CHAPTER 72. ABANDONMENT OF PERSONAL PROPERTY
PROPERTY CODE
TITLE 6. UNCLAIMED PROPERTY
CHAPTER 72. ABANDONMENT OF PERSONAL PROPERTY
SUBCHAPTER A. GENERAL PROVISIONS
Sec. 72.001. APPLICATION OF CHAPTER. (a) Tangible or
intangible personal property is subject to this chapter if it is
covered by Section 72.101 and:
(1) the last known address of the apparent owner, as shown on
the records of the holder, is in this state;
(2) the records of the holder do not disclose the identity of
the person entitled to the property, and it is established that
the last known address of the person entitled to the property is
in this state;
(3) the records of the holder do not disclose the last known
address of the apparent owner, and it is established that:
(A) the last known address of the person entitled to the
property is in this state; or
(B) the holder is a domiciliary or a government or governmental
subdivision or agency of this state and has not previously paid
or delivered the property to the state of the last known address
of the apparent owner or other person entitled to the property;
(4) the last known address of the apparent owner, as shown on
the records of the holder, is in a state that does not provide by
law for the escheat or custodial taking of the property or is in
a state in which the state's escheat or unclaimed property law is
not applicable to the property, and the holder is a domiciliary
or a government or governmental subdivision or agency of this
state;
(5) the last known address of the apparent owner, as shown on
the records of the holder, is in a foreign nation and the holder
is a domiciliary or a government or governmental subdivision or
agency of this state; or
(6) the transaction out of which the property arose occurred in
this state and:
(A) the last known address of the apparent owner or other person
entitled to the property is:
(i) unknown; or
(ii) in a state that does not provide by law for the escheat or
custodial taking of the property or in a state in which the
state's escheat or unclaimed property law is not applicable to
the property; and
(B) the holder is a domiciliary of a state that does not provide
by law for the escheat or custodial taking of the property or a
state in which the state's escheat or unclaimed property law is
not applicable to the property.
(b) This chapter supplements other chapters in this title, and
each chapter shall be followed to the extent applicable.
(c) This chapter applies to property held by life insurance
companies with the exception of unclaimed proceeds to which
Chapter 1109, Insurance Code, applies and that are held by those
companies that are subject to Chapter 1109, Insurance Code.
(d) A holder of property presumed abandoned under this chapter
is subject to the procedures of Chapter 74.
(e) In this chapter, a holder is a person, wherever organized or
domiciled, who is:
(1) in possession of property that belongs to another;
(2) a trustee; or
(3) indebted to another on an obligation.
(f) In this chapter, a corporation shall be deemed to be a
domiciliary of the state of its incorporation.
Acts 1983, 68th Leg., p. 3592, ch. 576, Sec. 1, eff. Jan. 1,
1984. Amended by Acts 1985, 69th Leg., ch. 230, Sec. 7, eff.
Sept. 1, 1985; Acts 1987, 70th Leg., ch. 426, Sec. 2, eff. Sept.
1, 1987; Acts 1991, 72nd Leg., ch. 153, Sec. 5, eff. Sept. 1,
1991; Acts 2001, 77th Leg., ch. 1419, Sec. 30, eff. June 1, 2003.
SUBCHAPTER B. PRESUMPTION OF ABANDONMENT
Sec. 72.101. PERSONAL PROPERTY PRESUMED ABANDONED. (a) Except
as provided by this section and Sections 72.1015, 72.1016, and
72.102, personal property is presumed abandoned if, for longer
than three years:
(1) the existence and location of the owner of the property is
unknown to the holder of the property; and
(2) according to the knowledge and records of the holder of the
property, a claim to the property has not been asserted or an act
of ownership of the property has not been exercised.
(b)(1) The three-year period leading to a presumption of
abandonment of stock or another intangible ownership interest in
a business association, the existence of which is evidenced by
records available to the association, commences on the first date
that either a sum payable as a result of the ownership interest
is unclaimed by the owner or a communication to the owner is
returned undelivered by the United States Postal Service.
(2) The running of the three-year period of abandonment ceases
immediately on the exercise of an act of ownership interest or
sum payable or a communication with the association as evidenced
by a memorandum or other record on file with the association or
its agents.
(3) At the time an ownership is presumed abandoned under this
section, any sum then held for interest or owing to the owner as
a result of the interest and not previously presumed abandoned is
presumed abandoned.
(4) Any stock or other intangible ownership interest enrolled in
a plan that provides for the automatic reinvestment of dividends,
distributions, or other sums payable as a result of the ownership
interest is subject to the presumption of abandonment as provided
by this section.
(c) Property distributable in the course of a demutualization or
related reorganization of an insurance company is presumed
abandoned on the first anniversary of the date the property
becomes distributable if, at the time of the first distribution,
the last known address of the owner according to the records of
the holder of the property is known to be incorrect or the
distribution or statements related to the distribution are
returned by the post office as undeliverable and the owner has
not:
(1) communicated in writing with the holder of the property or
the holder's agent regarding the interest; or
(2) otherwise communicated with the holder regarding the
interest as evidenced by a memorandum or other record on file
with the holder or its agents.
(d) Property distributable in the course of a demutualization or
related reorganization of an insurance company that is not
subject to Subsection (c) is presumed abandoned as otherwise
provided by this section.
(e) This section does not apply to money collected as child
support that:
(1) is being held for disbursement by the state disbursement
unit under Chapter 234, Family Code, or a local registry, as
defined by Section 101.018, Family Code, pending identification
and location of the person to whom the money is owed; or
(2) has been disbursed by the state disbursement unit under
Chapter 234, Family Code, by electronic funds transfer into a
child support debit card account established for an individual
under Section 234.010, Family Code, but not activated by the
individual.
Acts 1983, 68th Leg., p. 3593, ch. 576, Sec. 1, eff. Jan. 1,
1984. Amended by Acts 1985, 69th Leg., ch. 230, Sec. 9, eff.
Sept. 1, 1985; Acts 1987, 70th Leg., ch. 426, Sec. 3, eff. Sept.
1, 1987; Acts 1991, 72nd Leg., ch. 153, Sec. 6, eff. Sept. 1,
1991; Acts 1993, 73rd Leg., ch. 36, Sec. 3.01, eff. Sept. 1,
1993; Acts 2003, 78th Leg., 3rd C.S., ch. 3, Sec. 2.01, 3.01,
eff. Jan. 11, 2004.
Amended by:
Acts 2005, 79th Leg., Ch.
81, Sec. 2, eff. September 1, 2005.
Acts 2009, 81st Leg., R.S., Ch.
551, Sec. 2, eff. June 19, 2009.
Acts 2009, 81st Leg., R.S., Ch.
767, Sec. 34, eff. June 19, 2009.
Sec. 72.1015. UNCLAIMED WAGES. (a) In this section, "wages"
has the meaning assigned by Section 61.001, Labor Code.
(b) An amount of unclaimed wages is presumed abandoned if, for
longer than one year:
(1) the existence and location of the person to whom the wages
are owed is unknown to the holder of the wages; and
(2) according to the knowledge and records of the holder of the
wages, a claim to the wages has not been asserted or an act of
ownership of the wages has not been exercised.
Added by Acts 2003, 78th Leg., 3rd C.S., ch. 3, Sec. 2.02, eff.
Jan. 11, 2004.
Sec. 72.1016. STORED VALUE CARD. (a) This section applies to a
stored value card, as defined by Section 604.001, Business &
Commerce Code, other than a card:
(1) to which Chapter 604, Business & Commerce Code, does not
apply by operation of Sections 604.002(1)(A) and (C) and
604.002(2)-(5) of that code; or
(2) that is linked to and draws its value solely from a deposit
account subject to Chapter 73.
(b) If the existence and location of the owner of a stored value
card is unknown to the holder of the property, the stored value
card is presumed abandoned to the extent of its unredeemed and
uncharged value on the earlier of:
(1) the card's expiration date;
(2) the third anniversary of the date the card was issued, if
the card is not used after it is issued, or the date the card was
last used or value was last added to the card; or
(3) the first anniversary of the date the card was issued, if
the card is not used after it is issued, or the date the card was
last used or value was last added to the card, if the card's
value represents wages, as defined by Section 61.001, Labor Code.
(c) If the person who sells or issues a stored value card in
this state does not obtain the name and address of the apparent
owner of the card and maintain a record of the owner's name and
address and the identification number of the card, the address of
the apparent owner is considered to be the Austin, Texas, address
of the comptroller.
(d) A person may charge a fee against a stored value card as
provided by Chapter 604, Business & Commerce Code. A fee may
not be charged against a stored value card after the card is
presumed abandoned under this section.
(e) The comptroller shall transfer five percent of the money
collected from cards presumed to be abandoned for use as grants
under Subchapter M, Chapter 56, Education Code.
(f) This section does not create a cause of action against a
person who issues or sells a stored value card.
Added by Acts 2005, 79th Leg., Ch.
81, Sec. 3, eff. September 1, 2005.
Amended by:
Acts 2007, 80th Leg., R.S., Ch.
885, Sec. 2.33, eff. April 1, 2009.
Sec. 72.102. TRAVELER'S CHECK AND MONEY ORDER. (a) A
traveler's check or money order is not presumed to be abandoned
under this chapter unless:
(1) the records of the issuer of the check or money order
indicate that it was purchased in this state;
(2) the issuer's principal place of business is in this state
and the issuer's records do not indicate the state in which the
check or money order was purchased; or
(3) the issuer's principal place of business is in this state,
the issuer's records indicate that the check or money order was
purchased in another state, and the laws of that state do not
provide for the escheat or custodial taking of the check or money
order.
(b) A traveler's check to which Subsection (a) applies is
presumed to be abandoned on the latest of:
(1) the 15th anniversary of the date on which the check was
issued;
(2) the 15th anniversary of the date on which the issuer of the
check last received from the owner of the check communication
concerning the check; or
(3) the 15th anniversary of the date of the last writing, on
file with the issuer, that indicates the owner's interest in the
check.
(c) A money order to which Subsection (a) applies is presumed to
be abandoned on the latest of:
(1) the seventh anniversary of the date on which the money order
was issued;
(2) the seventh anniversary of the date on which the issuer of
the money order last received from the owner of the money order
communication concerning the money order; or
(3) the seventh anniversary of the date of the last writing, on
file with the issuer, that indicates the owner's interest in the
money order.
Acts 1983, 68th Leg., p. 3593, ch. 576, Sec. 1, eff. Jan. 1,
1984. Amended by Acts 1985, 69th Leg., ch. 230, Sec. 10, eff.
Sept. 1, 1985; Acts 1997, 75th Leg., ch. 1037, Sec. 8, eff. Sept.
1, 1997; Acts 2001, 77th Leg., ch. 179, Sec. 1, eff. June 1,
2004.
Sec. 72.103. PRESERVATION OF PROPERTY. Notwithstanding any
other provision of this title except a provision of this section
or Section 72.1016 relating to a money order or a stored value
card, a holder of abandoned property shall preserve the property
and may not at any time, by any procedure, including a deduction
for service, maintenance, or other charge, transfer or convert to
the profits or assets of the holder or otherwise reduce the value
of the property. For purposes of this section, value is
determined as of the date of the last transaction or contact
concerning the property, except that in the case of a money
order, value is determined as of the date the property is
presumed abandoned under Section 72.102(c). If a holder imposes
service, maintenance, or other charges on a money order prior to
the time of presumed abandonment, such charges may not exceed the
amount of 50 cents per month for each month the money order
remains uncashed prior to the month in which the money order is
presumed abandoned.
Acts 1983, 68th Leg., p. 3594, ch. 576, Sec. 1, eff. Jan. 1,
1984. Amended by Acts 1985, 69th Leg., ch. 230, Sec. 11, eff.
Sept. 1, 1985; Acts 1997, 75th Leg., ch. 1037, Sec. 9, eff. Sept.
1, 1997; Acts 2001, 77th Leg., ch. 179, Sec. 2, eff. June 1,
2002.
Amended by:
Acts 2005, 79th Leg., Ch.
81, Sec. 4, eff. September 1, 2005.