Bill Text: CA SB1115 | 2015-2016 | Regular Session | Introduced

California Senate Bill 1115 (Prior Session Legislation)

Introduced

Bill Title: Unclaimed Property Law

Spectrum: Partisan Bill (Democrat 1-0)

Status: (Failed) 2016-11-30 - From committee without further action. [SB1115 Detail]

Download: California-2015-SB1115-Introduced.html

BILL NUMBER: SB 1115	INTRODUCED
	BILL TEXT


INTRODUCED BY   Senator Leno

                        FEBRUARY 17, 2016

   An act to amend Sections 1571 and 1572 of the Code of Civil
Procedure, relating to unclaimed property.


	LEGISLATIVE COUNSEL'S DIGEST


   SB 1115, as introduced, Leno. Unclaimed Property Law
   Under the existing Unclaimed Property Law, any tangible or
intangible personal property, demand, savings, or matured time
deposit, or other prescribed deposits or accounts escheat to the
state when the owner of the deposits or accounts has not, for more
than 3 years, indicated an interest in the deposit, as specified. The
Unclaimed Property Law authorizes the Controller to examine a person'
s records if the Controller has reason to believe that the person has
failed to report property that should have been reported pursuant to
that law. Existing law also permits the Controller to bring an
action for specified purposes to enforce the Unclaimed Property Law.
   This bill would instead authorize the Controller to examine
records under this law even if the holder of those records does not
believe that he or she has failed to report property, as required.
This bill would also require a court to award the Controller its
costs and attorney's fees if he or she prevails on an action to
enforce the Unclaimed Property Law, as specified.
   Vote: majority. Appropriation: no. Fiscal committee: no.
State-mandated local program: no.


THE PEOPLE OF THE STATE OF CALIFORNIA DO ENACT AS FOLLOWS:

  SECTION 1.  Section 1571 of the Code of Civil Procedure is amended
to read:
   1571.  (a) The Controller may at reasonable times and upon
reasonable notice examine the records of  any  
a  person  even  if the  Controller has reason
to believe that the person is a holder who   person does
not believe that he or she  has failed to report property that
should have been reported pursuant to this chapter.
   (b) When requested by the Controller, the examination shall be
conducted by  any   a  licensing or
regulating agency otherwise empowered by the laws of this state to
examine the records of the holder. For the purpose of determining
compliance with this chapter, the Commissioner of Business Oversight
is vested with full authority to examine the records of  any
  a  banking organization  and any
  or  savings association doing business within
this state but not organized under the laws of or created in this
state.
   (c) Following a public hearing, the Controller shall adopt
guidelines as to the policies and procedures governing the activity
of third-party auditors who are hired by the Controller.
   (d) Following a public hearing, the Controller shall adopt
guidelines, on or before July 1, 1999, establishing forms, policies,
and procedures to enable a person to dispute or appeal the results of
 any   a  record examination conducted
pursuant to this section.
  SEC. 2.  Section 1572 of the Code of Civil Procedure is amended to
read:
   1572.  (a) The  State  Controller may bring an
action in a court of appropriate jurisdiction, as specified in this
section, for any of the following purposes:
   (1) To enforce the duty of  any   a 
person under this chapter to permit the examination of the 
records of such person.   person's records. 
   (2) For a judicial determination that particular property is
subject to escheat by this state pursuant to this chapter.
   (3) To enforce the delivery of  any  property to
the  State  Controller as required under this
chapter.
   (b) The  State  Controller may bring an action
under this chapter in  any court of this state  
a state court  of appropriate jurisdiction in any of the
following cases:
   (1)  Where the   The  holder is 
any   a  person domiciled in this state, or is a
government or governmental subdivision or agency of this state.
   (2)  Where the   The  holder is 
any   a  person engaged in or transacting business
in this state, although not domiciled in this state.
   (3)  Where the   The  property is
tangible personal property and is held in this state.
   (c)  In any case where no court of this state can
  If a state court cannot   obtain
jurisdiction over the holder, the  State  Controller
may bring an action in any federal or state court with jurisdiction
over the holder. 
   (d) If the Controller prevails in an action brought pursuant to
this section, the court shall award the Controller his or her costs,
including attorney's fees.