Are you considering the unclaimed property liabilities in your Acquisitions? You should be because it could make a difference in what the acquisitions may cost you.
Depending on whether the Acquisition is a Stock purchase or an Asset purchase will dictate what your liability may be.
If the acquisition is a stock or equity purchase, the acquirer generally assumes historical and ongoing liability of the acquisition target.
In an Asset purchase, the acquirer generally will inherent unclaimed property liability ONLY related to the assets & liabilities assumed in the purchase transaction.
So, as you can see, a stock/equity acquisition includes any historical unclaimed property historical filings that have been missed over the years.
Therefore the acquirer would need to submit past due reports and also be responsible for any fines & interest penalties the States will/could assess would could add up.
This is why PEACC recommends performing an unclaimed property exercise to estimate what the exposure could be. Then lower the offering price taking the estimated unclaimed property exposure into consideration.
For further information on complying with the myriad of all the various State laws and regulations, please reach out to a professional at PEACC.com by calling 410.303.5510 or email at info@peacc.com too gain valuable knowledge & insight on unclaimed property compliance
Call PEACC for Compliance 410.303.5510
Unclaimed Property Liabilities in Acquisitions September 4th, 2025peaccadmin
Looking for Assistance in Developing & Maintaining Compliant Unclaimed Property Reporting Policies & Procedures?
PEACC has over 25 years experience in developing and implementing Unclaimed Property Policies & Procedures in all industries, all jurisdictions and for all property types.
PEACC has been developing and implementing unclaimed property compliance steps for each and every State, along with D.C., Guam, Puerto Rico and the Virgin Islands for over 25 years. Their clients have NEVER been found to be non-compliant or fined by any State.
If you’re short staffed, not staffed or questioning whether your unclaimed property Policies and procedures are compliant with all State rules & regulations, you can now reach out to PEACC to ensure your current and ongoing compliance.
Please reach out to PEACC any time to learn how we can offer you solutions along with a low cost solution to your unclaimed property reporting obligations. It can save you thousands or even millions of dollars in fines & penalties that will effect your bottom line while negating any possible national negative press!
Please contact PEACC’s Compliance Group at 410.303.5510 or email info@peacc.com for assistance on your reporting efforts to gain and keep your organization in compliance. With all the States constantly updating & increasing their compliance enforcement efforts, there is no better time than now to upgrade to PEACC Unclaimed Property Compliance. You’ll be surprised at the low costs and how much money you will save your company in the long run! PEACC.com – The National Leader in Unclaimed Property Compliance.
Call PEACC for Compliance 410.303.5510
Looking to Have Your Unclaimed Property Policies and Procedures Developed or Reviewed? August 18th, 2025peaccadmin
It has come to PEACC’s attention that another round of Delaware (“DE”) Unclaimed Property Voluntary Disclosure Agreement (“VDA”) Invitation letters have been mailed out by Secretary of State Office to various Holders throughout the Country incorporated in DE, in most cases.
The scheduled mailing date of these invitaion letters is mid-August. If your company happens to receive one of these letters from Delaware, it is in the Holder’s best interest to respond to the State within 90 days of the letter date. If the Holder does not respond within the 90 days the letter recipient will be selected for an Unclaimed property audit be the Delaware Department of Finance. Therefore, PEACC advises all Holders who receive the VDA Invitation letter to come forward, voluntarily and participate in the Delaware VDA. Participants in the DE VDA are provided numerous benefits from the State that outweigh going through an unclaimed property audit and may save the Holder money.
To hear more about the Pro’s and Con’s of participating in a State VDA or fir help in navigating the process, whether formal or not, please reach out to a professional at PEACC.com by calling 410.303.5510 or email us at info@peacc.com
Call PEACC for Compliance 410.303.5510
Another Round of Delaware Invitation Letters Go Out August 18th, 2025peaccadmin
– Through State or State sponsored Compliance Reviews – Through formal State audit notices. – Self-Audit notices, including those conducted/sponsored by third party firms. – State reminder letters regarding Compliance with reporting obligations. – State VDA (“Voluntary Disclosure Agreement”) Invitations. – Automatic penalty & interest assessment for non-compliance. – If you are contacted by a State regarding your compliance efforts, it is best to respond right away!
To discuss these State enforcement steps or any other issues relating to unclaimed property reporting compliance, please reach out to a professional at PEACC by calling 410.303.5510, or email us at info@peacc.com
Call PEACC for Compliance 410.303.5510
How Are States Enforcing Their Unclaimed Property Compliance? July 7th, 2025peaccadmin
In order to get in and remain compliant with the State reporting requirements Holders must:
– Identify all unclaimed property on an annual basis – Calculate dormancy periods based on the State property is due to; and depending on type of property and whether it would be reportable in 1,3, 5, 7 or 15 years – Determine if any property may be exempt from State reporting – Send State required Due Diligence/Search Letters out approximately 60 to 90 days prior to the State report due date – Prepare and generate State reports in the required State format – Update Holder records as to whether dormant property was reported/remitted to the State, paid to Owner or was an error in records
For additional information on how to track & comply with your State unclaimed property reporting obligations please contact PEACC at 410.303.5510 or email at info@peacc.com
Call PEACC for Compliance 410.303.5510
Unclaimed Property Reporting Steps April 21st, 2025peaccadmin
Who has the ability to audit Holders? Most State jurisdictions have the ability/authority to preform the dreaded Unclaimed Property Audit. Most States have their own audit staff conducting their own various State Audits. But most States still contract with third-party auditors. These third-party auditors have, in the past, conducted contingency fee Unclaimed Property Audits. Where these firms get a percentage of what they uncover from the Holder. Now, most States pay an hourly rate to perform Audits on behalf of a State. The third-party auditors under contract with most States, include the following firms:
• Kelmar Associates, LLC • Specialty Audit Services (SAS) • Kroll (was Versus Financial) ︎• Treasury Services Group, LLC (TSG) • Innovative Advocates Group, LLC • Discovery Audit Services (DAS) • Escheatment Expertise Consulting Services (EECS) • Faegre, Drinker, Biddle & Reath (FDBR) • KDAC, LLC • Barnes & Thornburg For further help in navigating the complexities of third-party unclaimed property auditors, please contact PEACC at 410.303.5510 or email us at info@peacc.com
Call PEACC for Compliance 410.303.5510
Unclaimed Property Audits & Reviews April 15th, 2025peaccadmin
How Does a Company Minimize Their Unclaimed Property Exposure & Implement Best Practices?
– Ensure you are abiding to all State reporting deadlines and compliance calendars. – Understand and abide to the various compliance rules and regulations along with your industry requirements. – Establish and implement unclaimed property liability accounts. Update them monthly. – Perform all State mandated due diligence/search letter mailings. Stay on top of rules & requirements. – Investigate and implement any possible outsource solutions. – File reports annually & consistently as required. Maintain copies of reports. – Document and maintain support of what you DO NOT owe the States. – Maintain a log of State’s offering Voluntary Disclosure Agreements (“VDA”) and all specifics. – Conduct periodic reviews of all functions. – Assign personnel and define rolls.
