Chapter 194

2005 -- S 0491

Enacted 07/07/05

A N A C T

RELATING TO PROBATE PRACTICE AND PROCEDURE -- UNCLAIMED INTANGIBLE AND TANGIBLE PROPERTY

Introduced By: Senators DaPonte, and Connors

Date Introduced: February 10, 2005

It is enacted by the General Assembly as follows:

     SECTION 1. Section 33-21.1-1 of the General Laws in Chapter 33-21.1 entitled

"Unclaimed Intangible and Tangible Property" is hereby amended to read as follows:

33-21.1-1. Definitions and use of terms. -- As used in this chapter, unless the context

otherwise requires:

      (1) "Administrator" means the general treasurer or his or her designee.

      (2) "Apparent owner" means the person whose name appears on the records of the holder

as the person entitled to property held, issued, or owing by the holder.

      (3) "Banking organization" means a bank, trust, company, savings bank (industrial bank,

land bank, safe deposit company), private banker, or any organization defined by any of the laws

of this or any other state as a bank or banking organization.

      (4) "Business association" means a public corporation, a non-public corporation, joint

stock company, investment company, business trust, partnership, or association for business

purposes of two (2) or more individuals, whether or not for profit, including a banking

organization, financial organization, insurance company, or utility, but not including hospitals,

private, nonprofit institutions of higher education, and other domestic charitable corporations as

those terms are defined in this section.

      (5) "Domicile" means the state of incorporation of a corporation and the state of the

principal place of business of an unincorporated person.

      (6) "Financial organization" means a savings and loan association, cooperative bank,

building and loan association, or credit union.

      (7) "Hospital" means:

      (i) Any nonprofit hospital incorporated under the laws of the state, including any

nonprofit subsidiary corporations formed by any hospital or formed by the parent corporation of a

hospital, or

      (ii) Any nonprofit corporation the member or members of which consist solely of one or

more hospitals or parent corporations of hospitals, or

      (iii) Any other hospital which is licensed as a general hospital or maternity hospital

pursuant to chapter 17 of title 23 which is exempt from taxation.

      (8) "Holder" means a person, wherever organized or domiciled, who is:

      (i) In possession of property belonging to another,

      (ii) A trustee, or

      (iii) Indebted to another on an obligation.

      (9) "Insurance company" means an association, corporation, fraternal or mutual benefit

organization, whether or not for profit, which is engaged in providing insurance coverage,

including accident, burial, casualty, credit life, contract performance, dental, fidelity, fire, health,

hospitalization, illness, life (including endowments and annuities), malpractice, marine,

mortgage, surety, and wage protection insurance; but not including a nonprofit corporation

organized pursuant to chapters 19, 20, 20.1, 20.2 and 20.3 of title 27.

      (10) "Intangible property" includes:

      (i) Money, checks, drafts, deposits, interest, dividends, income, and bonds;

      (ii) Credit balances, customer overpayments, gift certificates, security deposits, refunds,

credit memos, unpaid wages, unused airline tickets, unclaimed pari-mutuel tickets, and

unidentified remittances;

      (iii) Stocks and other intangible ownership interests in business associations;

      (iv) Money deposited to redeem stocks, bonds, coupons, and other securities, or to make

distributions;

      (v) Amounts due and payable under the terms of insurance policies; and

      (vi) Amounts distributable from a trust or custodial fund established under a plan to

provide health, welfare, pension, vacation, severance, retirement, death, stock purchase, profit

sharing, employee savings, supplemental unemployment insurance, or similar benefits.

      (11) "Last known address" means a description of the location of the apparent owner

sufficient for the purpose of the delivery of mail.

      (12) "Other domestic charitable corporation" means a corporation, except a hospital or

private, nonprofit institution of higher education, as those terms are defined herein, organized and

existing under chapter 6 of title 7, chapter 19 of title 27, or created by general or special act of the

general assembly; provided however that domestic charitable corporations which qualify as

charitable corporations under 26 U.S.C. section 501(c)(3) and have one hundred (100) or fewer

employees shall be exempt from the provisions of this chapter.

      (13) "Owner" means a depositor in the case of a deposit, a beneficiary in the case of a

trust other than a deposit in trust, a creditor, claimant, or payee in the case of other intangible

property, or a person having a legal or equitable interest in property subject to this chapter or his

or her legal representative.

      (14) "Person" means an individual, business association, state or other government,

governmental subdivision or agency, public corporation, public authority, estate, trust, two (2) or

more persons having a joint or common interest, or any other legal or commercial entity.

      (15) "Private, nonprofit institution of higher education" means an educational institution

situated within this state which by virtue of law or charter is a private, nonprofit educational

institution empowered to provide a program of education beyond the high school level and which

is accredited by a nationally recognized educational accrediting agency or association and awards

a bachelor's or advance degree or provides a program of not less than two (2) years' duration

which is accepted for full credit toward a bachelor's degree.

      (16) "State" means any state, district, commonwealth, territory, insular possession, or

any other area subject to the legislative authority of the United States.

      (17) "Tangible property" includes all other property not defined as intangible property

and which is not otherwise defined in this section.

      (18) "Utility" means a person who owns or operates for public use any plan, equipment,

property, franchise, or license for the transmission of communications or the production, storage,

transmission, sale, delivery, or furnishing of electricity, water, steam, or gas.

     SECTION 2. Section 33-21.1-14 of the General Laws in Chapter 33-21.1 entitled

"Unclaimed Intangible and Tangible Property" is hereby amended to read as follows:

33-21.1-14. Gift certificates and credit memos. -- (a) A gift certificate or a credit memo

issued by a business association that remains unredeemed for more than three (3) years after

issuance is presumed abandoned. Pursuant to section 6-13-12, gift certificates shall not be

presumed to be abandoned.

      (b) In the case of a gift certificate, the amount presumed abandoned is the face amount of

the certificate itself. In the case of a credit memo, the amount presumed abandoned is the amount

credited as shown in the memo itself.

      (c) The amount of a gift certificate or credit memo presumed abandoned is subject to the

custody of this state in the following circumstances:

      (1) The records of the issuer show that the last known address of the purchaser of the

certificate or recipient of the memo is in this state;

      (2) The records of the issuer do not show the address of the purchaser or recipient, but do

show that the certificate or memo was issued in this state;

      (3) The records of the issuer do not show the address of the purchaser or recipient and do

not show the state where the certificate or memo was issued and the issuer has its principal place

of business in this state;

      (4) The records of the issuer show that the address of the purchaser or recipient, or if

none, the state where the certificate or memo was issued, is in or is a state whose escheat or

unclaimed property law does provide for the escheat or custodial taking of gift certificates and

credit memos, and the issuer has its principal place of business in this state.

      (d) Commencing on July 1, 1992, a business association issuing a gift certificate or

credit memo in this state shall have a duty to record either the name and address of a purchaser of

a certificate or a recipient of a credit memo or the state in which the certificate or memo was

issued.

SECTION 3. This act shall take effect upon passage.     

=======

LC01805

=======