Delaware Code Title 12 Sec. 1173 – Voluntary property reporting outreach program
(a) Notwithstanding any other provision of this title or Chapter 23 of Title 29, the Secretary of State may resolve and compromise claims for property otherwise owing to the State Escheator under this chapter if a holder of such property voluntarily discloses to the Secretary of State such property on or before the deadlines provided in this section.
(1) The Secretary of State shall waive interest and penalty under §§ 1183 and 1184 of this title for holders that complete the voluntary disclosure in good faith.
(2) The Secretary of State shall possess full and complete authority to determine and resolve all such claims consistent with this chapter and exercise such authorities as are granted to the State Escheator under this chapter.
(3) Notwithstanding paragraph (a)(2) of this section, any unclaimed property voluntary disclosure agreement accepted by the Secretary of State is deemed as waiving the right of the Secretary of State and the State Escheator to seek payment of any amounts of property under § 1156 or § 1179 of this title as to the property voluntarily disclosed by the holder in the agreement, except in circumstances where the Secretary of State reasonably concludes that there has been a fraudulent or wilful misrepresentation as to any such voluntary disclosure by the holder or those acting on the holder’s behalf.
(4) If the Secretary of State is unable to resolve such claims by agreement, the Secretary of State may refer the resolution of such claims to the State Escheator at any time.
(5) The care and custody of all property paid under this section is assumed for the benefit of those entitled to receive the same and the Secretary of State shall have all the responsibilities, duties, and obligations as if such property were recovered by the State Escheator.
(6) The Secretary of State may make such rules and regulations as deemed necessary to enforce this section.
Terms Used In Delaware Code Title 12 Sec. 1173
- Evidence: Information presented in testimony or in documents that is used to persuade the fact finder (judge or jury) to decide the case for one side or the other.
- Holder: means any person having possession, custody, or control of the property of another person and includes a post office, a depository, a bailee, a trustee, a receiver or other liquidating officer, a fiduciary, a governmental department, institution or agency, a municipal corporation and the fiscal officers thereof, a public utility, service corporation, and every other legal entity incorporated or created under the laws of this State or doing business in this State. See Delaware Code Title 12 Sec. 1130
- Person: means an individual; estate; business association; public corporation; government or governmental subdivision, agency, or instrumentality; or other legal entity. See Delaware Code Title 12 Sec. 1130
- Property: means tangible property described in § 1134 of this title or a fixed and certain interest in intangible property held, issued, or owed in the course of a holder's business or by a government, governmental subdivision, agency, or instrumentality. See Delaware Code Title 12 Sec. 1130
- State: means a state of the United States, the District of Columbia, the Commonwealth of Puerto Rico, the United States Virgin Islands, or any territory or insular possession subject to the jurisdiction of the United States. See Delaware Code Title 12 Sec. 1130
- State Escheator: means the person responsible for the administration and enforcement of this chapter, as established by § 1102 of this title and § 363 of Title 30. See Delaware Code Title 12 Sec. 1130
- Year: means a calendar year, and is equivalent to the words "year of our Lord. See Delaware Code Title 1 Sec. 302
(b) The Secretary of State may request, via certified mail or any other commercially reasonable means of correspondence that includes evidence of delivery, that a person enter into an unclaimed property voluntary disclosure agreement to determine if the person has complied with any provision of this chapter. If the form indicating the person’s intent to enter into a voluntary disclosure agreement is not received by the Secretary of State by certified mail or by other means deemed acceptable by the Secretary of State within 90 days after the request to enter the voluntary disclosure agreement program was delivered, the Secretary of State shall refer the person to the State Escheator for examination under § 1171 of this title. Alternatively, within 90 days after the request to enter the voluntary disclosure agreement program was delivered, a person receiving such a request may notify the State Escheator, by certified mail or by other means deemed acceptable by the State Escheator, of the person’s request to expedite an examination under § 1172(c) of this title by providing written notification on a form provided by the State Escheator.
(c) With respect to a person who has indicated in writing the person’s intent to enter into an unclaimed property voluntary disclosure agreement under this chapter by completing, executing, and delivering to the Secretary of State a form acceptable to the Secretary of State, the person shall complete a review of its books and records and file reports of property related to the following years:
(1) Beginning January 1, 1996, with respect to any person who enters an unclaimed property voluntary disclosure agreement and makes payment in full or enters into a payment plan no later than June 30, 2016.
(2) With respect to a person who enters an unclaimed property voluntary disclosure agreement and makes payment in full on or after July 1, 2016, the person shall complete a review of the person’s books and records starting the first of January for the prior 10 years from when the property is presumed abandoned starting from the calendar year in which the person’s intent to enter into an unclaimed property voluntary disclosure agreement was accepted by the Secretary of State.
(d) With respect to any person whose intent to enter into an unclaimed property voluntary disclosure agreement was accepted by the Secretary of State after September 30, 2014, the person shall enter an unclaimed property voluntary disclosure agreement and make payment in full or enter into a payment plan within 2 years from the date the person’s intent to enter into an unclaimed property voluntary disclosure agreement was accepted by the Secretary of State. The due date for entering into an unclaimed property voluntary disclosure agreement and making payment in full or entering into a payment plan may be amended by the Secretary of State.
(e) Notwithstanding any other provision of this section or of this chapter, the Secretary of State may not enter an unclaimed property voluntary disclosure agreement with or otherwise receive or seek payment of any amounts of property from any of the following:
(1) A person who has indicated in writing the person’s intent to enter into an unclaimed property voluntary disclosure agreement by completing, executing, and delivering, on or before June 30, 2012, the appropriate form promulgated by the State Escheator. But, the Secretary of Finance and the Secretary of State may permit the person to enter into the voluntary disclosure program administered by the Secretary of State under this section. If a person is permitted to enter the program, the look back period for the voluntary disclosure under this section relates to the date the original notice of intent to enter a voluntary disclosure was completed, executed, and delivered.
(2) A person who has entered a voluntary disclosure agreement with the State Escheator on or before June 30, 2012. But, the Secretary of State may enter an unclaimed property voluntary disclosure agreement with any person with respect to property types or periods or both property types and periods that were not included in the voluntary disclosure agreement executed prior to June 30, 2012, or with respect to the person, its subsidiaries, or related entities that were not included in the voluntary disclosure agreement executed prior to June 30, 2012.
(3) A person to which a notice of examination has been mailed by the State Escheator, except those persons that elect to enroll in the Secretary of State’s unclaimed property voluntary disclosure program under § 1172(b) of this title.
(4) A person who had previously enrolled in the Secretary of State’s voluntary disclosure agreement program and 1 of the following occurred:
a. The person formally withdrew from the voluntary disclosure agreement program.
b. The Secretary of State removed the person from the voluntary disclosure agreement program for failure to work in good faith to complete the voluntary disclosure agreement program as soon as practicable.
(f) Each person described in paragraph (e)(1) or (e)(2) of this section shall be accorded the benefit of the same look back periods established in subsection (c) of this section, but the State Escheator shall retain authority over all voluntary disclosure agreements so described.
78 Del. Laws, c. 317, § ?1; 79 Del. Laws, c. 2, §§ ?2, 3; 79 Del. Laws, c. 278, § ?1; 80 Del. Laws, c. 114, §§ ?3-5, 7; 81 Del. Laws, c. 1, § 2; 83 Del. Laws, c. 59, § 16;