§ 2503. — State entitlement to escheat or custody.
[Laws in effect as of January 24, 2002]
[Document not affected by Public Laws enacted between
January 24, 2002 and December 19, 2002]
[CITE: 12USC2503]
TITLE 12--BANKS AND BANKING
CHAPTER 26--DISPOSITION OF ABANDONED MONEY ORDERS AND TRAVELER'S CHECKS
Sec. 2503. State entitlement to escheat or custody
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.
(Pub. L. 93-495, title VI, Sec. 603, Oct. 28, 1974, 88 Stat. 1525.)
