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The federal District Court for the District of Delaware’s holding in the 2016 Temple-Inland v. Cook[1] decision that Delaware had implemented its audit program in a manner that “shocked the conscience” is well-known to all abandoned property practitioners.  Similarly, Delaware’s responsive law change in 2017, with provisions purportedly addressing the Temple-Inland Court’s constitutional concerns, has…

Borden Consulting Group’s Jennifer Borden joined NPR’s “Planet Money” recently to discuss the perils of losing your investments to escheatment. Hosts Audrey Quinn and Kenny Malone discuss the real-life story of Walter Schramm, who lost a small fortune to the state when his investments were escheated because of inactivity. In 1995, Schramm bought about $6,000…

by Jennifer C. Borden Attention online sports wagering and daily fantasy players: despite the fact that there is little to nothing that you can wager on right now, it doesn’t mean that you can forget about your online accounts. If you’re not careful, the money inside these accounts could be turned over to the government.…

by Jennifer C. Borden & Jenna L. Bentley On December 6, 2019, AT&T filed a complaint in the United States District Court for the District of Delaware alleging violations of its rights under the Fourth and Fourteenth Amendments, and violations of the Ex Post Facto Clause of the U.S. Constitution.  The constitutional issues raised by AT&T…

In the late ‘90’s, the National Association of Unclaimed Property Advisors (“NAUPA”) endorsed a nationwide amnesty program in order to increase compliance with state unclaimed property laws.  At the time, most holders were unaware of their annual escheat filing obligations and compliance was not widespread.   NAUPA reasoned that educating holders on their statutory filing requirements, while…

What do an admitted heroin dealer and a holder under an unclaimed property audit have in common?  Both may be subject to excessive civil penalties, particularly when the government seeks to raise non-tax revenue.  In the case of the heroin dealer, the Supreme Court of the United States recently issued a 9-0 decision applying an analysis of…

The Wall Street Journal  recently highlighted a major unclaimed property case with implications around the nation. The article addresses pending litigation regarding Delaware’s sale of stocks owned by two foreign investors.  Delaware escheated the stock and liquidated it without notifying its owners, Dr. Gilles Gosselin and Dr. Jean Louis Imbach. Both doctors alleged that the state…

Jennifer Borden recently penned an article that appeared on the cover of the July 2017 STA Newsletter discussing the need for advocacy on behalf of both consumers and holders as states begin to introduce their own versions of the Revised Uniform Unclaimed Property Act. Borden was an Official Observer to the Uniform Law Commission’s Drafting Committee focusing…

The FinOps Report, which attempts to dig deep into issues facing U.S. and global financial services professionals, has weighed in on the proposed new unclaimed property laws in both Delaware and Illinois. Jennifer Borden was quoted throughout the article, particularly on Delaware’s attempts to escheat shares of foreign shareholders, even if the foreign address is…