Maryland 2022 Regular Session

Maryland House Bill HB305 Compare Versions

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1- LAWRENCE J. HOGAN, JR., Governor Ch. 648
21
3-– 1 –
4-Chapter 648
5-(House Bill 305)
62
7-AN ACT concerning
3+EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW.
4+ [Brackets] indicate matter deleted from existing law.
5+ Underlining indicates amendments to bill.
6+ Strike out indicates matter stricken from the bill by amendment or deleted from the law by
7+amendment.
8+ Italics indicate opposite chamber/conference committee amendments.
9+ *hb0305*
810
9-Financial Institutions – Abandoned Presumption of Property Abandonment –
10-Notice and Records Revisions
11+HOUSE BILL 305
12+I1 (2lr1949)
13+ENROLLED BILL
14+— Economic Matters/Finance —
15+Introduced by Delegate Kerr
1116
12-FOR the purpose of requiring the holder of presumed abandoned property over a certain
13-value to send written notice to the apparent owner by certified mail, return receipt
14-requested, rather than by first–class mail; requiring the holder of abandoned
15-property over a certain value to keep records relating to that property; altering the
16-circumstances under which certain property is presumed abandoned; altering the
17-circumstances under which the running of the period of abandonment of certain
18-property ceases; providing that the period of abandonment of certain property ceases
19-under certain circumstances; and generally relating to abandoned property.
17+Read and Examined by Proofreaders:
2018
21-BY repealing and reenacting, without amendments,
22- Article – Commercial Law
23- Section 17–101(a), (i), and (k)
24- Annotated Code of Maryland
25- (2013 Replacement Volume and 2021 Supplement)
19+_______________________________________________
20+Proofreader.
21+_______________________________________________
22+Proofreader.
2623
27-BY repealing and reenacting, with amendments,
28- Article – Commercial Law
29-Section 17–308.2 and 17–312 17–301, 17–304, 17–308(d), and 17–308.1(b)
30- Annotated Code of Maryland
31- (2013 Replacement Volume and 2021 Supplement)
24+Sealed with the Great Seal and presented to the Governor, for his approval this
3225
33-BY repealing and reenacting, without amendments,
34- Article – Commercial Law
35-Section 17–310
36- Annotated Code of Maryland
37- (2013 Replacement Volume and 2021 Supplement)
26+_______ day of _______________ at _________________ _______ o’clock, ________M.
3827
39- SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND,
40-That the Laws of Maryland read as follows:
28+______________________________________________
29+Speaker.
4130
42-Article – Commercial Law
31+CHAPTER ______
4332
44-17–308.2.
33+AN ACT concerning 1
4534
46- (A) Not more than 120 days or less than 30 days before the filing of the report
47-required under § 17–310 of this subtitle, the holder in possession of presumed abandoned Ch. 648 2022 LAWS OF MARYLAND
35+Financial Institutions – Abandoned Presumption of Property Abandonment – 2
36+Notice and Records Revisions 3
4837
49-– 2 –
50-property shall send, TO THE APPARENT OWNE R’S LAST KNOWN ADDRESS , a written
51-notice:
38+FOR the purpose of requiring the holder of presumed abandoned property over a certain 4
39+value to send written notice to the apparent owner by certified mail, return receipt 5
40+requested, rather than by first–class mail; requiring the holder of abandoned 6
41+property over a certain value to keep records relating to that property; altering the 7
42+circumstances under which certain property is presumed abandoned; altering the 8
43+circumstances under which the running of the period of abandonment of certain 9
44+property ceases; providing that the period of abandonment of certain property ceases 10
45+under certain circumstances; and generally relating to abandoned property. 11
5246
53- (1) FOR PRESUMED ABANDONE D PROPERTY VALUED AT $100 OR
54-MORE BUT LESS THAN $10,000, by first–class mail [to the apparent owner of]; OR
47+BY repealing and reenacting, without amendments, 12
48+ Article – Commercial Law 13
49+ Section 17–101(a), (i), and (k) 14 2 HOUSE BILL 305
5550
56- (2) FOR presumed abandoned property valued at [$100] $10,000 or more
57-[to the owner’s last known address informing], BY CERTIFIED MAIL , RETURN RECEIPT
58-REQUESTED .
5951
60- (B) THE WRITTEN NOTICE SH ALL INFORM the owner that:
52+ Annotated Code of Maryland 1
53+ (2013 Replacement Volume and 2021 Supplement) 2
6154
62- (1) The holder is in possession of property subject to the provisions of this
63-title; and
55+BY repealing and reenacting, with amendments, 3
56+ Article – Commercial Law 4
57+Section 17–308.2 and 17–312 17–301, 17–304, 17–308(d), and 17–308.1(b) 5
58+ Annotated Code of Maryland 6
59+ (2013 Replacement Volume and 2021 Supplement) 7
6460
65- (2) The property will be considered abandoned unless the owner responds
66-within 30 days of the notification to the holder.
61+BY repealing and reenacting, without amendments, 8
62+ Article – Commercial Law 9
63+Section 17–310 10
64+ Annotated Code of Maryland 11
65+ (2013 Replacement Volume and 2021 Supplement) 12
6766
68-17–310.
67+ SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 13
68+That the Laws of Maryland read as follows: 14
6969
70- (a) Every person holding funds or other tangible or intangible property presumed
71-abandoned under this subtitle shall report to the Administrator with respect to the property
72-as provided in this section.
70+Article – Commercial Law 15
7371
74- (b) The report shall be made under oath and shall include:
72+17–308.2. 16
7573
76- (1) The name, if known, and last known address, if any, of each person who
77-appears from the records of the holder to be the owner of any property valued at $100 or
78-more and presumed abandoned under this subtitle;
74+ (A) Not more than 120 days or less than 30 days before the filing of the report 17
75+required under § 17–310 of this subtitle, the holder in possession of presumed abandoned 18
76+property shall send, TO THE APPARENT OWNE R’S LAST KNOWN ADDRESS , a written 19
77+notice: 20
7978
80- (2) In case of unclaimed funds of an insurance corporation, the full name
81-of the insured, annuitant, principal, or claimant, and the last known address according to
82-the insurance corporation’s records;
79+ (1) FOR PRESUMED ABANDONE D PROPERTY VALUED AT $100 OR 21
80+MORE BUT LESS THAN $10,000, by first–class mail [to the apparent owner of]; OR 22
8381
84- (3) The nature and identifying number, if any, or description of the
85-property and the amount which appears from the records to be due, except that items
86-valued at less than $100 each may be reported in the aggregate;
82+ (2) FOR presumed abandoned property valued at [$100] $10,000 or more 23
83+[to the owner’s last known address informing], BY CERTIFIED MAIL , RETURN RECEIPT 24
84+REQUESTED . 25
8785
88- (4) The date when the property became payable, demandable, or
89-returnable, and the date of the last transaction with the owner with respect to the property;
90-and
86+ (B) THE WRITTEN NOTICE SH ALL INFORM the owner that: 26
9187
92- (5) Any other information which the Administrator prescribes by rule as
93-necessary for the administration of this title.
94- LAWRENCE J. HOGAN, JR., Governor Ch. 648
88+ (1) The holder is in possession of property subject to the provisions of this 27
89+title; and 28
9590
96-– 3 –
97- (c) If the person holding property presumed abandoned is a successor to any other
98-person who previously held the property for the owner, or if the holder has changed his
99-name while holding the property, the person shall file with the report all prior known
100-names and addresses of each holder of the property.
91+ (2) The property will be considered abandoned unless the owner responds 29
92+within 30 days of the notification to the holder. 30
10193
102- (d) The report shall be for the period of July 1 through June 30 of each year and
103-filed no later than October 31 of that year. However, the reporting period for an insurance
104-corporation shall be from January 1 through December 31 of each year and the report shall
105-be filed no later than April 30 of the following year. The Administrator may postpone the
106-reporting date on the written request of any person required to file a report.
94+17–310. 31
95+ HOUSE BILL 305 3
10796
108- (e) Verification, if made by a partnership, shall be executed by a partner; if made
109-by an unincorporated association or private corporation, by an officer; and if made by a
110-public corporation, by its chief fiscal officer.
11197
112-17–312.
98+ (a) Every person holding funds or other tangible or intangible property presumed 1
99+abandoned under this subtitle shall report to the Administrator with respect to the property 2
100+as provided in this section. 3
113101
114- (A) Every person who has filed a report as provided in § 17–310 of this subtitle,
115-at the time of the filing of the report, shall pay or deliver to the Administrator all abandoned
116-property specified in the report.
102+ (b) The report shall be made under oath and shall include: 4
117103
118- (B) (1) A HOLDER SHALL KEEP AC CURATE RECORDS RELAT ING TO
119-ABANDONED PROPERTY V ALUED AT $10,000 OR MORE FOR AT LEAST 3 YEARS AFTER
120-THE HOLDER HAS PAID OR DELIVERED THE ABA NDONED PROPERTY TO T HE
121-ADMINISTRATOR .
104+ (1) The name, if known, and last known address, if any, of each person who 5
105+appears from the records of the holder to be the owner of any property valued at $100 or 6
106+more and presumed abandoned under this subtitle; 7
122107
123- (2) THE RECORDS SHALL BE SUFFICIENT TO ALLOW A PERSON WHO
124-IS ABLE TO RECOVER T HE ABANDONED PROPERT Y TO ESTABLISH A TAX BASIS.
108+ (2) In case of unclaimed funds of an insurance corporation, the full name 8
109+of the insured, annuitant, principal, or claimant, and the last known address according to 9
110+the insurance corporation’s records; 10
125111
126-17–101.
112+ (3) The nature and identifying number, if any, or description of the 11
113+property and the amount which appears from the records to be due, except that items 12
114+valued at less than $100 each may be reported in the aggregate; 13
127115
128- (a) In this title the following words have the meanings indicated.
116+ (4) The date when the property became payable, demandable, or 14
117+returnable, and the date of the last transaction with the owner with respect to the property; 15
118+and 16
129119
130- (i) “Holder” means any person who is:
120+ (5) Any other information which the Administrator prescribes by rule as 17
121+necessary for the administration of this title. 18
131122
132- (1) In possession of property subject to this title belonging to another;
123+ (c) If the person holding property presumed abandoned is a successor to any other 19
124+person who previously held the property for the owner, or if the holder has changed his 20
125+name while holding the property, the person shall file with the report all prior known 21
126+names and addresses of each holder of the property. 22
133127
134- (2) A trustee, in the case of a trust; or
128+ (d) The report shall be for the period of July 1 through June 30 of each year and 23
129+filed no later than October 31 of that year. However, the reporting period for an insurance 24
130+corporation shall be from January 1 through December 31 of each year and the report shall 25
131+be filed no later than April 30 of the following year. The Administrator may postpone the 26
132+reporting date on the written request of any person required to file a report. 27
135133
136- (3) Indebted to another on an obligation subject to this title.
134+ (e) Verification, if made by a partnership, shall be executed by a partner; if made 28
135+by an unincorporated association or private corporation, by an officer; and if made by a 29
136+public corporation, by its chief fiscal officer. 30
137137
138- (k) “Owner” means:
138+17–312. 31
139139
140- (1) In the case of a deposit, a depositor or a person entitled to receive the
141-funds as reflected on the records of the bank or financial organization;
142- Ch. 648 2022 LAWS OF MARYLAND
140+ (A) Every person who has filed a report as provided in § 17–310 of this subtitle, 32
141+at the time of the filing of the report, shall pay or deliver to the Administrator all abandoned 33
142+property specified in the report. 34
143+ 4 HOUSE BILL 305
143144
144-– 4 –
145- (2) In the case of a trust, a beneficiary;
146145
147- (3) In the case of other choses in action, a creditor, claimant, or payee;
146+ (B) (1) A HOLDER SHALL KEEP ACCURATE RECORDS REL ATING TO 1
147+ABANDONED PROPERTY V ALUED AT $10,000 OR MORE FOR AT LEAST 3 YEARS AFTER 2
148+THE HOLDER HAS PAID OR DELIVERED THE ABA NDONED PROPERTY TO T HE 3
149+ADMINISTRATOR . 4
148150
149- (4) In the case of abandoned property in federal custody, the person who is
150-defined as the owner by any applicable federal law; or
151+ (2) THE RECORDS SHALL BE SUFFICIENT TO ALLOW A PERSON WHO 5
152+IS ABLE TO RECOVER THE ABANDONE D PROPERTY TO ESTABL ISH A TAX BASIS. 6
151153
152- (5) Any person who has a legal or equitable interest in property subject to
153-this title, or the legal representative of that person.
154+17–101. 7
154155
155-17–301.
156+ (a) In this title the following words have the meanings indicated. 8
156157
157- (a) (1) FOR PURPOSES OF THIS SECTION AND SUBJECT TO PARAGRAPH
158-(2) OF THIS SUBSECTION , A HOLDER SHALL BE DE EMED TO NO LONGER HA VE A
159-VALID ADDRESS FOR TH E OWNER OF THE PROPE RTY AS OF THE LATER OF:
158+ (i) “Holder” means any person who is: 9
160159
161- (I) THE DATE A SECOND COM MUNICATION IS RETURN ED BY
162-THE U.S. POSTAL SERVICE TO A HOLDE R AS UNDELIVERABLE T O AN APPARENT
163-OWNER, IF:
160+ (1) In possession of property subject to this title belonging to another; 10
164161
165- 1. THE HOLDER SENT THE S ECOND COMMUNICATION TO
166-THE APPARENT OWNER B Y FIRST–CLASS MAIL; AND
162+ (2) A trustee, in the case of a trust; or 11
167163
168- 2. A PREVIOUS COMMUNICATI ON WAS:
164+ (3) Indebted to another on an obligation subject to this title. 12
169165
170- A. SENT BY FIRST–CLASS MAIL;
166+ (k) “Owner” means: 13
171167
172- B. SENT IMMEDIATELY PREC EDING THE SECOND
173-COMMUNICATION ; AND
168+ (1) In the case of a deposit, a depositor or a person entitled to receive the 14
169+funds as reflected on the records of the bank or financial organization; 15
174170
175- C. RETURNED BY THE U.S. POSTAL SERVICE TO THE
176-HOLDER AS UNDELIVERA BLE TO THE APPARENT OWNER; OR
171+ (2) In the case of a trust, a beneficiary; 16
177172
178- (II) THE DATE A PREVIOUS C OMMUNICATION IS RETU RNED BY
179-THE U.S. POSTAL SERVICE TO A HOLDER A S UNDELIVERABLE TO AN APPARENT
180-OWNER, IF THE HOLDER :
173+ (3) In the case of other choses in action, a creditor, claimant, or payee; 17
181174
182- 1. SENT THE PREVIOUS COM MUNICATION TO THE
183-APPARENT OWNER :
175+ (4) In the case of abandoned property in federal custody, the person who is 18
176+defined as the owner by any applicable federal law; or 19
184177
185- A. BY FIRST–CLASS MAIL; AND
178+ (5) Any person who has a legal or equitable interest in property subject to 20
179+this title, or the legal representative of that person. 21
186180
187- B. IMMEDIATELY PRECEDING A SECOND
188-COMMUNICATION ; AND LAWRENCE J. HOGAN, JR., Governor Ch. 648
181+17–301. 22
189182
190-– 5 –
183+ (a) (1) FOR PURPOSES OF THIS SECTION AND SUBJECT TO PARAGRAPH 23
184+(2) OF THIS SUBSECTION, A HOLDER SHALL BE DE EMED TO NO LONGER HA VE A 24
185+VALID ADDRESS FOR TH E OWNER OF THE PROPE RTY AS OF THE LATER OF: 25
191186
192- 2. SENT THE SECOND COMMU NICATION TO THE
193-APPARENT OWNER :
187+ (I) THE DATE A SECOND COM MUNICATION IS RETURN ED BY 26
188+THE U.S. POSTAL SERVICE TO A HOLDER A S UNDELIVERABLE TO A N APPARENT 27
189+OWNER, IF: 28
190+ HOUSE BILL 305 5
194191
195- A. BY FIRST–CLASS MAIL; AND
196192
197- B. MORE THAN 30 DAYS AFTER THE PREVI OUS
198-COMMUNICATION UNDER THIS SUBPARAGRAPH WA S SENT.
193+ 1. THE HOLDER SENT THE S ECOND COMMUNICATION TO 1
194+THE APPARENT OWNER B Y FIRST–CLASS MAIL; AND 2
199195
200- (2) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , IF
201-THE HOLDER DOES NOT SEND COMMUNICATIONS TO AN APPAR ENT OWNER BY
202-FIRST–CLASS MAIL, THE HOLDER SHALL ATT EMPT TO CONFIRM THE APPARENT
203-OWNER’S INTEREST IN THE PR OPERTY BY E–MAILING THE APPARENT OWNER NOT
204-LATER THAN 2 YEARS AFTER THE APPA RENT OWNER ’S LAST INDICATION OF
205-INTEREST IN THE PROP ERTY.
196+ 2. A PREVIOUS COMMUNICATI ON WAS: 3
206197
207- (II) THE HOLDER SHALL PROMPTLY A TTEMPT TO CONTACT TH E
208-APPARENT OWNER BY FI RST–CLASS MAIL IF:
198+ A. SENT BY FIRST–CLASS MAIL; 4
209199
210- 1. THE HOLDER DOES NOT H AVE THE INFORMATION
211-NEEDED TO SEND AN E –MAIL TO THE APPARENT OWNER;
200+ B. SENT IMMEDIATELY PREC EDING THE SECOND 5
201+COMMUNICATION ; AND 6
212202
213- 2. THE HOLDER BELIEVES T HE APPARENT OWNER ’S
214-E–MAIL ADDRESS IN THE HOLDER’S RECORDS IS NOT VAL ID;
203+ C. RETURNED BY THE U.S. POSTAL SERVICE TO THE 7
204+HOLDER AS UNDELIVERA BLE TO THE APPARENT OWNER; OR 8
215205
216- 3. THE HOLDER RECEIVES N OTIFICATION THAT THE
217-E–MAIL WAS NOT RECEIVE D; OR
206+ (II) THE DATE A PREVIOUS C OMMUNICATION IS RETU RNED BY 9
207+THE U.S. POSTAL SERVICE TO A HOLDER A S UNDELIVERABLE TO A N APPARENT 10
208+OWNER, IF THE HOLDER: 11
218209
219- 4. THE APPARENT OWNER DO ES NOT RESPOND TO TH E
220-E–MAIL COMMUNICATION W ITHIN 30 DAYS AFTER THE E –MAIL WAS SENT .
210+ 1. SENT THE PREVIOUS COM MUNICATION TO THE 12
211+APPARENT OWNER : 13
221212
222- (III) 1. IF A MAILING SENT IN ACCORDANCE WITH
223-SUBPARAGRAPH (II) OF THIS PARAGRAPH IS RETURNED BY THE U.S. POSTAL
224-SERVICE TO THE HOLDER AS UNDELIVERABLE TO THE APPARENT OWNER , THE
225-MAILING SHALL CONSTI TUTE A COMMUNICATION FOR PURPOSES OF PARA GRAPH (1)
226-OF THIS SUBSECTION .
213+ A. BY FIRST–CLASS MAIL; AND 14
227214
228- 2. IF A MAILING SENT IN ACCO RDANCE WITH
229-SUBPARAGRAPH (II) OF THIS PARAGRAPH IS NOT RETURNED BY THE U.S. POSTAL
230-SERVICE TO THE HOLDER AS UNDELIVERABLE TO THE APPARENT OWNER , THE
231-HOLDER SHALL BE PRES UMED TO HAVE A VALID ADDRESS FOR THE OWNE R OF THE
232-PROPERTY.
233- Ch. 648 2022 LAWS OF MARYLAND
215+ B. IMMEDIATELY PRECEDING A SECOND 15
216+COMMUNICATION ; AND 16
234217
235-– 6 –
236- (B) The following property held by a banking or financial organization, or business
237-association is presumed abandoned:
218+ 2. SENT THE SECOND COMMU NICATION TO THE 17
219+APPARENT OWNER : 18
238220
239- (1) Any demand, savings, or matured time deposit account made with a
240-banking organization, together with any interest or dividend on it, excluding any charges
241-that lawfully may be withheld, [unless, within 3 years,] 3 YEARS AFTER THE LATE R OF:
221+ A. BY FIRST–CLASS MAIL; AND 19
242222
243- (I) THE DATE THE HOLDER I S DEEMED TO NO LONGE R HAVE A
244-VALID ADDRESS FOR TH E OWNER OF THE PROPE RTY; OR
223+ B. MORE THAN 30 DAYS AFTER THE PREVI OUS 20
224+COMMUNICATION UNDER THIS SUBPARAGRAPH WA S SENT. 21
245225
246- (II) THE DATE the owner [has] LAST:
226+ (2) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , IF 22
227+THE HOLDER DOES NOT SEND COMMUNICATIONS TO AN APPARENT OWNER BY 23
228+FIRST–CLASS MAIL, THE HOLDER SHALL ATT EMPT TO CONFIRM THE APPARE NT 24
229+OWNER’S INTEREST IN THE PR OPERTY BY E–MAILING THE APPARENT OWNER NOT 25
230+LATER THAN 2 YEARS AFTER THE APPA RENT OWNER ’S LAST INDICATION OF 26
231+INTEREST IN THE PROP ERTY. 27
247232
248- [(i)] 1. Increased or decreased the amount of the deposit;
233+ (II) THE HOLDER SHALL PROM PTLY ATTEMPT TO CONT ACT THE 28
234+APPARENT OWNER BY FIRST–CLASS MAIL IF: 29
235+ 6 HOUSE BILL 305
249236
250- [(ii)] 2. Presented evidence of the deposit for the crediting of
251-interest;
252237
253- [(iii)] 3. Corresponded in writing with the banking organization
254-concerning the deposit;
238+ 1. THE HOLDER DOES NOT H AVE THE INFORMATION 1
239+NEEDED TO SEND AN E –MAIL TO THE APPARENT OWNER; 2
255240
256- [(iv)] 4. Engaged in any credit, trust, or other deposit transaction
257-with the banking organization; or
241+ 2. THE HOLDER BELIEVES T HE APPARENT OWNER ’S 3
242+E–MAIL ADDRESS IN THE HOLDER’S RECORDS IS NOT VAL ID; 4
258243
259- [(v)] 5. Otherwise indicated an interest in the deposit as
260-evidenced by a memorandum on file with the banking organization;
244+ 3. THE HOLDER RECEIVES N OTIFICATION THAT THE 5
245+E–MAIL WAS NOT RECEIVE D; OR 6
261246
262- (2) Any funds paid toward the purchase of shares or other interest in a
263-financial organization, or any deposit made with these funds, and any interest or dividends
264-on these, excluding any charges that lawfully may be withheld, [unless, within 3 years,] 3
265-YEARS AFTER THE LATE R OF:
247+ 4. THE APPARENT OWNER DO ES NOT RESPOND TO TH E 7
248+E–MAIL COMMUNICATION W ITHIN 30 DAYS AFTER THE E –MAIL WAS SENT. 8
266249
267- (I) THE DATE THE HOLDER IS DEEMED TO NO LONGER HAVE A
268-VALID ADDRESS FOR TH E OWNER OF THE PROPE RTY; OR
250+ (III) 1. IF A MAILING SENT IN ACCORDANCE WITH 9
251+SUBPARAGRAPH (II) OF THIS PARAGRAPH IS RE TURNED BY THE U.S. POSTAL 10
252+SERVICE TO THE HOLDER AS UNDELIVERABLE TO THE APPARENT OWNER , THE 11
253+MAILING SHALL CONSTI TUTE A COMMUNICATION FOR PURPOSES OF PARA GRAPH (1) 12
254+OF THIS SUBSECTION . 13
269255
270- (II) THE DATE the owner [has] LAST:
256+ 2. IF A MAILING SENT IN ACCORDANCE WITH 14
257+SUBPARAGRAPH (II) OF THIS PARAGRAPH IS NOT RETURNED BY THE U.S. POSTAL 15
258+SERVICE TO THE HOLDER AS UNDELIVERABLE TO THE APPARENT OWNER , THE 16
259+HOLDER SHALL BE PRES UMED TO HAVE A VALID ADDRESS FOR THE OWNE R OF THE 17
260+PROPERTY. 18
271261
272- [(i)] 1. Increased or decreased the amount of the funds or deposit,
273-or presented an appropriate record for the crediting of interest or dividends;
262+ (B) The following property held by a banking or financial organization, or business 19
263+association is presumed abandoned: 20
274264
275- [(ii)] 2. Corresponded in writing with the financial organization
276-concerning the funds or deposit;
265+ (1) Any demand, savings, or matured time deposit account made with a 21
266+banking organization, together with any interest or dividend on it, excluding any charges 22
267+that lawfully may be withheld, [unless, within 3 years,] 3 YEARS AFTER THE LATE R OF: 23
277268
278- [(iii)] 3. Engaged in any credit, share, or other deposit transaction
279-with the financial organization; or
280- LAWRENCE J. HOGAN, JR., Governor Ch. 648
269+ (I) THE DATE THE HOLDER I S DEEMED TO NO LONGE R HAVE A 24
270+VALID ADDRESS FOR TH E OWNER OF THE PROPE RTY; OR 25
281271
282-– 7 –
283- [(iv)] 4. Otherwise indicated an interest in the funds or deposit as
284-evidenced by a memorandum on file with the financial organization;
272+ (II) THE DATE the owner [has] LAST: 26
285273
286- (3) Any sum payable on a check certified in this State or on a written
287-instrument issued in this State on which a banking or financial organization or business
288-association is directly liable, including any certificate of deposit, draft, traveler’s check, and
289-money order, that has been outstanding for more than 3 years from the date it was payable
290-(or 15 years in the case of a traveler’s check) or, if payable on demand, from the date of its
291-issuance, unless, within 3 years or 15 years in the case of a traveler’s check, the owner has:
274+ [(i)] 1. Increased or decreased the amount of the deposit; 27
292275
293- (i) Corresponded in writing with the banking or financial
294-organization or business association concerning it; or
276+ [(ii)] 2. Presented evidence of the deposit for the crediting of 28
277+interest; 29
295278
296- (ii) Otherwise indicated an interest as evidenced by a memorandum
297-on file with the banking or financial organization or business association; and
279+ [(iii)] 3. Corresponded in writing with the banking organization 30
280+concerning the deposit; 31
281+ HOUSE BILL 305 7
298282
299- (4) Any property removed from a safekeeping repository on which the lease
300-or rental period has expired or any surplus amounts arising from the sale of the property
301-pursuant to law, that have been unclaimed by the owner for more than 3 years from the
302-date on which the lease or rental period expired.
303283
304- [(b)] (C) Nothing in this section shall be construed to apply to any demand,
305-savings, or matured time deposits that are designated subject to the order of any court of
306-this State.
284+ [(iv)] 4. Engaged in any credit, trust, or other deposit transaction 1
285+with the banking organization; or 2
307286
308- [(c)] (D) Property is subject to the custody of this State as unclaimed property if
309-the conditions raising a presumption of abandonment under this section are met and:
287+ [(v)] 5. Otherwise indicated an interest in the deposit as 3
288+evidenced by a memorandum on file with the banking organization; 4
310289
311- (1) The last known address, as shown on the records of the holder, of the
312-apparent owner is in this State;
290+ (2) Any funds paid toward the purchase of shares or other interest in a 5
291+financial organization, or any deposit made with these funds, and any interest or dividends 6
292+on these, excluding any charges that lawfully may be withheld, [unless, within 3 years,] 3 7
293+YEARS AFTER THE LATE R OF: 8
313294
314- (2) The records of the holder do not reflect the identity of the person
315-entitled to the property and it is established that the last known address of the person
316-entitled to the property is in this State;
295+ (I) THE DATE THE HOLDER I S DEEMED TO NO LONGE R HAVE A 9
296+VALID ADDRESS FOR TH E OWNER OF THE PROPE RTY; OR 10
317297
318- (3) The records of the holder do not reflect the last known address of the
319-apparent owner, and it is established that:
298+ (II) THE DATE the owner [has] LAST: 11
320299
321- (i) The last known address of the person entitled to the property is
322-in this State; or
300+ [(i)] 1. Increased or decreased the amount of the funds or deposit, 12
301+or presented an appropriate record for the crediting of interest or dividends; 13
323302
324- (ii) The holder is a domiciliary or a government or governmental
325-subdivision or agency of this State and has not previously paid or delivered the property to
326-the State of the last known address of the apparent owner or other person entitled to the
327-property;
328- Ch. 648 2022 LAWS OF MARYLAND
303+ [(ii)] 2. Corresponded in writing with the financial organization 14
304+concerning the funds or deposit; 15
329305
330-– 8 –
331- (4) The last known address, as shown on the records of the holder, of the
332-apparent owner is in a state that does not provide by law for the escheat or custodial taking
333-of the property or its escheat or unclaimed property law is not applicable to the property
334-and the holder is a domiciliary or a government or governmental subdivision or agency of
335-this State;
306+ [(iii)] 3. Engaged in any credit, share, or other deposit transaction 16
307+with the financial organization; or 17
336308
337- (5) The last known address, as shown on the records of the holder, of the
338-apparent owner is in a foreign nation and the holder is a domiciliary or a government or
339-governmental subdivision or agency of this State; or
309+ [(iv)] 4. Otherwise indicated an interest in the funds or deposit as 18
310+evidenced by a memorandum on file with the financial organization; 19
340311
341- (6) The transaction out of which the property arose occurred in this State
342-and:
312+ (3) Any sum payable on a check certified in this State or on a written 20
313+instrument issued in this State on which a banking or financial organization or business 21
314+association is directly liable, including any certificate of deposit, draft, traveler’s check, and 22
315+money order, that has been outstanding for more than 3 years from the date it was payable 23
316+(or 15 years in the case of a traveler’s check) or, if payable on demand, from the date of its 24
317+issuance, unless, within 3 years or 15 years in the case of a traveler’s check, the owner has: 25
343318
344- (i) The last known address of the apparent owner or other person
345-entitled to the property is unknown or the last known address of the apparent owner or
346-other person entitled to the property is in a state that does not provide by law for the escheat
347-or custodial taking of the property or its escheat or unclaimed property law is not applicable
348-to the property; and
319+ (i) Corresponded in writing with the banking or financial 26
320+organization or business association concerning it; or 27
349321
350- (ii) The holder is a domiciliary of a state that does not provide by law
351-for the escheat or custodial taking of the property or its escheat or unclaimed property law
352-is not applicable to the property.
322+ (ii) Otherwise indicated an interest as evidenced by a memorandum 28
323+on file with the banking or financial organization or business association; and 29
353324
354- (E) (1) THE RUNNING OF THE 3–YEAR PERIOD OF ABAND ONMENT CEASES
355-IMMEDIATELY ON :
325+ (4) Any property removed from a safekeeping repository on which the lease 30
326+or rental period has expired or any surplus amounts arising from the sale of the property 31
327+pursuant to law, that have been unclaimed by the owner for more than 3 years from the 32
328+date on which the lease or rental period expired. 33
329+ 8 HOUSE BILL 305
356330
357- (I) (1) THE HOLDER OBTAINING A VALID ADDRESS FOR THE
358-OWNER OF THE PROPERT Y; OR
359331
360- (II) (2) THE OCCURRENCE OF AN ACTION REFERRED TO I N
361-SUBSECTION (B)(1)(II) OR (2)(II) OF THIS SECTION.
332+ [(b)] (C) Nothing in this section shall be construed to apply to any demand, 1
333+savings, or matured time deposits that are designated subject to the order of any court of 2
334+this State. 3
362335
363- (2) IF ANY FUTURE DIVIDEN D, DISTRIBUTION, OR OTHER SUM
364-PAYABLE TO THE OWNER AS A RESULT OF THE I NTEREST IS SUBSEQUEN TLY NOT
365-CLAIMED BY THE OWNER , A NEW PERIOD OF ABANDONMENT COMME NCES AND
366-RELATES BACK TO THE TIME A SUBSEQUENT DI VIDEND, DISTRIBUTION, OR OTHER
367-SUM BECAME DUE AND P AYABLE.
336+ [(c)] (D) Property is subject to the custody of this State as unclaimed property if 4
337+the conditions raising a presumption of abandonment under this section are met and: 5
368338
369-17–304.
339+ (1) The last known address, as shown on the records of the holder, of the 6
340+apparent owner is in this State; 7
370341
371- (a) (1) FOR PURPOSES OF THIS SECTION AND SUBJECT TO PARAGRAPH
372-(2) OF THIS SUBSECTION , A HOLDER SHALL BE DE EMED TO NO LONGER HAVE A
373-VALID ADDRESS FOR TH E OWNER OF THE PROPE RTY AS OF THE LATER OF:
374- LAWRENCE J. HOGAN, JR., Governor Ch. 648
342+ (2) The records of the holder do not reflect the identity of the person 8
343+entitled to the property and it is established that the last known address of the person 9
344+entitled to the property is in this State; 10
375345
376-– 9 –
377- (I) THE DATE A SECOND COM MUNICATION IS RETURN ED BY
378-THE U.S. POSTAL SERVICE TO A HOLDER A S UNDELIVERABLE TO A N APPARENT
379-OWNER, IF:
346+ (3) The records of the holder do not reflect the last known address of the 11
347+apparent owner, and it is established that: 12
380348
381- 1. THE HOLDER SENT THE S ECOND COMMUNICA TION TO
382-THE APPARENT OWNER B Y FIRST–CLASS MAIL; AND
349+ (i) The last known address of the person entitled to the property is 13
350+in this State; or 14
383351
384- 2. A PREVIOUS COMMUNICATI ON WAS:
352+ (ii) The holder is a domiciliary or a government or governmental 15
353+subdivision or agency of this State and has not previously paid or delivered the property to 16
354+the State of the last known address of the apparent owner or other person entitled to the 17
355+property; 18
385356
386- A. SENT BY FIRST–CLASS MAIL;
357+ (4) The last known address, as shown on the records of the holder, of the 19
358+apparent owner is in a state that does not provide by law for the escheat or custodial taking 20
359+of the property or its escheat or unclaimed property law is not applicable to the property 21
360+and the holder is a domiciliary or a government or governmental subdivision or agency of 22
361+this State; 23
387362
388- B. SENT IMMEDIATELY PREC EDING THE SECOND
389-COMMUNICATION ; AND
363+ (5) The last known address, as shown on the records of the holder, of the 24
364+apparent owner is in a foreign nation and the holder is a domiciliary or a government or 25
365+governmental subdivision or agency of this State; or 26
390366
391- C. RETURNED BY THE U.S. POSTAL SERVICE TO THE
392-HOLDER AS UNDELIVERABLE TO THE APPARENT OWNER ; OR
367+ (6) The transaction out of which the property arose occurred in this State 27
368+and: 28
393369
394- (II) THE DATE A PREVIOUS C OMMUNICATION IS RETU RNED BY
395-THE U.S. POSTAL SERVICE TO A HOLDER A S UNDELIVERABLE TO A N APPARENT
396-OWNER, IF THE HOLDER :
370+ (i) The last known address of the apparent owner or other person 29
371+entitled to the property is unknown or the last known address of the apparent owner or 30
372+other person entitled to the property is in a state that does not provide by law for the escheat 31
373+or custodial taking of the property or its escheat or unclaimed property law is not applicable 32
374+to the property; and 33
397375
398- 1. SENT THE PREVIOUS COM MUNICATION TO THE
399-APPARENT OWNER :
376+ (ii) The holder is a domiciliary of a state that does not provide by law 34
377+for the escheat or custodial taking of the property or its escheat or unclaimed property law 35
378+is not applicable to the property. 36 HOUSE BILL 305 9
400379
401- A. BY FIRST–CLASS MAIL; AND
402380
403- B. IMMEDIATELY PRECEDING A SECOND
404-COMMUNICATION ; AND
405381
406- 2. SENT THE SECOND COMMU NICATION TO THE
407-APPARENT OWNER :
382+ (E) (1) THE RUNNING OF THE 3–YEAR PERIOD OF ABAND ONMENT CEASES 1
383+IMMEDIATELY ON : 2
408384
409- A. BY FIRST–CLASS MAIL; AND
385+ (I) (1) THE HOLDER OBTAINING A VALID ADDRESS FOR THE 3
386+OWNER OF THE PROPERT Y; OR 4
410387
411- B. MORE THAN 30 DAYS AFTER THE PREVI OUS
412-COMMUNICATION UNDER THIS SUBPARAGRAPH WA S SENT.
388+ (II) (2) THE OCCURRENCE OF AN ACTION REFERRED TO I N 5
389+SUBSECTION (B)(1)(II) OR (2)(II) OF THIS SECTION. 6
413390
414- (2) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , IF
415-THE HOLDER DOES NOT SEND COMMUNICATIONS TO AN APPARENT OWNER BY
416-FIRST–CLASS MAIL, THE HOLDER SHALL ATT EMPT TO CONFIRM THE APPARE NT
417-OWNER’S INTEREST IN THE PR OPERTY BY E–MAILING THE APPARENT OWNER NOT
418-LATER THAN 2 YEARS AFTER THE APPA RENT OWNER ’S LAST INDICATION OF
419-INTEREST IN THE PROP ERTY.
420- Ch. 648 2022 LAWS OF MARYLAND
391+ (2) IF ANY FUTURE DIVIDEN D, DISTRIBUTION, OR OTHER SUM 7
392+PAYABLE TO THE OWNER AS A RESULT OF THE I NTEREST IS SUBSEQUEN TLY NOT 8
393+CLAIMED BY THE OWNER , A NEW PERIOD OF ABANDONMENT COMME NCES AND 9
394+RELATES BACK TO THE TIME A SUBSEQUENT DI VIDEND, DISTRIBUTION, OR OTHER 10
395+SUM BECAME DUE AND P AYABLE. 11
421396
422-– 10 –
423- (II) THE HOLDER SHALL PROM PTLY ATTEMPT TO CONT ACT THE
424-APPARENT OWNER BY FIRST–CLASS MAIL IF:
397+17–304. 12
425398
426- 1. THE HOLDER DOES NOT H AVE THE INFORMATION
427-NEEDED TO SEND AN E –MAIL TO THE APPARENT OWNER;
399+ (a) (1) FOR PURPOSES OF THIS SECTION AND SUBJECT TO PARAGRAPH 13
400+(2) OF THIS SUBSECTION , A HOLDER SHALL BE DE EMED TO NO LONGER HAVE A 14
401+VALID ADDRESS FOR TH E OWNER OF THE PROPE RTY AS OF THE LATER OF: 15
428402
429- 2. THE HOLDER BELIEVES T HE APPARENT OWNER ’S
430-E–MAIL ADDRESS IN THE HOLDER’S RECORDS IS NOT VAL ID;
403+ (I) THE DATE A SECOND COM MUNICATION IS RETURN ED BY 16
404+THE U.S. POSTAL SERVICE TO A HOLDER A S UNDELIVERABLE TO A N APPARENT 17
405+OWNER, IF: 18
431406
432- 3. THE HOLDER RECEIVES N OTIFICATION THAT THE
433-E–MAIL WAS NOT RECEIVE D; OR
407+ 1. THE HOLDER SENT THE S ECOND COMMUNICA TION TO 19
408+THE APPARENT OWNER B Y FIRSTCLASS MAIL; AND 20
434409
435- 4. THE APPARENT OWNER DO ES NOT RESPOND TO TH E
436-E–MAIL COMMUNICATION W ITHIN 30 DAYS AFTER THE E –MAIL WAS SENT .
410+ 2. A PREVIOUS COMMUNICATI ON WAS: 21
437411
438- (III) 1. IF A MAILING SENT IN ACCORDANCE WITH
439-SUBPARAGRAPH (II) OF THIS PARAGRAPH IS RE TURNED BY THE U.S. POSTAL
440-SERVICE TO THE HOLDER AS UNDELIVERABLE TO THE APPARENT OWNER , THE
441-MAILING SHALL CONSTI TUTE A COMMUNICATION FOR PURPOSES OF PARA GRAPH (1)
442-OF THIS SUBSECTION .
412+ A. SENT BY FIRST–CLASS MAIL; 22
443413
444- 2. IF A MAILING SENT IN ACCORDANCE WITH
445-SUBPARAGRAPH (II) OF THIS PARAGRAPH IS NOT RETURNED BY THE U.S. POSTAL
446-SERVICE TO THE HOLDER AS UNDELIVERABLE TO THE APPARENT OWNER , THE
447-HOLDER SHALL BE PRES UMED TO HAVE A VALID ADDRESS FOR THE OWNE R OF THE
448-PROPERTY.
414+ B. SENT IMMEDIATELY PREC EDING THE SECOND 23
415+COMMUNICATION ; AND 24
449416
450- (B) Any stock or other certificate of ownership, or any dividend, profit,
451-distribution, interest, payment on principal, or other sum held by a business association for
452-or to a shareholder, certificate holder, member, bondholder or other security holder, or
453-participating patron of a cooperative[, who has not claimed it or corresponded in writing
454-with the business association concerning it within 3 years after the date prescribed for
455-payment or delivery,] is presumed abandoned 3 YEARS AFTER THE LATE R OF:
417+ C. RETURNED BY THE U.S. POSTAL SERVICE TO THE 25
418+HOLDER AS UNDEL IVERABLE TO THE APPA RENT OWNER ; OR 26
456419
457- (1) THE DATE THE HOLDER I S DEEMED TO NO LONGER HAVE A VALID
458-ADDRESS FOR THE OWNE R OF THE PROPERTY ; OR
420+ (II) THE DATE A PREVIOUS C OMMUNICATION IS RETU RNED BY 27
421+THE U.S. POSTAL SERVICE TO A HOLDER A S UNDELIVERABLE TO A N APPARENT 28
422+OWNER, IF THE HOLDER: 29
423+ 10 HOUSE BILL 305
459424
460- (2) THE DATE THE OWNER LA ST COMMUNICATED WITH THE BUSINESS
461-ASSOCIATION REGARDIN G THE PROPERTY if:
462425
463- [(1)] (I) It is held by a business association organized under the laws of
464-or created in this State;
465- LAWRENCE J. HOGAN, JR., Governor Ch. 648
426+ 1. SENT THE PREVIOUS COM MUNICATION TO THE 1
427+APPARENT OWNER : 2
466428
467-– 11 –
468- [(2)] (II) It is held by a business association doing business in this State
469-but not organized under the laws of this State, and the records of the business association
470-indicate that the last known address of the person entitled to it is in this State; or
429+ A. BY FIRST–CLASS MAIL; AND 3
471430
472- [(3)] (III) It is held by a business association not doing business in this
473-State and not organized under the laws of this State, but the records of the business
474-association indicate that the last known address of the person entitled to it is in this State.
431+ B. IMMEDIATELY PRECEDING A SECOND 4
432+COMMUNICATION ; AND 5
475433
476- [(b)] (C) This section shall apply to the stock or other certificate of ownership on,
477-for or from which the amounts described in subsection [(a)] (B) of this section have been
478-presumed abandoned ONLY if [the]:
434+ 2. SENT THE SECOND COMMU NICATION TO THE 6
435+APPARENT OWNER : 7
479436
480- (1) THE HOLDER IS DEEM ED TO NO LONGER HAVE A VALID ADDRESS
481-FOR THE OWNER OF THE PROPERTY FOR THE PRE CEDING 3 YEARS; OR
437+ A. BY FIRST–CLASS MAIL; AND 8
482438
483- (2) THE owner of said underlying stock or certificate has not, within the
484-3–year period giving rise to the presumption of abandonment:
439+ B. MORE THAN 30 DAYS AFTER THE PREVI OUS 9
440+COMMUNICATION UNDER THIS SUBPARAGRAPH WA S SENT. 10
485441
486- [(1)] (I) Communicated in writing with the association regarding the
487-interest or a dividend, distribution, or other sum payable as a result of the interest; or
442+ (2) (I) SUBJECT TO SUBPARAGRA PH (II) OF THIS PARAGRAPH , IF 11
443+THE HOLDER DOES NOT SEND COMMUNICATIONS TO AN APPARENT OWNER BY 12
444+FIRST–CLASS MAIL, THE HOLDER SHALL ATT EMPT TO CONFIRM THE APPARE NT 13
445+OWNER’S INTEREST IN THE PR OPERTY BY E–MAILING THE APPARENT OWNER NOT 14
446+LATER THAN 2 YEARS AFTER THE APPA RENT OWNER ’S LAST INDICATION OF 15
447+INTEREST IN THE PROP ERTY. 16
488448
489- [(2)] (II) Otherwise communicated with the association regarding the
490-interest or a dividend, distribution, or other sum payable as a result of the interest, as
491-evidenced by a memorandum or other record on file with the association prepared by an
492-employee of the association.
449+ (II) THE HOLDER SHALL PROM PTLY ATTEMPT TO CONT ACT THE 17
450+APPARENT OWNER BY FIRST–CLASS MAIL IF: 18
493451
494- [(c)] (D) (1) At the expiration of a 3–year period following the failure of the
495-owner to claim a dividend, distribution, or other sum payable to the owner as a result of
496-the interest, the interest is not presumed abandoned unless there have been at least 3
497-dividends, distributions, or other sums paid during the period, none of which has been
498-claimed by the owner.
452+ 1. THE HOLDER DOES NOT H AVE THE INFORMATION 19
453+NEEDED TO SEND AN E –MAIL TO THE APPARENT OWNER; 20
499454
500- (2) If 3 dividends, distributions, or other sums are paid during the 3–year
501-period, the period leading to a presumption of abandonment commences on the date
502-payment of the first such unclaimed dividend, distribution, or other sum became due and
503-payable.
455+ 2. THE HOLDER BELIEVES T HE APPARENT OWNER ’S 21
456+E–MAIL ADDRESS IN THE HOLDER’S RECORDS IS NOT VAL ID; 22
504457
505- (3) If 3 dividends, distributions, or other sums are not paid during the
506-presumptive period, the period continues to run until there have been 3 dividends,
507-distributions, or other sums that have not been claimed by the owner.
458+ 3. THE HOLDER RECEIVES N OTIFICATION THAT THE 23
459+E–MAIL WAS NOT RECEIVE D; OR 24
508460
509- [(d)] (E) (1) The running of the 3–year period of abandonment ceases
510-immediately upon [the]:
511- Ch. 648 2022 LAWS OF MARYLAND
461+ 4. THE APPARENT OWNER DO ES NOT RESPOND TO TH E 25
462+E–MAIL COMMUNICATION W ITHIN 30 DAYS AFTER THE E –MAIL WAS SENT. 26
512463
513-– 12 –
514- (I) THE HOLDER OBTAINING A VALID ADDRESS FOR THE
515-OWNER OF THE PROPERT Y; OR
464+ (III) 1. IF A MAILING SENT IN ACCORDANCE WITH 27
465+SUBPARAGRAPH (II) OF THIS PARAGRAPH IS RETURNED BY THE U.S. POSTAL 28
466+SERVICE TO THE HOLDER AS UNDELIVERABLE TO THE APPARENT OWNER , THE 29
467+MAILING SHALL CONSTI TUTE A COMMUNICATION FOR PURPOSES OF PARA GRAPH (1) 30
468+OF THIS SUBSECTION . 31
469+ HOUSE BILL 305 11
516470
517- (II) THE occurrence of a communication referred to in subsection
518-[(b)] (C)(2) of this section.
519471
520- (2) If any future dividend, distribution, or other sum payable to the owner
521-as a result of the interest is subsequently not claimed by the owner, a new period of
522-abandonment commences and relates back to the time a subsequent dividend, distribution,
523-or other sum became due and payable.
472+ 2. IF A MAILING SENT IN ACCORDANCE WITH 1
473+SUBPARAGRAPH (II) OF THIS PARAGRAPH IS NOT RETURNED BY THE U.S. POSTAL 2
474+SERVICE TO THE HOLDER AS UNDELIVERABLE TO THE APPARENT OWNER , THE 3
475+HOLDER SHALL BE PRES UMED TO HAVE A VALID ADDRESS FOR THE OWNE R OF THE 4
476+PROPERTY. 5
524477
525- [(e)] (F) At the time an interest is presumed abandoned under this section, any
526-dividend, distribution, or other sum then held for or owing to the owner as a result of the
527-interest, and not previously presumed abandoned, is presumed abandoned.
478+ (B) Any stock or other certificate of ownership, or any dividend, profit, 6
479+distribution, interest, payment on principal, or other sum held by a business association for 7
480+or to a shareholder, certificate holder, member, bondholder or other security holder, or 8
481+participating patron of a cooperative[, who has not claimed it or corresponded in writing 9
482+with the business association concerning it within 3 years after the date prescribed for 10
483+payment or delivery,] is presumed abandoned 3 YEARS AFTER THE LATE R OF: 11
528484
529- [(f)] (G) This section does not apply to any stock or other intangible ownership
530-interest enrolled in a plan that provides for the automatic reinvestment of dividends,
531-distributions, or other sums payable as a result of the interest unless the records available
532-to the Administrator of the plan show, with respect to any intangible ownership interest
533-not enrolled in the reinvestment plan, that [the]:
485+ (1) THE DATE THE HOLDER I S DEEMED TO NO LONGE R HAVE A VALID 12
486+ADDRESS FOR THE OWNE R OF THE PROPERTY ; OR 13
534487
535- (1) THE HOLDER IS DEEMED TO NO LONGER HAVE A VALID ADDRESS
536-FOR THE OWNER OF THE STOCK OR OTHER INTAN GIBLE OWNERSHIP INTE REST; OR
488+ (2) THE DATE THE OWNER LA ST COMMUNICATED WITH THE BUSINESS 14
489+ASSOCIATION REGARDIN G THE PROPERTY if: 15
537490
538- (2) THE owner has not within 3 years communicated in any manner
539-described in subsection [(b)] (C)(2) of this section.
491+ [(1)] (I) It is held by a business association organized under the laws of 16
492+or created in this State; 17
540493
541- [(g)] (H) (1) The holder of an interest under this section shall deliver a
542-duplicate certificate or other evidence of ownership if the holder does not issue certificates
543-of ownership to the Administrator.
494+ [(2)] (II) It is held by a business association doing business in this State 18
495+but not organized under the laws of this State, and the records of the business association 19
496+indicate that the last known address of the person entitled to it is in this State; or 20
544497
545- (2) Upon delivery of a duplicate certificate to the Administrator, the holder
546-and any transfer agent, registrar, or other person acting for or on behalf of a holder in
547-executing or delivering the duplicate certificate is relieved of all liability of every kind in
548-accordance with the provision of § 17–313 of this subtitle to every person, including any
549-person acquiring the original certificate or the duplicate of the certificate issued to the
550-Administrator, for any losses or damages resulting to any person by the issuance and
551-delivery to the Administrator of the duplicate certificate.
498+ [(3)] (III) It is held by a business association not doing business in this 21
499+State and not organized under the laws of this State, but the records of the business 22
500+association indicate that the last known address of the person entitled to it is in this State. 23
552501
553-17–308.
502+ [(b)] (C) This section shall apply to the stock or other certificate of ownership on, 24
503+for or from which the amounts described in subsection [(a)] (B) of this section have been 25
504+presumed abandoned ONLY if [the]: 26
554505
555- (d) Property is reportable to this State under subsection (b) of this section under
556-the priority rules established under § [17–301(c)] 17–301(D) of this subtitle.
506+ (1) THE HOLDER IS DEEMED TO NO LONGER HAVE A VALID ADDRESS 27
507+FOR THE OWNER OF THE PROPERTY FOR THE PRE CEDING 3 YEARS; OR 28
557508
558-17–308.1. LAWRENCE J. HOGAN, JR., Governor Ch. 648
509+ (2) THE owner of said underlying stock or certificate has not, within the 29
510+3–year period giving rise to the presumption of abandonment: 30
559511
560-– 13 –
512+ [(1)] (I) Communicated in writing with the association regarding the 31
513+interest or a dividend, distribution, or other sum payable as a result of the interest; or 32
561514
562- (b) A holder may consider a money order dormant or inactive for purposes of
563-imposing a service charge if the owner has taken none of the actions set forth in §
564-[17–301(a)(3)] 17–301(B)(3) of this subtitle for 1 year from the date of issuance of the
565-money order.
515+ [(2)] (II) Otherwise communicated with the association regarding the 33
516+interest or a dividend, distribution, or other sum payable as a result of the interest, as 34 12 HOUSE BILL 305
566517
567- SECTION 2. AND BE IT FURTHER ENACTED, Tha t this Act shall take effect
568-October 1, 2022.
569518
570-Enacted under Article II, § 17(c) of the Maryland Constitution, May 29, 2022.
519+evidenced by a memorandum or other record on file with the association prepared by an 1
520+employee of the association. 2
521+
522+ [(c)] (D) (1) At the expiration of a 3–year period following the failure of the 3
523+owner to claim a dividend, distribution, or other sum payable to the owner as a result of 4
524+the interest, the interest is not presumed abandoned unless there have been at least 3 5
525+dividends, distributions, or other sums paid during the period, none of which has been 6
526+claimed by the owner. 7
527+
528+ (2) If 3 dividends, distributions, or other sums are paid during the 3–year 8
529+period, the period leading to a presumption of abandonment commences on the date 9
530+payment of the first such unclaimed dividend, distribution, or other sum became due and 10
531+payable. 11
532+
533+ (3) If 3 dividends, distributions, or other sums are not paid during the 12
534+presumptive period, the period continues to run until there have been 3 dividends, 13
535+distributions, or other sums that have not been claimed by the owner. 14
536+
537+ [(d)] (E) (1) The running of the 3–year period of abandonment ceases 15
538+immediately upon [the]: 16
539+
540+ (I) THE HOLDER OBTAINING A VALID ADDRESS FOR THE 17
541+OWNER OF THE PROPERT Y; OR 18
542+
543+ (II) THE occurrence of a communication referred to in subsection 19
544+[(b)] (C)(2) of this section. 20
545+
546+ (2) If any future dividend, distribution, or other sum payable to the owner 21
547+as a result of the interest is subsequently not claimed by the owner, a new period of 22
548+abandonment commences and relates back to the time a subsequent dividend, distribution, 23
549+or other sum became due and payable. 24
550+
551+ [(e)] (F) At the time an interest is presumed abandoned under this section, any 25
552+dividend, distribution, or other sum then held for or owing to the owner as a result of the 26
553+interest, and not previously presumed abandoned, is presumed abandoned. 27
554+
555+ [(f)] (G) This section does not apply to any stock or other intangible ownership 28
556+interest enrolled in a plan that provides for the automatic reinvestment of dividends, 29
557+distributions, or other sums payable as a result of the interest unless the records available 30
558+to the Administrator of the plan show, with respect to any intangible ownership interest 31
559+not enrolled in the reinvestment plan, that [the]: 32
560+
561+ (1) THE HOLDER IS DEEMED TO NO LONGER HAVE A VALID ADDRESS 33
562+FOR THE OWNER OF THE STOCK OR OTHER INTAN GIBLE OWNERSHIP INTE REST; OR 34
563+ HOUSE BILL 305 13
564+
565+
566+ (2) THE owner has not within 3 years communicated in any manner 1
567+described in subsection [(b)] (C)(2) of this section. 2
568+
569+ [(g)] (H) (1) The holder of an interest under this section shall deliver a 3
570+duplicate certificate or other evidence of ownership if the holder does not issue certificates 4
571+of ownership to the Administrator. 5
572+
573+ (2) Upon delivery of a duplicate certificate to the Administrator, the holder 6
574+and any transfer agent, registrar, or other person acting for or on behalf of a holder in 7
575+executing or delivering the duplicate certificate is relieved of all liability of every kind in 8
576+accordance with the provision of § 17–313 of this subtitle to every person, including any 9
577+person acquiring the original certificate or the duplicate of the certificate issued to the 10
578+Administrator, for any losses or damages resulting to any person by the issuance and 11
579+delivery to the Administrator of the duplicate certificate. 12
580+
581+17–308. 13
582+
583+ (d) Property is reportable to this State under subsection (b) of this section under 14
584+the priority rules established under § [17–301(c)] 17–301(D) of this subtitle. 15
585+
586+17–308.1. 16
587+
588+ (b) A holder may consider a money order dormant or inactive for purposes of 17
589+imposing a service charge if the owner has taken none of the actions set forth in § 18
590+[17–301(a)(3)] 17–301(B)(3) of this subtitle for 1 year from the date of issuance of the 19
591+money order. 20
592+
593+ SECTION 2. AND BE IT FURTHER ENACTED, That this Act shall take effect 21
594+October 1, 2022. 22
595+
596+
597+
598+
599+
600+Approved:
601+________________________________________________________________________________
602+ Governor.
603+________________________________________________________________________________
604+ Speaker of the House of Delegates.
605+________________________________________________________________________________
606+ President of the Senate.