{"data":{"id":"us-ky/krs-393.022","jurisdiction":"us-ky","citation":"KRS 393.022","heading":"Escheat of United States savings bonds to Commonwealth.","body":"(1) As used in this section:\n(a) \"Book-entry bond\" means a savings bond maintained by the United States\nTreasury in electronic or paperless form as a computer record;\n(b) \"Definitive bond\" means a savings bond issued by the United States Treasury\nin paper form;\n(c) \"Final maturity\" means the date a United States savings bond ceases to earn\ninterest; and\n(d) \"United States savings bond\" means a book -entry bond or definitive bond\nissued by the United States Treasury.\n(2) This section shall apply to the escheat o f United States savings bonds to the\nCommonwealth of Kentucky.\n(3) A United States savings bond held or owing in this state by any person, or issued or\nowed in the course of a holder's business, or by a state or other government,\ngovernmental subdivision, agency, or instrumentality, and all proceeds thereof, shall\nbe presumed abandoned in this state if:\n(a) The last known address of the owner of the United States savings bond is in\nthis state; and\n(b) The United States savings bond has remained unclaimed an d unredeemed for\nthree (3) years after final maturity.\n(4) United States savings bonds which are presumed abandoned under subsection (3) of\nthis section shall escheat to the Commonwealth of Kentucky three (3) years after\nbecoming abandoned property, and al l property rights and legal title to and\nownership of the United States savings bonds or proceeds from the bonds, including\nall rights, powers, and privileges of survivorship of any owner, co -owner, or\nbeneficiary, shall vest solely in the Commonwealth of Kentucky according to the\nprocedure set forth in subsections (5) to (8) of this section.\n(5) If no claim has been filed in accordance with the provisions of this chapter, the\ndepartment shall commence a civil action in the Franklin Circuit Court for a\ndetermination that United States savings bonds have escheated to the\nCommonwealth of Kentucky and the Commonwealth of Kentucky is the owner of\nthe savings bonds.\n(6) (a) The department shall provide notice of the action by publication in at least\ntwo (2) newspapers of statewide circulation in accordance with the provisions\nof KRS 424.110 to 424.215.\n(b) The notice shall list all persons to be served and shall notify those persons\nthat:\n1. The person has been sued in a named court;\n2. The person must answer the petition or other pleading or otherwise\nrespond, on or before a specified date not less than fifty (50) days after\nthe date the notice is first published; and\n3. If the person does not answer or otherwise respond, the petition or  other\npleading shall be taken as true and judgment, the nature of which shall\nbe stated, will be rendered accordingly.\n(7) Prior to providing notice by publication as required by subsection (6) of this section,\nthe Treasurer or his or her designee shall f ile with the court an affidavit stating all\nthe following that apply:\n(a) 1. The residences of all named persons sought to be served, if known;\n2. The names of all persons whose residences are unknown after\nreasonable effort to ascertain them; and\n3. The specific efforts made to ascertain the unknown residences;\n(b) That the affiant has made a reasonable but unsuccessful effort to ascertain the\nnames and residences of any persons sought to be served as unknown parties,\nand the specific efforts made to ascertain the names and residences;\n(c) That the department is unable to obtain service of summons on the persons in\nthe state; and\n(d) That the case is one in which the department, with due diligence, is unable to\nserve summons on the person in this state and:\n1. The case relates to personal property in this state, if any person has or\nclaims an interest in the property; or\n2. In which the relief demanded consists wholly or partly in excluding the\nperson from any interest in the property.\n(8) If:\n(a) No person files a claim or appears at the hearing to substantiate a claim; or\n(b) The court determines that a claimant is not entitled to the property claimed by\nthe claimant;\nthen the court, if satisfied by the evidence that the department has substantially\ncomplied with the laws of the Commonwealth, shall enter a judgment that the\nsubject United States savings bonds have escheated to the Commonwealth of\nKentucky, and all property rights and legal title to and ownership of the United\nStates savings bonds or proce eds from the bonds, including all rights, powers, and\nprivileges of survivorship of any owner, co -owner, or beneficiary, shall vest solely\nin the Commonwealth of Kentucky.\n(9) The department shall redeem the United States savings bonds escheated to the\nCommonwealth, and the proceeds from the redemption shall be deposited into a\nseparate subsidiary account of the abandoned property fund.\n(10) After a judgment of escheat has been entered pursuant to subsection (8) of this\nsection, the Treasurer or his or her designee may, at his or her discretion, make full\nor partial payment of requests for the proceeds of United States savings bonds to\npersons to whom, in the opinion of the Treasurer or his or her designee, the\nCommonwealth should in fairness and equity allow payment.","path":["KRS Chapter 393"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=42960","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:59:23Z","sha256":"4f5c9f9fd0893707ff55c4045aaa1f65d44ec79c904f4eb89968ce71ab9d49ed","source_id":"us-ky","stale":false,"prev":"us-ky/krs-393.020","next":"us-ky/krs-393.025"},"notice":"GroundRules: Original legal text. Not legal advice."}