Arizona Laws 44-327. Agreement to locate property
A. The following are void and unenforceable:
Terms Used In Arizona Laws 44-327
- Action: includes any matter or proceeding in a court, civil or criminal. See Arizona Laws 1-215
- Apparent owner: means a person whose name appears on the records of a holder as the person entitled to property held, issued or owing by the holder. See Arizona Laws 44-301
- Department: means the department of revenue. See Arizona Laws 44-301
- Mineral: means gas, oil, coal, sand, gravel, road material, building stone, chemical raw material, gemstone, fissionable and nonfissionable ores, colloid and other clay, steam and other geothermal resource or any other substance defined as a mineral in sections 27-231 and 27-901. See Arizona Laws 44-301
- Mineral proceeds: means the amounts payable for the extraction, production or sale of minerals or, if those amounts are abandoned, all payments that become payable after the abandonment. See Arizona Laws 44-301
- Owner: means a person who has a legal or equitable interest in property that is subject to this chapter or the person's legal representative. See Arizona Laws 44-301
- Person: means an individual, business association, financial organization, estate, trust, government, governmental subdivision, agency or instrumentality or any other legal or commercial entity. See Arizona Laws 44-301
- Property: means tangible property pursuant to section 44-303 or a fixed and certain interest in intangible property that is held, issued or owed in the course of a holder's business or by a government, governmental subdivision, agency or instrumentality and all income or increments from that property. See Arizona Laws 44-301
- Writing: includes printing. See Arizona Laws 1-215
1. An agreement entered into by an owner with another person if the primary purpose of that agreement is to locate, deliver, recover or assist in the recovery of property that is presumed abandoned, if the agreement was entered into during the period commencing on the date the property was presumed abandoned and extending to a time that is twenty-four months after the date that the property is paid or delivered to the department. This paragraph does not apply to an owner’s agreement with an attorney to file a claim relating to identified property or to contest the department’s denial of a claim.
2. A provision in an agreement that requires an owner to pay compensation that includes a portion of mineral proceeds that are not presumed abandoned or the underlying minerals, if the primary purpose of the agreement is to locate, deliver, recover or assist in the recovery of mineral proceeds that are presumed abandoned.
B. If an owner enters into an agreement that is not void pursuant to this section and the primary purpose of that agreement is to locate, deliver, recover or assist in the recovery of property reported to the department, the agreement is:
1. Enforceable if the agreement is in writing, clearly states the nature of the property and the services to be performed, is signed by the apparent owner and states the value of the property before and after the fee or other compensation has been deducted. The fee or payment agreed on shall not be more than thirty per cent of the value of the recoverable property reported to the department.
2. Unenforceable except by the owner if the agreement provides for compensation that is more than thirty per cent of the value of the recoverable property reported to the department.
C. An owner who has agreed to pay compensation that is more than thirty per cent of the value of the recoverable property reported to the department, or the department on behalf of the owner, may maintain an action to reduce the compensation. The court may award reasonable attorney fees to an owner who prevails in the action. This section does not prohibit an owner from asserting that an agreement is invalid on grounds other than compensation.