Relief from liability by payment or delivery; reimbursement or indemnification of holder.
1. Upon the payment or delivery to him of abandoned property, the Administrator shall assume custody of the property and is thereafter responsible for its safekeeping.
2. Any person who pays or delivers abandoned property to the Administrator under this chapter is relieved of all liability to the extent of the value of the property so paid or delivered for any claim which then exists or which thereafter may arise or be made in respect to the property.
3. Any holder who has paid money to the Administrator pursuant to this chapter may make payment to any person appearing to the holder to be entitled thereto, and if the holder files with the Administrator proof of such payment and proof that the payee was entitled thereto, the Administrator shall forthwith reimburse the holder for the payment, without charge. If reimbursement is sought for a payment made on a negotiable instrument, including a traveler’s check or money order, the Administrator shall reimburse the holder upon his filing proof that the instrument was presented to him and that payment was made thereon to a person who appeared to the holder to be entitled to payment.
4. If the holder pays or delivers property to the Administrator in accordance with this chapter and thereafter any person claims the property from the holder, or another state claims the property from the holder under that state’s laws, the Attorney General shall, upon written request of the holder, defend him against the claim and the Administrator shall indemnify him against all liability on the claim.
5. Property removed from a safe-deposit box or other safekeeping repository is received by the Administrator subject to the holder’s right to be reimbursed for the actual cost of the opening and to any valid lien or contract providing for the holder to be reimbursed for unpaid rent or storage charges. The Administrator shall reimburse or pay the holder out of the proceeds remaining after deducting the Administrator’s selling cost.
Last modified: February 27, 2006