The timeframe for property to be considered abandoned in Alabama varies significantly, depending on the specific type of property. These dormancy periods are primarily governed by the Uniform Unclaimed Property Act of 2013, which sets the legal standards for when property is presumed abandoned and subsequently becomes subject to the state's unclaimed property program.
When property remains unclaimed by its rightful owner for a specific period, it is presumed abandoned. This legal framework ensures that such assets are eventually transferred to the State Treasurer's Office, which acts as a custodian, holding the property indefinitely until the owner or their heirs claim it.
Key Dormancy Periods for Unclaimed Property in Alabama
The table below outlines common types of property and their respective dormancy periods under current Alabama law. These periods dictate how long a holder (e.g., a bank, business, or utility company) must retain property before it is considered abandoned and must be reported to the state.
| Property Type | Dormancy Period (Years) |
|---|---|
| Traveler's Checks | 15 |
| Money Orders | 7 |
| Demand, Savings, or Matured Time Deposits | 3 |
| Funds Held or Owing for Utility Services Deposit | 1 |
| Stock or Other Equity Interest | 3 |
| Property Held in a Safe Deposit Box | 5 |
| Wages or Other Compensation for Personal Services | 1 |
| Property from the Dissolution of a Business | 1 |
| Property from Trust or Fiduciary Relationship | 3 |
| Property Held by Government Agency | 1 |
| Other Intangible Personal Property | 3 |
Note: While many dormancy periods have remained consistent, some have changed over time. For instance, previous provisions considered money orders abandoned after five years, though this period has since been extended to seven years, while traveler's checks have consistently had a fifteen-year dormancy period.
Understanding Unclaimed Property Laws
The purpose of unclaimed property laws is twofold: to protect consumers by ensuring their assets are safeguarded if they lose track of them, and to provide a centralized system for owners to reclaim their property. When property is deemed abandoned, it doesn't mean the owner loses their rights; rather, the state steps in as a custodian.
- Holder's Responsibility: Businesses, banks, and other entities that hold unclaimed property are required to make efforts to contact the apparent owner. If these efforts fail, they must report and remit the property to the Alabama State Treasurer's Office annually.
- State Custodianship: Once the property is remitted, the state holds it in perpetuity. The original owner or their heirs can claim it at any time by providing proper documentation.
What to Do If You Believe You Have Unclaimed Property
If you suspect you or a family member might have unclaimed property in Alabama, it's a straightforward process to check:
- Search Online: The primary method is to use the official search portal provided by the Alabama State Treasurer's Office.
- Visit the Alabama State Treasurer's Office Unclaimed Property website.
- Use their search tool, typically requiring only your last name or business name.
- Provide Documentation: If a match is found, you will need to submit a claim form and provide documentation to prove your identity and your right to the property (e.g., photo ID, proof of address, death certificate for deceased owners).
- Contact the State Treasurer's Office: For specific questions or assistance with the claims process, you can contact the Alabama State Treasurer's Unclaimed Property Division directly.
Legal Basis for Abandoned Property in Alabama
The current framework for abandoned and unclaimed property in Alabama is primarily established by the Uniform Unclaimed Property Act of 2013, codified in the Code of Alabama 1975, Section 35-12-100 to 35-12-153. This Act superseded previous versions of the law, including earlier codes that also addressed property abandonment and set forth varying dormancy periods. The Act outlines the procedures for reporting, remitting, and claiming unclaimed property, ensuring a standardized approach across the state.
