N.Y. Abandoned Property Law § 1403: Sale of personal property by state comptroller

§ 1403. Sale of personal property by state comptroller. 1. Except as

provided in subdivision one-a of this section, all abandoned property,

other than money, heretofore paid to the state shall, prior to October

first, nineteen hundred forty-five, be sold by the state comptroller,

and all abandoned property, other than money and securities, delivered

to the state comptroller pursuant to this chapter, shall within fifteen

months after such delivery be sold by him, at public auction to the

highest bidder, except such property as in his opinion is valueless or

of such little value that the cost of sale would exceed the probable

proceeds therefrom. Securities shall be sold by the state comptroller on

any established stock exchange or by such other means as the comptroller

shall deem advisable within fifteen months after their delivery to him

pursuant to this chapter.

1-a. Where securities are delivered to the state comptroller pursuant

to this chapter on or after November first, nineteen hundred ninety-one,

or pursuant to any report of abandoned property which is required to be

made on or after November first, nineteen hundred ninety-one, the

comptroller shall sell such securities on any established stock exchange

or by such other means as the comptroller shall deem advisable as soon

as he may in his discretion deem practicable after their delivery to

him.

2. Except as provided in subdivision two-a of this section, the

proceeds from the sale of any such abandoned property, less all costs

incurred in connection with such sale, shall be deposited by the state

comptroller in the abandoned property fund and any claimant for

abandoned property shall be entitled only to the money so received and

deposited.

2-a. Any rightful owner of securities which are delivered to the

comptroller on or after November first, nineteen hundred ninety-one or

pursuant to any report of abandoned property which is required to be

made on or after November first, nineteen hundred ninety-one shall be

entitled to claim and receive from the comptroller, in accordance with

procedures established by him, such securities and accumulated amounts

or distributions thereon, including amounts or distributions accumulated

after such securities have been delivered to the comptroller, to the

same extent such owner would have been entitled to receive such

securities and amounts or distributions if such securities and amounts

or distributions had not been deemed abandoned pursuant to the

provisions of this chapter. This subdivision may, in the comptroller's

sole discretion, also apply to any rightful owner of securities which

have been delivered to the comptroller prior to November first, nineteen

hundred ninety-one where such securities are delivered pursuant to a

report of abandoned property required prior to November first, nineteen

hundred ninety-one but which have remained unsold by him as of such

date. In the event a claim is made and approved subsequent to the sale

of the securities, the comptroller shall pay the rightful owner the cash

equivalent of such securities as of the date of approval of any such

claim.

3. The state comptroller shall not be liable in any action for any act

of his made in good faith pursuant to this section.

4. Where any security delivered to the state comptroller pursuant to

this chapter or any act relating to the disposition of abandoned

property is delivered by him to the issuing corporation, the security

shall be transferred to him on the books of the corporation and a

certificate registered in the name of the state comptroller shall be

delivered to him or, if so requested by the comptroller, such

corporation shall register such securities in book entry form in the

name of the comptroller. The corporation and its transfer agent,

registrar or other person acting for or on behalf of the corporation in

executing or delivering such certificate or registering such securities

shall be relieved from liability to any person for any losses or damages

resulting from the issuance and delivery to the state comptroller of

such certificate or registration of such securities.