-CITE-

12 USC CHAPTER 26 - DISPOSITION OF ABANDONED MONEY ORDERS

AND TRAVELER'S CHECKS 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 26 - DISPOSITION OF ABANDONED MONEY ORDERS AND TRAVELER'S

CHECKS

.

-HEAD-

CHAPTER 26 - DISPOSITION OF ABANDONED MONEY ORDERS AND TRAVELER'S

CHECKS

-MISC1-

Sec.

2501. Congressional findings and declaration of purpose.

2502. Definitions.

2503. State entitlement to escheat or custody.

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12 USC Sec. 2501 01/06/03

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TITLE 12 - BANKS AND BANKING

CHAPTER 26 - DISPOSITION OF ABANDONED MONEY ORDERS AND TRAVELER'S

CHECKS

-HEAD-

Sec. 2501. Congressional findings and declaration of purpose

-STATUTE-

The Congress finds and declares that -

(1) the books and records of banking and financial

organizations and business associations engaged in issuing and

selling money orders and traveler's checks do not, as a matter of

business practice, show the last known addresses of purchasers of

such instruments;

(2) a substantial majority of such purchasers reside in the

States where such instruments are purchased;

(3) the States wherein the purchasers of money orders and

traveler's checks reside should, as a matter of equity among the

several States, be entitled to the proceeds of such instruments

in the event of abandonment;

(4) it is a burden on interstate commerce that the proceeds of

such instruments are not being distributed to the States entitled

thereto; and

(5) the cost of maintaining and retrieving addresses of

purchasers of money orders and traveler's checks is an additional

burden on interstate commerce since it has been determined that

most purchasers reside in the State of purchase of such

instruments.

-SOURCE-

(Pub. L. 93-495, title VI, Sec. 601, Oct. 28, 1974, 88 Stat. 1525.)

-MISC1-

APPLICABILITY TO SUMS PAYABLE ON MONEY ORDERS, ETC., DEEMED

ABANDONED ON OR AFTER FEBRUARY 1, 1965; EXCEPTION

Section 604 of Pub. L. 93-495 provided that: ''This title

(enacting this chapter) shall be applicable to sums payable on

money orders, traveler's checks, and similar written instruments

deemed abandoned on or after February 1, 1965, except to the extent

that such sums have been paid over to a State prior to January 1,

1974.''

-CITE-

12 USC Sec. 2502 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 26 - DISPOSITION OF ABANDONED MONEY ORDERS AND TRAVELER'S

CHECKS

-HEAD-

Sec. 2502. Definitions

-STATUTE-

As used in this chapter -

(1) ''banking organization'' means any bank, trust company,

savings bank, safe deposit company, or a private banker engaged

in business in the United States;

(2) ''business association'' means any corporation (other than

a public corporation), joint stock company, business trust,

partnership, or any association for business purposes of two or

more individuals; and

(3) ''financial organization'' means any savings and loan

association, building and loan association, credit union, or

investment company engaged in business in the United States.

-SOURCE-

(Pub. L. 93-495, title VI, Sec. 602, Oct. 28, 1974, 88 Stat. 1525.)

-CITE-

12 USC Sec. 2503 01/06/03

-EXPCITE-

TITLE 12 - BANKS AND BANKING

CHAPTER 26 - DISPOSITION OF ABANDONED MONEY ORDERS AND TRAVELER'S

CHECKS

-HEAD-

Sec. 2503. State entitlement to escheat or custody

-STATUTE-

Where any sum is payable on a money order, traveler's check, or

other similar written instrument (other than a third party bank

check) on which a banking or financial organization or a business

association is directly liable -

(1) if the books and records of such banking or financial

organization or business association show the State in which such

money order, traveler's check, or similar written instrument was

purchased, that State shall be entitled exclusively to escheat or

take custody of the sum payable on such instrument, to the extent

of that State's power under its own laws to escheat or take

custody of such sum;

(2) if the books and records of such banking or financial

organization or business association do not show the State in

which such money order, traveler's check, or similar written

instrument was purchased, the State in which the banking or

financial organization or business association has its principal

place of business shall be entitled to escheat or take custody of

the sum payable on such money order, traveler's check, or similar

written instrument, to the extent of that State's power under its

own laws to escheat or take custody of such sum, until another

State shall demonstrate by written evidence that it is the State

of purchase; or

(3) if the books and records of such banking or financial

organizations or business association show the State in which

such money order, traveler's check, or similar written instrument

was purchased and the laws of the State of purchase do not

provide for the escheat or custodial taking of the sum payable on

such instrument, the State in which the banking or financial

organization or business association has its principal place of

business shall be entitled to escheat or take custody of the sum

payable on such money order, traveler's check, or similar written

instrument, to the extent of that State's power under its own

laws to escheat or take custody of such sum, subject to the right

of the State of purchase to recover such sum from the State of

principal place of business if and when the law of the State of

purchase makes provision for escheat or custodial taking of such

sum.

-SOURCE-

(Pub. L. 93-495, title VI, Sec. 603, Oct. 28, 1974, 88 Stat. 1525.)

-CITE-