safe deposit box contents that goes unclaimed if the
holder/bank may have lost contact with the owner. This would constitute unclaimed property
when the state dormancy/holding period has been met.

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