Nebraska Statutes 25-227. Action to enforce obligation to pay certificate of deposit; when
(1) For purposes of this section:
Terms Used In Nebraska Statutes 25-227
- Action: shall include any proceeding in any court of this state. See Nebraska Statutes 49-801
- Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
- Person: shall include bodies politic and corporate, societies, communities, the public generally, individuals, partnerships, limited liability companies, joint-stock companies, and associations. See Nebraska Statutes 49-801
- State: when applied to different states of the United States shall be construed to extend to and include the District of Columbia and the several territories organized by Congress. See Nebraska Statutes 49-801
- Uniform Commercial Code: A set of statutes enacted by the various states to provide consistency among the states' commercial laws. It includes negotiable instruments, sales, stock transfers, trust and warehouse receipts, and bills of lading. Source: OCC
- Year: shall mean calendar year. See Nebraska Statutes 49-801
(a) Account agreement means one or more written instruments that establish when a certificate of deposit is payable;
(b) Certificate of deposit means a deposit or share account at a depository institution that:
(i) Is payable by the depository institution at the expiration of a specified time; and
(ii) May be transferable or nontransferable, negotiable or nonnegotiable, and renewable or nonrenewable;
(c) Depository institution means a state-chartered or federally chartered financial institution located in this state that is authorized to maintain certificates of deposit; and
(d) Maturity date means the time specified in an account agreement when a certificate of deposit is first payable, without taking into account any agreement regarding renewals.
(2) Subject to subsection (3) of this section, an action to enforce the obligation of a depository institution to pay all or part of the balance of a certificate of deposit shall be commenced by the earlier of:
(a) The time that an action to enforce an obligation under subsection (e) of section 3-118, Uniform Commercial Code, must be commenced if the certificate of deposit is subject to such section; or
(b) Seven years after the later of:
(i) The maturity date of the certificate of deposit;
(ii) The due date of the certificate of deposit indicated in the depository institution’s last written notice of renewal of the certificate of deposit, if any;
(iii) The date of the last written communication from the depository institution recognizing the depository institution’s obligation with respect to the certificate of deposit; or
(iv) The last day of the taxable year for which a person identified in the certificate of deposit last reported interest income earned on the certificate of deposit on a federal or state income tax return.
(3) Notwithstanding subsection (2) of this section, an action to enforce the obligation of a depository institution to pay all or part of the balance of an automatically renewing certificate of deposit in existence on July 1, 2008, shall be commenced by the later of:
(a) Seven years after the later of:
(i) The maturity date of the certificate of deposit;
(ii) The due date of the certificate of deposit indicated in the depository institution’s last written notice of renewal of the certificate of deposit, if any;
(iii) The date of the last written communication from the depository institution recognizing the depository institution’s obligation to pay the certificate of deposit; or
(iv) The last day of the taxable year for which a person identified in the certificate of deposit last reported interest income earned on the certificate of deposit on a federal or state income tax return; or
(b) One year after July 1, 2008.
(4) This section applies to all certificates of deposit that are in existence on or after July 1, 2008.