2023 New York Laws › ABP - Abandoned Property › Article 5 - Unclaimed Property Held or Owing for Payment to Security Holders › 501 - Unclaimed Property; When Deemed Abandoned.

§  501.  Unclaimed  property; when deemed abandoned. 1. (a) Any amount
which, on or after January first, nineteen  hundred  forty-seven,  shall
have  become  payable  or distributable by a domestic, foreign or public
corporation or by a fiduciary to a resident as the owner or former owner
of a security as defined in paragraph (a) of subdivision two of  section
five  hundred  of  this  article,  shall  be  deemed  abandoned when the
security with respect to which such amount is payable  or  distributable
has been deemed abandoned, or when such amount:
(i)  is  payable  or  distributable  to  such resident as the owner or
former owner of such security; and
(ii) has, on the thirty-first day of December in  any  year,  remained
unpaid to or unclaimed by such resident for a period of three years. For
the  purposes of this article, a security as defined in paragraph (a) of
subdivision two of section five hundred of this  article  shall  not  be
deemed  abandoned  until  a  period  of three years has elapsed from the
earlier of the maturity date of such security or the date such  security
has been called for redemption.
(b)  Any  amount  which,  on  or after January first, nineteen hundred
forty-seven shall have become payable or distributable by a domestic  or
foreign  corporation or a fiduciary to a resident as the owner or former
owner of a security as defined in paragraph (b) of  subdivision  two  of
section five hundred of this article, shall be deemed abandoned when the
security  with  respect to which such amount is payable or distributable
has been deemed abandoned or when such amount:
(i) is payable or distributable to  such  resident  as  the  owner  or
former owner of such security; and
(ii)  has,  on  the thirty-first day of December in any year, remained
unpaid to or unclaimed by such resident for a period of three years.
2. (a) Except as provided in paragraph (b) of  this  subdivision,  any
security, as defined in paragraph (b) of subdivision two of section five
hundred  of  this  article,  of  any  domestic  corporation  or  foreign
corporation owned by or formerly owned by a  resident  shall  be  deemed
abandoned where, for three successive years:
(i)  all  amounts,  if  any,  payable or distributable thereon or with
respect thereto have remained unpaid to or unclaimed by  such  resident,
and
(ii)  no written communication has been received from such resident by
the holder.
(b) (i) Any security, as defined in paragraph (b) of  subdivision  two
of  section  five  hundred  of  this article, of any domestic or foreign
corporation in which a resident has an ownership interest and  which  is
enrolled  in  a  plan  that  provides  for the automatic reinvestment of
dividends, distributions, or other sums payable as the  result  of  such
interest  shall  be  deemed  abandoned  when  any security owned by such
resident which is not enrolled in the plan  has  been  deemed  abandoned
pursuant  to  paragraph  (a)  of  this  subdivision  or  when, for three
successive years:
(1) all amounts, if any, payable thereon or with respect thereto  have
remained unpaid to or unclaimed by such resident, and
(2)  no  written communication has been received from such resident by
the holder, and
(3) the holder does not know the location of such resident at the  end
of such three year period.
(ii) For purposes of this paragraph, the reinvestment of any dividend,
distribution  or other sum payable shall not be considered as payment of
an  amount  for  the  purpose  of  extending  the  statutory  period  of
inactivity  after  the  expiration  of  which  securities  enrolled in a
reinvestment plan are deemed abandoned.
(iii) Any corporation or fiduciary holding or evidencing on its  books
and  records securities enrolled in a reinvestment plan shall notify the
apparent owner by certified mail that such securities will be  delivered
to  the  state  comptroller  as  abandoned  property,  pursuant  to  the
provisions  of  section  five  hundred  two of this article, unless such
corporation  or  fiduciary  receives  written  communication  from   the
apparent   owner   of  such  securities  indicating  knowledge  of  such
securities prior to the date that such securities  are  required  to  be
delivered  to the state comptroller. Such letter by certified mail shall
be sent during the calendar  year  prior  to  the  year  in  which  such
property would be required to be delivered to the state comptroller, but
no  later  than  the  thirty-first  day  of  December  of such year. For
purposes of this subdivision, a signed return receipt  shall  constitute
written communication received by the holder from the apparent owner.
(iv)  All  corporations  or  fiduciaries  holding or evidencing on its
books and records securities  enrolled  in  a  reinvestment  plan  shall
retain,  for  a  period  of five years following the thirty-first day of
December of the year for which a report of abandoned property  has  been
filed,  a  list  of  (1)  the  dates and nature of any and all corporate
notices which have been sent via first class  mail  to  owners  of  such
securities  during  the period to which such report relates, and (2) the
names and addresses of all owners of such  securities  for  whom  postal
authorities have returned any first class mail sent by the holder during
the  period  to  which  such report relates, and the dates on which such
mail was returned for each such owner. Nothing contained  herein  or  in
any   other   provision   of  this  chapter  shall  preclude  the  state
comptroller, in the performance of his duties under this  chapter,  from
verifying  that  all such notices have been sent and whether or not such
notices have been returned to the holder by the postal authorities.
2-a. Notwithstanding any  other  law  to  the  contrary,  any  amount,
security or other distribution payable or distributable to a resident as
the  result  of  a  demutualization  or  similar  reorganization  of  an
insurance company shall be deemed abandoned where,  for  two  successive
years:
(a)  all  amounts,  securities  or  other  distributions have remained
unpaid to or unclaimed by such resident, and
(b) no written communication from such resident has been  received  by
the holder.
3.  Any  wages  payable  on  or  after  July  first,  nineteen hundred
sixty-three by a domestic or foreign corporation and held for a resident
by such issuing corporation or held and payable  by  a  fiduciary  other
than  a  broker or dealer as defined in section five hundred ten of this
chapter for a resident shall be deemed to be abandoned  property,  where
for three successive years:
(a) All such wages have remained unpaid to such resident, and
(b)  No  written communication has been received from such resident by
the holder, and
(c) Notice regarding such wages has been sent by  the  corporation  or
fiduciary,  via  first  class  mail,  to such resident at his last known
address and  such  notice  has  been  returned  to  the  corporation  or
fiduciary  by  the  postal  authorities  for  inability  to  locate such
resident.
4. For the purposes of this section the holder or owner of a  security
or  payee  of  an  amount  or  a  payee of wages shall be deemed to be a
resident when the records of the corporation or fiduciary indicate  that
the  last known address of such holder, owner or payee is located within
this state or, if the security was issued or the amount  or  wages  were
payable  by  a  domestic  corporation  or a public corporation organized

under the laws of this state, when such records do not indicate  a  last
known  address  outside  this  state or when the address of such holder,
owner or payee is unknown to such corporation or public  corporation  or
fiduciary;  or  when  the address of such holder, owner or payee is in a
state not  having  a  law  relating  to  the  disposition  of  abandoned
property;  or  when  the  address of such holder, owner or payee is in a
foreign country.
5. Any amount, wages or security with respect to which  such  domestic
or  foreign  corporation  or public corporation or fiduciary has on file
written evidence received within the period  specified  for  determining
abandonment  of such property that the person entitled to such amount or
wages or for whom such security is held had knowledge thereof shall  not
be deemed abandoned property.