House Bill hb0107e2

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                                    CS/CS/HB 107, Second Engrossed



  1                      A bill to be entitled

  2         An act relating to unclaimed property; revising

  3         provisions of ch. 717, F.S., to refer to

  4         property considered abandoned as unclaimed

  5         property; amending s. 717.101, F.S.; revising

  6         certain definitions; amending ss. 717.102,

  7         717.103, 717.1035, 717.104, 717.105, 717.107,

  8         717.108, 717.109, 717.1101, 717.111, 717.113,

  9         717.115, 717.116, 717.1201, 717.122, 717.125,

10         717.129, F.S.; changing references to property

11         from being abandoned to being unclaimed;

12         amending s. 717.106, F.S., to conform;

13         providing an additional criterion for certain

14         property in financial organizations being

15         presumed unclaimed; amending s. 717.112, F.S.,

16         to conform; providing a presumption that

17         certain intangible property is unclaimed under

18         certain circumstances; amending s. 717.117,

19         F.S., to conform; deleting a report

20         verification requirement; revising unclaimed

21         property report requirements; revising search

22         and notification requirements for inactive

23         accounts; amending s. 717.118, F.S., to

24         conform; revising certain notification

25         procedures; amending s. 717.119, F.S., to

26         conform; authorizing payment of unclaimed funds

27         by electronic transfer; deleting an

28         authorization to deduct reasonable fees from

29         certain sale proceeds; providing valuation and

30         remission of contents of safe-deposit boxes;

31         amending s. 717.122, F.S., to conform;


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                                    CS/CS/HB 107, Second Engrossed



  1         authorizing the department to dispose of

  2         certain property under certain circumstances;

  3         amending s. 717.123, F.S.; revising the

  4         disposition of funds held by the Department of

  5         Banking and Finance relating to unclaimed

  6         property; amending s. 717.124, F.S.; revising

  7         certain procedures for filing claims by owner's

  8         representatives and receiving and making

  9         payments to an owner or owner's representative;

10         amending s. 717.1241; revising resolution of

11         conflicting ownership claims between certain

12         persons; amending s. 717.1243, F.S.; revising

13         provisions for disposition of claims from small

14         estate accounts; creating s. 717.1315, F.S.;

15         providing for retention of certain records by

16         an owner's representative; providing

17         requirements; amending s. 717.132, F.S.;

18         providing for deposit of administrative fines

19         into the Unclaimed Property Trust Fund;

20         amending s. 717.135, F.S.; revising provisions

21         relating to unenforceability of certain

22         agreements to locate reported property;

23         requiring disclosure of certain information;

24         limiting certain recovery fees; specifying

25         agreement requirements; amending s. 717.138,

26         F.S.; authorizing the Department of Banking and

27         Finance to adopt rules for certain electronic

28         filings; amending s. 732.107, F.S.; revising

29         provisions relating to escheat of certain

30         property to the state; revising provisions

31         relating to entitlement to, procedures for


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                                    CS/CS/HB 107, Second Engrossed



  1         payment or assignment of, or distributions of

  2         certain proceeds; amending s. 215.965, F.S., to

  3         conform; amending s. 493.6101, F.S., to

  4         conform; amending s. 493.6102, F.S.; specifying

  5         nonapplication to certain persons; repealing s.

  6         717.137, F.S., relating to effect and

  7         application of certain provisions; providing an

  8         effective date.

  9

10  Be It Enacted by the Legislature of the State of Florida:

11

12         Section 1.  Subsections (8) through (18) of section

13  717.101, Florida Statutes, are renumbered as subsections (9)

14  through (19), respectively, a new subsection (8) is added to

15  said section, and renumbered subsections (13) and (15) are

16  amended, to read:

17         717.101  Definitions.--As used in this chapter, unless

18  the context otherwise requires:

19         (8)  "Due diligence" means the use of reasonable and

20  prudent methods under particular circumstances to locate

21  apparent owners of inactive accounts using the taxpayer

22  identification number or social security number, if known,

23  which may include, but are not limited to, using a nationwide

24  database, cross-indexing with other records of the holder,

25  mailing to the last known address unless the last known

26  address is known to be inaccurate, or engaging a licensed

27  agency or company capable of conducting such search and

28  providing updated addresses.

29         (13)(12)  "Last known address" means a description of

30  the location of the apparent owner sufficient for the purpose

31  of the delivery of mail. For the purposes of identifying,


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                                    CS/CS/HB 107, Second Engrossed



  1  reporting, and remitting property to the department which is

  2  presumed to be unclaimed, "last known address" includes any

  3  partial description of the location of the apparent owner

  4  sufficient to establish the apparent owner was a resident of

  5  this state at the time of last contact with the apparent owner

  6  or at the time the property became due and payable.

  7         (15)(14)  "Owner" means a depositor in the case of a

  8  deposit, a beneficiary in case of a trust other than a deposit

  9  in trust, a creditor, a claimant, or a payee in the case of

10  other intangible property, or a person having a legal or

11  equitable interest in property subject to this chapter or his

12  or her legal representative.

13         Section 2.  Subsection (1) of section 717.102, Florida

14  Statutes, is amended to read:

15         717.102  Property presumed unclaimed abandoned; general

16  rule.--

17         (1)  All intangible property, including any income or

18  increment thereon less any lawful charges, that is held,

19  issued, or owing in the ordinary course of the holder's

20  business and has remained unclaimed by the owner fails to

21  claim such property for more than 5 years after the property

22  it becomes payable or distributable is presumed unclaimed

23  abandoned, except as otherwise provided by this chapter.

24         Section 3.  Section 717.103, Florida Statutes, is

25  amended to read:

26         717.103  General rules for taking custody of intangible

27  unclaimed property.--Unless otherwise provided in this chapter

28  or by other statute of this state, intangible property is

29  subject to the custody of the department as unclaimed property

30  if the conditions leading to a presumption that the property

31


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                                    CS/CS/HB 107, Second Engrossed



  1  is unclaimed of abandonment as described in ss. 717.102 and

  2  717.105-717.116 are satisfied and:

  3         (1)  The last known address, as shown on the records of

  4  the holder, of the apparent owner is in this state;

  5         (2)  The records of the holder do not reflect the

  6  identity of the person entitled to the property, and it is

  7  established that the last known address of the person entitled

  8  to the property is in this state;

  9         (3)  The records of the holder do not reflect the last

10  known address of the apparent owner, and it is established

11  that:

12         (a)  The last known address of the person entitled to

13  the property is in this state; or

14         (b)  The holder is a domiciliary or a government or

15  governmental subdivision or agency of this state and has not

16  previously paid the property to the state of the last known

17  address of the apparent owner or other person entitled to the

18  property;

19         (4)  The last known address, as shown on the records of

20  the holder, of the apparent owner or other person entitled to

21  the property is in a state that does not provide by law for

22  the escheat or custodial taking of the property, or its

23  escheat or unclaimed property law is not applicable to the

24  property, and the holder is a domiciliary or a government or

25  governmental subdivision or agency of this state;

26         (5)  The last known address, as shown on the records of

27  the holder, of the apparent owner is in a foreign nation and

28  the holder is a domiciliary or a government or governmental

29  subdivision or agency of this state; or

30         (6)  The transaction out of which the property arose

31  occurred in this state, and;


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                                    CS/CS/HB 107, Second Engrossed



  1         (a)1.  The last known address of the apparent owner or

  2  other person entitled to the property is unknown; or

  3         2.  The last known address of the apparent owner or

  4  other person entitled to the property is in a state that does

  5  not provide by law for the escheat or custodial taking of the

  6  property, or its escheat or unclaimed property law is not

  7  applicable to the property; and

  8         (b)  The holder is a domiciliary of a state that does

  9  not provide by law for the escheat or custodial taking of the

10  property, or its escheat or unclaimed property law is not

11  applicable to the property.

12         Section 4.  Section 717.1035, Florida Statutes, is

13  amended to read:

14         717.1035  Property originated or issued by this state,

15  any political subdivision of this state, or any entity

16  incorporated, organized, created, or otherwise located in the

17  state.--

18         (1)  All intangible property, including, but not

19  limited to, any interest, dividend, or other earnings thereon,

20  less any lawful charges, held by a business association,

21  federal, state, or local government or governmental

22  subdivision, agency, or entity, or any other person or entity,

23  regardless of where the holder may be found, if the owner has

24  not claimed or corresponded in writing concerning the property

25  within 3 years after the date prescribed for payment or

26  delivery, is presumed to be unclaimed property abandoned and

27  subject to the custody of this state as such unclaimed

28  property if:

29         (a)  The last known address of the owner is unknown;

30  and

31


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                                    CS/CS/HB 107, Second Engrossed



  1         (b)  The person or entity originating or issuing the

  2  intangible property is this state or any political subdivision

  3  of this state, or the person or entity is incorporated,

  4  organized, created, or otherwise located in this state.

  5         (2)  The provisions of subsection (1) shall not apply

  6  to property which is or may be presumed unclaimed abandoned

  7  and subject to the custody of this state pursuant to any other

  8  provision of law containing a dormancy period different than

  9  that prescribed in subsection (1).

10         (3)  The provisions of subsection (1) shall apply to

11  all property held at the time of enactment, or at any time

12  thereafter, regardless of when such property became or becomes

13  presumptively unclaimed abandoned.

14         Section 5.  Subsections (1), (2), and (5) of section

15  717.104, Florida Statutes, are amended to read:

16         717.104  Traveler's checks and money orders.--

17         (1)  Subject to subsection (4), any sum payable on a

18  traveler's check that has been outstanding for more than 15

19  years after its issuance is presumed unclaimed abandoned

20  unless the owner, within 15 years, has communicated in writing

21  with the issuer concerning it or otherwise indicated an

22  interest as evidenced by a memorandum or other record on file

23  with prepared by an employee of the issuer.

24         (2)  Subject to subsection (4), any sum payable on a

25  money order or similar written instrument, other than a third

26  party bank check, that has been outstanding for more than 7

27  years after its issuance is presumed unclaimed abandoned

28  unless the owner, within 7 years, has communicated in writing

29  with the issuer concerning it or otherwise indicated an

30  interest as evidenced by a memorandum or other record on file

31  with prepared by an employee of the issuer.


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                                    CS/CS/HB 107, Second Engrossed



  1         (5)  Notwithstanding any other provision of this

  2  chapter, subsection (4) applies to sums payable on traveler's

  3  checks, money orders, and similar written instruments presumed

  4  unclaimed abandoned on or after February 1, 1965, except to

  5  the extent that those sums have been paid over to a state

  6  prior to January 1, 1974.

  7         Section 6.  Subsection (1) of section 717.105, Florida

  8  Statutes, is amended to read:

  9         717.105  Checks, drafts, and similar instruments issued

10  or certified by banking and financial organizations.--

11         (1)  Any sum payable on a check, draft, or similar

12  instrument, except those subject to ss. 717.104 and 717.115,

13  on which a banking or financial organization is directly

14  liable, including, but not limited to by way of illustration

15  and not limitation, a cashier's check or and a certified

16  check, which has been outstanding for more than 5 years after

17  it was payable or after its issuance if payable on demand, is

18  presumed unclaimed abandoned unless the owner, within 5 years,

19  has communicated in writing with the banking or financial

20  organization concerning it or otherwise indicated an interest

21  as evidenced by a memorandum or other record on file with

22  prepared by an employee of the banking or financial

23  organization.

24         Section 7.  Subsections (1) and (5) of section 717.106,

25  Florida Statutes, are amended to read:

26         717.106  Bank deposits and funds in financial

27  organizations.--

28         (1)  Any demand, savings, or matured time deposit with

29  a banking or financial organization, including deposits that

30  are automatically renewable, and any funds paid toward the

31  purchase of shares, a mutual investment certificate, or any


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                                    CS/CS/HB 107, Second Engrossed



  1  other interest in a banking or financial organization is

  2  presumed unclaimed abandoned unless the owner has, within 5

  3  years:

  4         (a)  In the case of a deposit, Increased or decreased

  5  the amount of the deposit or presented the passbook or other

  6  similar evidence of the deposit for the crediting of interest;

  7         (b)  Communicated in writing with the banking or

  8  financial organization concerning the property;

  9         (c)  Otherwise indicated an interest in the property as

10  evidenced by a memorandum or other record on file with

11  prepared by an employee of the banking or financial

12  organization;

13         (d)  Owned other property to which paragraph (a),

14  paragraph (b), or paragraph (c) is applicable and if the

15  banking or financial organization communicates in writing with

16  the owner with regard to the property that would otherwise be

17  presumed unclaimed abandoned under this subsection at the

18  address to which communications regarding the other property

19  regularly are sent; or

20         (e)  Had another relationship with the banking or

21  financial organization concerning which the owner has:

22         1.  Communicated in writing with the banking or

23  financial organization; or

24         2.  Otherwise indicated an interest as evidenced by a

25  memorandum or other record on file with prepared by an

26  employee of the banking or financial organization and if the

27  banking or financial organization communicates in writing with

28  the owner with regard to the property that would otherwise be

29  unclaimed abandoned under this subsection at the address to

30  which communications regarding the other relationship

31  regularly are sent; or.


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                                    CS/CS/HB 107, Second Engrossed



  1         (f)  Received first class mail from the banking or

  2  financial organization or a subsidiary of such banking or

  3  financial organization, which was not returned as

  4  undeliverable, in the ordinary course of business at the

  5  address reflected in the banking or financial organization's

  6  records.

  7         (5)  If the documents establishing a deposit described

  8  in subsection (1) state the address of a beneficiary of the

  9  deposit, and the account has a value of at least $50, notice

10  shall be given to the beneficiary as provided for notice to

11  the apparent owner under s. 717.117(4)(5). This subsection

12  shall apply to accounts opened on or after October 1, 1990.

13         Section 8.  Subsection (1) of section 717.107, Florida

14  Statutes, is amended to read:

15         717.107  Funds owing under life insurance policies.--

16         (1)  Funds held or owing under any life or endowment

17  insurance policy or annuity contract which has matured or

18  terminated are presumed unclaimed abandoned if unclaimed for

19  more than 5 years after the funds became due and payable as

20  established from the records of the insurance company holding

21  or owing the funds, but property described in paragraph (3)(b)

22  is presumed unclaimed abandoned if such property is not

23  claimed unclaimed for more than 2 years.

24         Section 9.  Section 717.108, Florida Statutes, is

25  amended to read:

26         717.108  Deposits held by utilities.--Any deposit,

27  including any interest thereon, made by a subscriber with a

28  utility to secure payment or any sum paid in advance for

29  utility services to be furnished, less any lawful charges,

30  that remains unclaimed by the owner for more than 1 year after

31


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                                    CS/CS/HB 107, Second Engrossed



  1  termination of the services for which the deposit or advance

  2  payment was made is presumed unclaimed abandoned.

  3         Section 10.  Section 717.109, Florida Statutes, is

  4  amended to read:

  5         717.109  Refunds held by business associations.--Except

  6  to the extent otherwise ordered by the court or administrative

  7  agency, any sum that a business association has been ordered

  8  to refund by a court or administrative agency which has not

  9  been claimed remained unclaimed by the owner for more than 1

10  year after it became payable in accordance with the final

11  determination or order providing for the refund, regardless of

12  whether the final determination or order requires any person

13  entitled to a refund to make a claim for it, is presumed

14  unclaimed abandoned.

15         Section 11.  Subsections (1), (2), (3), and (4) of

16  section 717.1101, Florida Statutes, are amended to read:

17         717.1101  Stock and other intangible interests in

18  business associations.--

19         (1)  Except as provided in subsections (2) and (5), any

20  stock or other intangible ownership interest in a business

21  association, the existence of which is evidenced by record

22  available to the association, is presumed unclaimed abandoned

23  and, with respect to the interest, the association is the

24  holder, if a dividend, distribution, or other sum payable as a

25  result of the interest is not claimed has for 5 years remained

26  unclaimed by the owner and the owner has not within 5 years:

27         (a)  Communicated in writing with the association or

28  its agent regarding the interest or a dividend, distribution,

29  or other sum payable as a result of the interest; or

30         (b)  Otherwise communicated with the association

31  regarding the interest or a dividend, distribution, or other


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                                    CS/CS/HB 107, Second Engrossed



  1  sum payable as a result of the interest, as evidenced by a

  2  memorandum or other record on file with the association or its

  3  agent prepared by an employee of the association or its agent.

  4         (2)  At the expiration of a 5-year period following the

  5  failure of the owner to claim a dividend, distribution, or

  6  other sum payable to the owner as a result of the interest,

  7  the interest shall not be presumed unclaimed abandoned unless

  8  there have been at least five dividends, distributions, or

  9  other sums paid during the period, none of which has been

10  claimed.  If five dividends, distributions, or other sums are

11  paid during the 5-year period, the period leading to a

12  presumption that the interest is unclaimed of abandonment

13  commences on the date payment of the first such unclaimed

14  dividend, distribution, or other sum became due and payable.

15  If five dividends, distributions, or other sums are not paid

16  during the presumptive period, the period continues to run

17  until there have been five consecutive dividends,

18  distributions, or other sums that have not been claimed by the

19  owner.

20         (3)  The running of such the 5-year period of

21  abandonment ceases immediately upon the occurrence of one or

22  more of the conditions referred to in subsection (1).  If any

23  future dividend, distribution, or other sum payable to the

24  owner as a result of the interest is subsequently not claimed

25  by the owner, a new period in which the property is presumed

26  unclaimed of abandonment commences and relates back only to

27  the time a subsequent dividend, distribution, or other sum

28  became due and payable.

29         (4)  At the same time any interest is presumed

30  unclaimed abandoned under this section, any dividend,

31  distribution, or other sum then held for or owing to the owner


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                                    CS/CS/HB 107, Second Engrossed



  1  as a result of the interest, and not previously presumed

  2  abandoned, is presumed unclaimed abandoned.

  3         Section 12.  Section 717.111, Florida Statutes, is

  4  amended to read:

  5         717.111  Property of business associations held in

  6  course of dissolution.--All intangible property distributable

  7  in the course of a voluntary or involuntary dissolution of a

  8  business association which is not claimed remains unclaimed by

  9  the owner for more than 6 months after the date specified for

10  final distribution is presumed unclaimed abandoned.

11         Section 13.  Subsection (1) of section 717.112, Florida

12  Statutes, is amended, and subsection (5) is added to said

13  section, to read:

14         717.112  Property held by agents and fiduciaries.--

15         (1)  All intangible property and any income or

16  increment thereon held in a fiduciary capacity for the benefit

17  of another person is presumed unclaimed abandoned unless the

18  owner has within 5 years after it has become payable or

19  distributable increased or decreased the principal, accepted

20  payment of principal or income, communicated concerning the

21  property, or otherwise indicated an interest as evidenced by a

22  memorandum or other record on file with prepared by the

23  fiduciary or an employee of the fiduciary.

24         (5)  All intangible property, and any income or

25  increment thereon, issued by a government or governmental

26  subdivision or agency, public corporation, or public authority

27  and held in an agency capacity for the governmental

28  subdivision, agency, public corporation, or public authority

29  for the benefit of the owner of record, is presumed unclaimed

30  unless the owner has, within 1 year after such property has

31  become payable or distributable, increased or decreased the


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                                    CS/CS/HB 107, Second Engrossed



  1  principal, accepted payment of the principal or income,

  2  communicated concerning the property, or otherwise indicated

  3  an interest in the property as evidenced by a memorandum or

  4  other record on file with the fiduciary.

  5         Section 14.  Section 717.113, Florida Statutes, is

  6  amended to read:

  7         717.113  Property held by courts and public

  8  agencies.--All intangible property held for the owner by any

  9  court, government or governmental subdivision or agency,

10  public corporation, or public authority that has not been

11  claimed remained unclaimed by the owner for more than 1 year

12  after it became payable or distributable is presumed unclaimed

13  abandoned. Notwithstanding the provisions of this section,

14  funds deposited in the Minerals Trust Fund pursuant to s.

15  377.247 are presumed unclaimed abandoned only if the funds

16  have not been claimed remained unclaimed by the owner for more

17  than 5 years after from the date of first production from the

18  well.

19         Section 15.  Section 717.115, Florida Statutes, is

20  amended to read:

21         717.115  Wages.--Unpaid wages, including wages

22  represented by unpresented payroll checks, owing in the

23  ordinary course of the holder's business that have not been

24  claimed remained unclaimed by the owner for more than 1 year

25  after becoming payable are presumed unclaimed abandoned.

26         Section 16.  Section 717.116, Florida Statutes, is

27  amended to read:

28         717.116  Contents of safe-deposit box or other

29  safekeeping repository.--All tangible and intangible property

30  held in a safe-deposit box or any other safekeeping repository

31  in this state in the ordinary course of the holder's business,


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                                    CS/CS/HB 107, Second Engrossed



  1  and proceeds resulting from the sale of the property permitted

  2  by law, that has not been claimed remain unclaimed by the

  3  owner for more than 3 years after the lease or rental period

  4  on the box or other repository has expired are presumed

  5  unclaimed abandoned.

  6         Section 17.  Section  717.117, Florida Statutes, is

  7  amended to read:

  8         717.117  Report of unclaimed abandoned property.--

  9         (1)  Every person holding funds or other property,

10  tangible or intangible, presumed unclaimed abandoned and

11  subject to custody as unclaimed property under this chapter

12  shall report to the department on such forms as the department

13  may prescribe by rule with respect to the property as provided

14  in this section.  In lieu of forms, the holder may submit the

15  required information via electronic medium as the department

16  may prescribe by rule.

17         (2)  The report shall be verified. Verification of a

18  private corporation or unincorporated association shall be

19  made by an officer; of a partnership, by a partner; and of a

20  public corporation, by its chief fiscal officer. The report

21  must include:

22         (a)  Except for with respect to traveler's checks and

23  money orders, the name, and social security number or taxpayer

24  federal employer identification number, and date of birth, if

25  known, and last known address, if any, of each person

26  appearing from the records of the holder to be the owner of

27  any property which is presumed unclaimed and which has of a

28  value of $50 or more presumed abandoned under this chapter.

29         (b)  For In the case of unclaimed funds which have a

30  value of $50 or more held or owing under any life or endowment

31  insurance policy or annuity contract, the full name, taxpayer


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                                    CS/CS/HB 107, Second Engrossed



  1  social security number, or federal employer identification

  2  number or social security number, date of birth, if known, and

  3  last known address of the insured or annuitant and of the

  4  beneficiary according to records of the insurance company

  5  holding or owing the funds.

  6         (c)  For all tangible property held in the case of the

  7  contents of a safe-deposit box or other safekeeping repository

  8  or in the case of other tangible property, a description of

  9  the property and the place where the property it is held and

10  may be inspected by the department, and any amounts owing to

11  the holder. Contents of a safe-deposit box or other

12  safekeeping repository which consist of documents or writings

13  of a private nature and which have little or no apparent value

14  shall not be presumed unclaimed abandoned.

15         (d)  The nature and identifying number, if any, or

16  description of the property and the amount appearing from the

17  records to be due., but Items of value under $50 each may be

18  reported in the aggregate.

19         (e)  The date the property became payable, demandable,

20  or returnable, and the date of the last transaction with the

21  apparent owner with respect to the property.

22         (f)  Any person or business entity holding funds

23  presumed unclaimed and having abandoned of a total value of

24  $10 or less may file a zero balance negative or nothing-owed

25  report for that reporting period.  The balance brought forward

26  to the new reporting period is zero.

27         (g)  Such other information as which the department may

28  prescribe prescribes by rule as necessary for the

29  administration of this chapter.

30

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                                    CS/CS/HB 107, Second Engrossed



  1         (h)  Credit balances, customer overpayments, security

  2  deposits, and refunds having a value of less than $10 shall

  3  not be presumed unclaimed abandoned.

  4         (2)(3)  If the holder of person holding property

  5  presumed unclaimed abandoned and subject to custody as

  6  unclaimed property is a successor holder to other persons who

  7  previously held the property for the apparent owner or if the

  8  holder has changed the holder's his or her name while in

  9  possession of holding the property, the holder he or she shall

10  file with the holder's his or her report all known names and

11  addresses of each prior previous holder of the property.

12  Compliance with this subsection means the holder exercises

13  reasonable and prudent efforts to determine the names of all

14  prior holders.

15         (3)(4)  The report must be filed before May 1 of each

16  year.  Such report shall apply to the preceding calendar year.

17  If such report is not filed on or before the applicable filing

18  date, the holder shall pay to the department a penalty of $10

19  per day for each day the report is delinquent, but such

20  penalty shall not exceed $500. As necessary for proper

21  administration of this chapter, the department may waive any

22  penalty due with appropriate justification.  On written

23  request by any person required to file a report, the

24  department may postpone the reporting date.

25         (4)(5)  Holders of inactive accounts shall use due

26  diligence to locate apparent owners. Not more than 120 days

27  prior to filing the report required by this section, the

28  holder in possession of property presumed abandoned and

29  subject to custody as unclaimed property under this chapter

30  shall send written notice to the apparent owner at his or her

31


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                                    CS/CS/HB 107, Second Engrossed



  1  last known address informing him or her that the holder is in

  2  possession of property subject to this chapter if:

  3         (a)  When an owner's account becomes inactive, the

  4  holder shall conduct at least one search for the apparent

  5  owner using due diligence. For purposes of this section,

  6  except for banks, credit unions, and state or federal savings

  7  associations, an account is inactive if 2 years have

  8  transpired after the last owner-initiated account activity, if

  9  2 years have transpired after the expiration date on the

10  instrument or contract, or if 2 years have transpired since

11  first-class mail has been returned as undeliverable. With

12  respect to banks, credit unions, and state or federal savings

13  associations, an account is inactive if 2 years have

14  transpired after the last owner-initiated account activity and

15  first-class mail has been returned as undeliverable or 2 years

16  after the expiration date on the instrument or contract and

17  first-class mail has been returned as undeliverable.

18         1.  Within 180 days after an account becomes inactive,

19  the holder shall conduct a search to locate the apparent owner

20  of the property. The holder may satisfy such requirement by

21  conducting one annual search for the owners of all accounts

22  which have become inactive during the prior year.

23         2.  Within 30 days after receiving updated address

24  information, the holder shall provide notice by telephone or

25  first-class mail to the current address notifying the apparent

26  owner that the holder is in possession of property which is

27  presumed unclaimed and may be remitted to the department. The

28  notice shall also provide the apparent owner with the address

29  or the telephone number of an office where the apparent owner

30  may claim the property or reestablish the inactive account.

31  The holder has in its records an address for the apparent


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                                    CS/CS/HB 107, Second Engrossed



  1  owner which the holder's records do not disclose to be

  2  inaccurate.

  3         (b)  The claim of the apparent owner is not barred by

  4  the statute of limitations.

  5         (5)(6)  Any holder of intangible property may file with

  6  the department a petition for determination that the property

  7  is unclaimed abandoned requesting the department to accept

  8  custody of the property.  The petition shall state any special

  9  circumstances that exist, contain the information required by

10  subsection (2), and show that a diligent search has been made

11  to locate the owner.  If the department finds that the proof

12  of diligent search is satisfactory, it shall give notice as

13  provided in s. 717.118 and accept custody of the property.

14         (6)(7)  Upon On written request by any entity or person

15  required to file a report, stating such entity's or person's

16  their justification for such action, the department may place

17  that entity or person in an inactive status as an unclaimed

18  abandoned property "holder."

19         (7)(8)  This section shall not apply to the unclaimed

20  patronage refunds as provided for by contract or through bylaw

21  provisions of entities organized under chapter 425.

22         Section 18.  Section 717.118, Florida Statutes, is

23  amended to read:

24         717.118  Notice and publication of lists of unclaimed

25  abandoned property.--

26         (1)  It is specifically recognized that the state has

27  an obligation to make an effort to notify owners of unclaimed

28  abandoned property in a cost-effective manner. In order to

29  provide all the citizens of this state an effective and

30  efficient program for the recovery of unclaimed abandoned

31  property, the department shall use cost-effective means to


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                                    CS/CS/HB 107, Second Engrossed



  1  make at least one active a single attempt to notify owners of

  2  the existence of unclaimed abandoned property held by the

  3  department. Such active attempt to locate apparent owners

  4  shall include any attempt by the department to directly

  5  contact the owner.  Other The means of notification, such as

  6  publication of the names of owners in the newspaper, on

  7  television, on the Internet, or through other promotional

  8  efforts and items in which the department does not directly

  9  attempt to contact the owner are expressly declared to be

10  passive attempts. Nothing in this subsection precludes other

11  agencies or entities of state government from notifying owners

12  of the existence of unclaimed property or attempting to locate

13  apparent owners of unclaimed property. may include post,

14  print, visual, telecommunications, or electronic media.

15  Publication of the names of owners on the Internet is not an

16  attempt to notify owners under this subsection. The department

17  shall implement such notification within 13 months following

18  the receipt of the report required by s. 717.117.

19         (2)  The following notification requirements shall

20  apply:

21         (a)  Notifications that are published or televised may

22  shall consist of the names of apparent owners of unclaimed

23  abandoned property, listed in alphabetical order, and

24  information regarding recovery of unclaimed abandoned property

25  from the department. Such notification may shall be televised

26  or published in the county in which the last known address of

27  the apparent owner is located or, if the address is unknown,

28  in the county in which the holder has its principal place of

29  business. Published notifications may must be in accordance

30  with s. 50.011.

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                                    CS/CS/HB 107, Second Engrossed



  1         (b)  Notification provided directly to individual

  2  apparent owners shall consist of a description of the property

  3  and information regarding recovery of unclaimed abandoned

  4  property from the department.

  5         (3)  The department may shall publish in the notice any

  6  items of more than $100.

  7         (4)  This section is not applicable to sums payable on

  8  traveler's checks, money orders, and other written instruments

  9  presumed unclaimed abandoned under s. 717.104.

10         Section 19.  Section 717.119, Florida Statutes, is

11  amended to read:

12         717.119  Payment or delivery of unclaimed abandoned

13  property.--

14         (1)  Every person who is required to file a report

15  under s. 717.117 shall simultaneously pay or deliver to the

16  department all unclaimed abandoned property required to be

17  reported.  Such payment or delivery shall accompany the report

18  as required in this chapter for the preceding calendar year.

19         (2)  Payment of unclaimed funds may be made to the

20  department by electronic funds transfer.

21         (3)(2)  If the owner establishes the right to receive

22  the unclaimed abandoned property to the satisfaction of the

23  holder before the property has been delivered to the

24  department or it appears that for some other reason the

25  presumption that the property is unclaimed of abandonment is

26  erroneous, the holder need not pay or deliver the property to

27  the department., which will no longer be presumed abandoned,

28  but In lieu of delivery, the holder thereof shall file a

29  verified written explanation of the proof of claim or of the

30  error in the presumption that the property was unclaimed of

31  abandonment.


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                                    CS/CS/HB 107, Second Engrossed



  1         (4)(3)  All stock or other intangible ownership

  2  interest reported under this chapter on the annual report

  3  filing required in s. 717.117 shall be sold and the proceeds

  4  remitted to the department with the report.  Reasonable fees

  5  within the industry's standards may be deducted from the

  6  proceeds for the costs of selling the stock or other

  7  intangible ownership interest.  Upon delivery of the stock or

  8  other intangible ownership interest net proceeds to the

  9  department, the holder and any transfer agent, registrar, or

10  other person acting for or on behalf of a holder is relieved

11  of all liability of every kind in accordance with the

12  provisions of s. 717.1201 to every person for any losses or

13  damages resulting to the person by the sale and delivery to

14  the department of the stock or other intangible ownership

15  interest net proceeds.

16         (5)(4)  All intangible and tangible property held in a

17  safe-deposit box or any other safekeeping repository reported

18  under s. 717.117 shall not be delivered to the department

19  until 120 days after the report due date. Holders may remit

20  the value of cash and coins found in unclaimed safe-deposit

21  boxes to the department by cashier's check or by electronic

22  funds transfer, unless the cash or coins have a value above

23  face value.  The department shall identify by rule those cash

24  and coin items having a numismatic value. Cash and coin items

25  identified as having a numismatic value shall be remitted to

26  the department in their original form.

27         (a)  If such property is not paid or delivered to the

28  department filed on or before the applicable payment or

29  delivery filing date, the holder shall pay to the department a

30  penalty of $10 for each safe-deposit box received late, but

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                                    CS/CS/HB 107, Second Engrossed



  1  such penalty shall not exceed $1,000. As necessary for proper

  2  administration of this chapter,

  3         (b)  The department may waive any penalty due with

  4  appropriate justification, as provided by rule.

  5         (c)  Upon On written request by any person required to

  6  deliver safe-deposit box contents, the department may postpone

  7  the delivery.

  8         (6)(5)  Any holder may request an extension in writing

  9  of up to 60 days for the delivery of property if extenuating

10  circumstances exist for the late delivery of the property.

11  Any such extension, and the department may grant shall be such

12  an extension in writing.

13         Section 20.  Subsection (6) of section 717.1201,

14  Florida Statutes, is amended to read:

15         717.1201  Custody by state; holder relieved from

16  liability; reimbursement of holder paying claim; reclaiming

17  for owner; defense of holder; payment of safe-deposit box or

18  repository charges.--

19         (6)  For the purposes of this section, "good faith"

20  means that:

21         (a)  Payment or delivery was made in a reasonable

22  attempt to comply with this chapter.

23         (b)  The person delivering the property was not a

24  fiduciary then in breach of trust in respect to the property

25  and had a reasonable basis for believing, based on the facts

26  then known to that person, that the property was unclaimed

27  abandoned for the purposes of this chapter.

28         (c)  There is no showing that the records pursuant to

29  which the delivery was made did not meet reasonable commercial

30  standards of practice in the industry.

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                                    CS/CS/HB 107, Second Engrossed



  1         Section 21.  Subsections (1), (2), and (3) of section

  2  717.122, Florida Statutes, are amended to read:

  3         717.122  Public sale of unclaimed abandoned property.--

  4         (1)  Except as provided in subsection (2), the

  5  department after the receipt of unclaimed abandoned property

  6  shall sell it to the highest bidder at public sale wherever in

  7  whatever city in the state affords in the judgment of the

  8  department the most favorable market for the property involved

  9  exists.  The department may decline the highest bid and

10  reoffer the property for sale if in the judgment of the

11  department the bid is insufficient.  The department shall have

12  the discretion to withhold from sale any unclaimed abandoned

13  property that the department deems to be of benefit to the

14  people of the state.  If in the judgment of the department the

15  probable cost of sale exceeds the value of the property, it

16  need not be offered for sale and may be disposed of as the

17  department determines appropriate.  Any sale held under this

18  section must be preceded by a single publication of notice, at

19  least 3 weeks in advance of sale, in a newspaper of general

20  circulation in the county in which the property is to be sold.

21         (2)  Securities listed on an established stock exchange

22  must be sold at prices prevailing at the time of sale on the

23  exchange.  Other securities may be sold over the counter at

24  prices prevailing at the time of sale or by any other method

25  the department deems advisable.  The department may authorize

26  the agent or broker acting on behalf of the department to

27  deduct fees from the proceeds of these sales at a rate agreed

28  upon in advance by the agent or broker and the department.

29  The department shall reimburse owners accounts for these

30  brokerage fees from the State School Fund unless the

31  securities are sold at the owner's request.


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                                    CS/CS/HB 107, Second Engrossed



  1         (3)  Unless the department deems it to be in the public

  2  interest to do otherwise, all securities presumed unclaimed

  3  abandoned and delivered to the department may be sold upon

  4  receipt.  Any person making a claim pursuant to this chapter

  5  is entitled to receive either the securities delivered to the

  6  department by the holder, if they still remain in the hands of

  7  the department, or the proceeds received from sale, less any

  8  amounts deducted pursuant to subsection (2) s. 717.123, but no

  9  person has any claim under this chapter against the state, the

10  holder, any transfer agent, any registrar, or any other person

11  acting for or on behalf of a holder for any appreciation in

12  the value of the property occurring after delivery by the

13  holder to the state.

14         Section 22.  Section 717.123, Florida Statutes, is

15  amended to read:

16         717.123  Deposit of funds.--

17         (1)  All funds received under this chapter, including

18  the proceeds from the sale of unclaimed abandoned property

19  under s. 717.122, shall forthwith be deposited by the

20  department in the Unclaimed Property Trust State School Fund.,

21  except that The department shall retain, from funds received

22  under this chapter, in a separate account an amount not

23  exceeding $8 $3 million from which the department it shall

24  make prompt payment of claims allowed by the department and

25  shall pay the it. costs incurred by the department in

26  administering and enforcing this chapter. All remaining funds

27  received by the department under this chapter shall be

28  deposited by the department into the shall be reimbursed from

29  the State School Fund.

30         (2)  The department shall record the name and last

31  known address of each person appearing from the holder's


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                                    CS/CS/HB 107, Second Engrossed



  1  reports to be entitled to the unclaimed abandoned property in

  2  the total amounts of $5 or greater; the name and the last

  3  known address of each insured person or annuitant; and with

  4  respect to each policy or contract listed in the report of an

  5  insurance corporation, its number, the name of the

  6  corporation, and the amount due.

  7         Section 23.  Subsection (5) of section 717.124, Florida

  8  Statutes, is amended to read:

  9         717.124  Filing of claim with department.--

10         (5)(a)  If an owner authorizes a claimant assigns his

11  or her rights to receive payment to an attorney,

12  Florida-certified public accountant, or private investigative

13  agency which is duly licensed to do business in this state to

14  claim the unclaimed property on the owner's behalf pursuant to

15  a written agreement with such claimant, the department is

16  authorized to make distribution of the property or money in

17  accordance with such power of attorney assignment.

18         (b)1.  Payments of approved claims for unclaimed cash

19  accounts shall be made to the owner after deducting any fees

20  authorized pursuant to a written power of attorney.

21         2.  Payments of fees authorized pursuant to a written

22  power of attorney for approved cash claims shall be forwarded

23  to the designated attorney, Florida-certified public

24  accountant, or private investigative agency. Such payments may

25  be made by electronic funds transfer and may be made on such

26  periodic schedule as the department may define by rule,

27  provided the payment intervals do not exceed 31 days.

28         3.  Payments of approved claims for unclaimed

29  securities and other intangible ownership interests made to an

30  attorney, Florida-certified public accountant, or private

31  investigative agency shall be promptly deposited into a trust


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                                    CS/CS/HB 107, Second Engrossed



  1  or escrow account which is regularly maintained by the

  2  attorney, Florida-certified public accountant, or the private

  3  investigative agency in a financial institution authorized to

  4  accept such deposits and located in this state.

  5         (c)  Distribution of unclaimed property by the

  6  attorney, Florida-certified public accountant, or private

  7  investigative agency to the claimant shall be made within 10

  8  days following final credit of the deposit into the trust or

  9  escrow account at the financial institution, unless a party to

10  the agreement protests in writing such distribution before it

11  is made.

12         (6)(d)  The department shall not be civilly or

13  criminally liable for any property or funds distributed

14  pursuant to this section subsection, provided such

15  distribution is made in good faith.

16         Section 24.  Subsection (1) of section 717.1241,

17  Florida Statutes, is amended to read:

18         717.1241  Conflicting claims.--

19         (1)  When ownership has been established but

20  conflicting claims have been received by filed, the

21  department, shall remit the property shall be remitted to the:

22         (a)  Person submitting the first claim received by the

23  department;

24         (b)  Owner if an owner's claim and an owner's

25  representative's claim are received by the department on the

26  same day; or

27         (c)  Owner's representative who has the earliest dated

28  contract with the owner if claims by two or more owner's

29  representatives are received by the department on the same day

30  as follows:

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                                    CS/CS/HB 107, Second Engrossed



  1         (a)  If both the owner and the owner's representative

  2  file claims for the same property:

  3         1.  To the owner, if the owner has appointed the

  4  owner's representative as the owner's attorney in fact but has

  5  not irrevocably assigned the unclaimed property in whole or in

  6  part to the owner's representative; or

  7         2.  To the owner's representative pursuant to s.

  8  717.124 if the owner has irrevocably assigned the unclaimed

  9  property in whole or in part to the owner's representative.

10         (b)  To the owner's representative who first executed a

11  contract with the owner more than 12 months after the property

12  has been reported to the department, unless paragraph (a)

13  applies;

14         (c)  To the owner's representative who first executed a

15  contract with the owner within 12 months after the property

16  has been reported to the department, unless paragraph (a) or

17  paragraph (b) applies.

18         Section 25.  Section 717.1243, Florida Statutes, is

19  amended to read:

20         717.1243  Small estate accounts Transfer of unclaimed

21  property by operation of law.--When A claim for unclaimed

22  property is made by a beneficiary, as defined in s. 731.201,

23  an heir of a deceased an owner who died intestate need, it

24  shall not be accompanied by necessary to accompany the claim

25  with an order of a probate court if the claimant files with

26  the department an affidavit, signed by all beneficiaries,

27  stating that all the beneficiaries heirs have amicably agreed

28  among themselves upon a division of the estate, that the

29  assets of the estate of the owner, excluding the unclaimed

30  property, are sufficient to pay all just claims, and that all

31  funeral expenses, expenses of the last illness, and any other


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                                    CS/CS/HB 107, Second Engrossed



  1  lawful claims have been paid no probate proceedings have been

  2  instituted upon the estate. If the owner died dies testate but

  3  the will is not probated, the claim shall be accompanied by a

  4  certified copy of the will and an affidavit stating that the

  5  assets of the estate of the owner, excluding the unclaimed

  6  property, are sufficient to pay all just claims and that no

  7  probate proceedings have been instituted upon the estate.

  8         (2)  Each person receiving property under this section

  9  shall be personally liable for all lawful claims against the

10  estate of the owner, but only to the extent of the value of

11  the property received by such person under this section,

12  exclusive of the property exempt from claims of creditors

13  under the constitution and laws of this state.

14         (3)  Any heir or devisee of the owner, who was lawfully

15  entitled to share in the property but did not receive his or

16  her share of the property, may enforce his or her rights in

17  appropriate proceedings against those who received the

18  property and shall be awarded taxable costs as in chancery

19  actions, including attorney's fees.

20         (4)  This section only applies if all of the unclaimed

21  property held by the department on behalf of the owner has an

22  aggregate value of $5,000 $1,000 or less and no probate

23  proceeding is pending.

24         Section 26.  Subsections (1) and (2) of section

25  717.125, Florida Statutes, are amended to read:

26         717.125  Claim of another state to recover property;

27  procedure.--

28         (1)  At any time after property has been paid or

29  delivered to the department under this chapter, another state

30  may recover the property if:

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                                    CS/CS/HB 107, Second Engrossed



  1         (a)  The property was subjected to custody by this

  2  state because the records of the holder did not reflect the

  3  last known address of the apparent owner when the property was

  4  presumed unclaimed abandoned under this chapter, and the other

  5  state establishes that the last known address of the apparent

  6  owner or other person entitled to the property was in that

  7  state and under the laws of that state the property escheated

  8  to or was subject to a claim of abandonment or being unclaimed

  9  by that state;

10         (b)  The last known address of the apparent owner or

11  other person entitled to the property, as reflected by the

12  records of the holder, is in the other state and under the

13  laws of that state the property has escheated to or become

14  subject to a claim of abandonment by that state;

15         (c)  The records of the holder were erroneous in that

16  they did not accurately reflect the actual owner of the

17  property and the last known address of the actual owner is in

18  the other state and under laws of that state the property

19  escheated to or was subject to a claim of abandonment by that

20  state;

21         (d)  The property was subject to custody by this state

22  under s. 717.103(6) and under the laws of the state of

23  domicile of the holder the property has escheated to or become

24  subject to a claim of abandonment by that state; or

25         (e)  The property is the sum payable on a traveler's

26  check, money order, or other similar instrument that was

27  subjected to custody by this state under s. 717.104, and the

28  instrument was purchased in the other state, and under the

29  laws of that state the property escheated to or became subject

30  to a claim of abandonment by that state.

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                                    CS/CS/HB 107, Second Engrossed



  1         (2)  The claim of another state to recover escheated or

  2  unclaimed abandoned property under this section must be

  3  presented in a form prescribed by the department, and the

  4  department shall determine the claim within 90 days after it

  5  is presented.  Such determination shall contain a notice of

  6  rights provided by ss. 120.569 and 120.57.

  7         Section 27.  Subsection (1) of section 717.129, Florida

  8  Statutes, is amended to read:

  9         717.129  Periods of limitation.--

10         (1)  The expiration before or after July 1, 1987, of

11  any period of time specified by contract, statute, or court

12  order, during which a claim for money or property may be made

13  or during which an action or proceeding may be commenced or

14  enforced to obtain payment of a claim for money or to recover

15  property, does not prevent the money or property from being

16  presumed unclaimed abandoned or affect any duty to file a

17  report or to pay or deliver unclaimed abandoned property to

18  the department as required by this chapter.

19         Section 28.  Section 717.1315, Florida Statutes, is

20  created to read:

21         717.1315  Retention of records by owner's

22  representative.--

23         (1)  Every owner's representative shall keep and use in

24  his or her business such books, accounts, and records of the

25  business conducted under this chapter to enable the department

26  to determine whether such owner's representative is complying

27  with this chapter and the rules adopted by the department

28  under this chapter. Every owner's representative shall

29  preserve such books, accounts, and records, including every

30  agreement between the owner and such owner's representative,

31  for at least 3 years after the date of the initial agreement.


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                                    CS/CS/HB 107, Second Engrossed



  1         (2)  An owner's representative, operating at two or

  2  more places of business in this state, may maintain the books,

  3  accounts, and records of all such offices at any one of such

  4  offices, or at any other office maintained by such owner's

  5  representative, upon the filing of a written notice with the

  6  department designating in the written notice the office at

  7  which such records are maintained. However, the owner's

  8  representative shall make all books, accounts, and records

  9  available at a convenient location in this state upon request

10  of the department.

11         Section 29.  Subsection (3) of section 717.132, Florida

12  Statutes, is amended to read:

13         717.132  Enforcement; cease and desist orders;

14  administrative fines.--

15         (3)  In addition to any other powers conferred upon it

16  to enforce and administer the provisions of this chapter, the

17  department may impose and collect an administrative fine

18  against any person found to have violated any provision of

19  this chapter, any rule or order promulgated under this

20  chapter, or any written agreement entered into with the

21  department in an amount not to exceed $2,000 for each

22  violation. All fines collected under this subsection shall be

23  deposited as received in the Unclaimed Property Trust Fund.

24         Section 30.  Section 717.135, Florida Statutes, is

25  amended to read:

26         717.135  Agreement to locate reported property.--

27         (1)  All agreements between an owner's representative

28  and an owner for to pay compensation to recover or assist in

29  the recovery of property reported to the department under s.

30  717.117 shall either:

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                                    CS/CS/HB 107, Second Engrossed



  1         (a)  Limit the fees for services for each owner

  2  contract to $25 for all contracts relating to unclaimed

  3  property with a dollar value below $250.  For all contracts

  4  relating to unclaimed property with a dollar value of $250 and

  5  above, fees shall be limited to 15 percent on property held by

  6  the department for 24 months or less and 25 percent on

  7  property held by the department for more than 24 months. Fees

  8  for cash accounts shall be based on the value of the property

  9  at the time the agreement for recovery is signed by the

10  apparent owner. Fees for accounts containing securities or

11  other intangible ownership interests, which securities or

12  interests are not converted to cash, shall be based on the

13  purchase price of the security as quoted on a national

14  exchange or other market on which the ownership interest is

15  regularly traded at the time the securities or other ownership

16  interest is remitted to the owner or the owner's

17  representative. Fees for tangible property or safe-deposit box

18  accounts shall be based on the value of the tangible property

19  or contents of the safe-deposit box at the time the ownership

20  interest is transferred or remitted to the owner or the

21  owner's representative; or

22         (b)  Disclose that the property is held by the

23  Department of Banking and Finance pursuant to chapter 717, the

24  person or name of the entity that held the property prior to

25  the property becoming unclaimed, the date of the holder's last

26  contact with the owner, if known, and the approximate value of

27  the property, and identify which of the following categories

28  of unclaimed property the owner's representative is seeking to

29  recover:

30         1.  Cash accounts.

31         2.  Stale dated checks.


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                                    CS/CS/HB 107, Second Engrossed



  1         3.  Life insurance or annuity contract assets.

  2         4.  Utility deposits.

  3         5.  Securities or other interests in business

  4  associations.

  5         6.  Wages.

  6         7.  Accounts receivable.

  7         8.  Contents of safe-deposit boxes

  8

  9  be unenforceable if made within 90 days after attempted

10  notification by the department or within 12 months after such

11  property is reported, whichever occurs first. However, this

12  section shall not apply to contracts made in connection with

13  guardianship proceedings or the probate of an estate.

14         (2)(a)  Agreements for recovery of cash accounts shall

15  state the dollar value of the unclaimed property account to be

16  paid to the owner and shall also state the dollar value of

17  compensation to be paid to the owner's representative.

18         (b)  Agreements for recovery of accounts containing

19  securities, safe-deposit box accounts, other intangible or

20  tangible ownership interests, or other types of accounts,

21  except cash accounts, shall state the approximate value of the

22  unclaimed property and the percentage value of compensation to

23  be paid to the owner's representative.

24         (c)  All agreements shall include the name, address,

25  and professional license number of the owner's representative,

26  and, if available, the taxpayer identification number or

27  social security number and telephone number of the owner. All

28  such agreements to pay compensation shall be signed by the

29  owner of the property and shall be filed by the owner's

30  representative with the claim form. All agreements and/or

31  powers of attorney entered into pursuant to subsection (1)


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                                    CS/CS/HB 107, Second Engrossed



  1  shall contain the following statement directly above the

  2  signature in no less than 6-point bold type:  "THIS AGREEMENT

  3  TO PAY COMPENSATION TO RECOVER ABANDONED PROPERTY REPORTED TO

  4  THE STATE OF FLORIDA IS UNENFORCEABLE IF MADE WITHIN 90 DAYS

  5  AFTER THE ATTEMPTED NOTIFICATION OR WITHIN 12 MONTHS AFTER

  6  SUCH PROPERTY IS REPORTED, WHICHEVER OCCURS FIRST." Any

  7  agreement which does not contain this statement shall be

  8  unenforceable.

  9         Section 31.  Section 717.138, Florida Statutes, is

10  amended to read:

11         717.138  Rulemaking authority.--The Department of

12  Banking and Finance shall administer and provide for the

13  enforcement of this chapter. The department has authority to

14  adopt rules pursuant to ss. 120.536(1) and 120.54 to implement

15  the provisions of this chapter. The department may adopt rules

16  to allow for electronic filing of fees, forms, and reports

17  required by this chapter.

18         Section 32.  Section 732.107, Florida Statutes, is

19  amended to read:

20         732.107  Escheat.--

21         (1)  When a person dies, leaving an estate dies without

22  being survived by any person entitled to a part of it, such

23  part the property shall escheat to the state.

24         (2)(a)  In this event, or when doubt exists about the

25  existence of any person entitled to the estate, the personal

26  representative shall institute a proceeding for the

27  determination of beneficiaries, as provided in this code,

28  within 1 year after letters have been issued to him or her,

29  and notice shall be served on the Department of Legal Affairs.

30  If the personal representative fails to institute the

31


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                                    CS/CS/HB 107, Second Engrossed



  1  proceeding within the time fixed, it may be instituted by the

  2  Department of Legal Affairs.

  3         (b)  On or before January 15 of each year, each court

  4  shall furnish to the department a list of all estates being

  5  administered in which no person appears to be entitled to the

  6  property and the personal representative has not instituted a

  7  proceeding for the determination of beneficiaries.

  8         (3)  If the court determines that there is no person

  9  entitled to the estate and that the estate escheats, the

10  Property that escheats shall be sold as provided in the

11  Florida Probate Rules and the proceeds paid to the Treasurer

12  of the state and deposited by him or her in the State School

13  Fund within a reasonable time to be fixed by the court.

14         (3)(4)  At any time within 10 years after the payment

15  to the Treasurer granting of letters, a person claiming to be

16  entitled to the proceeds estate of the decedent may petition

17  to reopen the administration to and assert entitlement his or

18  her rights to the proceeds escheated property. If the claimant

19  is entitled to any of the estate of the decedent, the court

20  shall fix the amount to which he or she is entitled, and it

21  shall be repaid to him or her with interest at the legal rate

22  by the officials charged with the disbursement of state school

23  funds.  If no claim is timely asserted within the time fixed,

24  the state's rights title of the state to the property and the

25  proceeds shall become absolute.

26         (4)(5)  The Department of Legal Affairs shall represent

27  the state in all proceedings concerning escheated estates.

28         (5)(6)(a)  If a person entitled to the proceeds funds

29  assigns the his or her rights to receive payment to an

30  attorney, Florida-certified public accountant, or private

31  investigative agency which is duly licensed to do business in


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                                    CS/CS/HB 107, Second Engrossed



  1  this state pursuant to a written agreement with such person,

  2  the Department of Banking and Finance is authorized to make

  3  distribution in accordance with such assignment.

  4         (b)  Payments made to an attorney, Florida-certified

  5  public accountant, or private investigative agency shall be

  6  promptly deposited into a trust or escrow account which is

  7  regularly maintained by the attorney, Florida-certified public

  8  accountant, or private investigative agency in a financial

  9  institution authorized to accept such deposits and located in

10  this state.

11         (c)  Distribution by the attorney, Florida-certified

12  public accountant, or private investigative agency to the

13  person entitled to the proceeds funds shall be made within 10

14  days following final credit of the deposit into the trust or

15  escrow account at the financial institution, unless a party to

16  the agreement protests the in writing such distribution in

17  writing before it is made.

18         (d)  The department shall not be civilly or criminally

19  liable for any proceeds funds distributed pursuant to this

20  subsection, provided such distribution is made in good faith.

21         (7)  Except as herein provided, escheated estates shall

22  be administered as other estates.

23         Section 33.  Section 215.965, Florida Statutes, is

24  amended to read:

25         215.965  Disbursement of state moneys.--Except as

26  provided in s. 17.076, s. 253.025(14), s. 259.041(18), s.

27  717.124(5), s. 732.107(5)(6), or s. 733.816(5), all moneys in

28  the State Treasury shall be disbursed by state warrant, drawn

29  by the Comptroller upon the State Treasury and payable to the

30  ultimate beneficiary. This authorization shall include

31  electronic disbursement.


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                                    CS/CS/HB 107, Second Engrossed



  1         Section 34.  Paragraph (d) of subsection (17) of

  2  section 493.6101, Florida Statutes, is amended to read:

  3         493.6101  Definitions.--

  4         (17)  "Private investigation" means the investigation

  5  by a person or persons for the purpose of obtaining

  6  information with reference to any of the following matters:

  7         (d)  The whereabouts of missing persons, owners of

  8  unclaimed abandoned property or escheated property, or heirs

  9  to estates.

10         Section 35.  Subsection (15) is added to section

11  493.6102, Florida Statutes, to read:

12         493.6102  Inapplicability of parts I through IV of this

13  chapter.--This chapter shall not apply to:

14         (15)  Any licensed Florida-certified public accountant

15  who is acting within the scope of the practice of public

16  accounting as defined in chapter 473.

17         Section 36.  Section 717.137, Florida Statutes, is

18  repealed.

19         Section 37.  This act shall take effect October 1,

20  2001.

21

22

23

24

25

26

27

28

29

30

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