HB112 Alabama 2013 Session

Updated Feb 26, 2026

Notable

Summary

Primary Sponsor: Wes Long
Republican
Session: Regular Session 2013
Title: Unclaimed property, holders of abandoned property required to file reports with State Treasurer electronically, exceptions, parent of deceased child authorized to claim property, consumer protection measures for property claimed through third party, Secs. 35-12-72, 35-12-76, 35-12-77, 35-12-79, 35-12-84, 35-12-86, 35-12-93 am'd.
Summary: HB112 updates Alabama's Unclaimed Property Act to standardize deposit abandonment, expand who can claim abandoned property from intestate decedents, tighten reporting and third-party protections, and clarify handling of state-issued payment instruments.
What This Bill Does
It standardizes how banks treat deposit products for abandonment, ensures state-issued payment instruments can be remitted to unclaimed property for the payee's benefit after expiration, and clarifies reporting rules to protect both the state and holders. It expands claim rights for surviving relatives of a deceased owner who died intestate and sets conditions for such claims. It also strengthens protections against abusive third-party claims by requiring written agreements, specifying terms, and capping certain fees.

Who It Affects
Holders of unclaimed property (e.g., banks, credit unions, insurers) who must file electronic reports and remit funds, with standardized treatment for deposit products.
State Treasurer and the Alabama Treasury's Unclaimed Property program, which administers revised reporting, remittance, and claim procedures.
Surviving family members (spouse, children, and parents) of a deceased owner who died intestate, who may claim abandoned property under defined value limits and documentation rules.
Claimants and consumers who use third-party services to claim property, who gain stronger protections and disclosures under the new rules.
Attorneys and others who assist claimants, who face new writing and fee-structure requirements, and potential fee caps.

Key Provisions
Deposits and abandonment: Banks must treat all deposit products equally for abandonment purposes, while other property types retain their specific timelines.
State-issued instruments: All state-issued checks, warrants, or payment instruments that expire or remain unpaid may be handled through the unclaimed property system for the payee's benefit; provisions address how these funds are transferred or remitted and related exceptions.
Electronic reporting: Holders must file electronically and remit funds electronically; annual reporting is due by November 1 for the prior 12 months, with required details about property and owners and potential extensions for good cause.
Notice to owners: Before reporting, holders may be required to notify apparent owners within a defined window, detailing conditions for the report.
Intestate claim rights: The surviving spouse or surviving child or parents may claim abandoned property of an owner who died intestate, with value limits and documentation; probate court is not always required, but probate remains available.
Third-party claim protections: Agreements to locate or recover property entered during the abandonment period are void or restricted unless in writing and clearly detailing services, value, compensation, and other terms; improper mineral-proceeds arrangements are void; attorneys' fees are capped, and owners may enforce these protections.

AI-generated summary using openai/gpt-5-nano on Feb 24, 2026. May contain errors — refer to the official bill text for accuracy.
Subjects: Abandoned Property