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Terms Used In 11 Guam Code Ann. § 127116

  • Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
  • Escheat: Reversion of real or personal property to the state when 1) a person dies without leaving a will and has no heirs, or 2) when the property (such as a bank account) has been inactive for a certain period of time. Source: OCC
  • Fiduciary: A trustee, executor, or administrator.
  • Intangible property: Property that has no intrinsic value, but is merely the evidence of value such as stock certificates, bonds, and promissory notes.
  • Personal property: All property that is not real property.
(a) Definitions. For the purpose of this Section, terms as defined in § 127115 of this Chapter shall apply to this Section.

(b) All tangible and intangible personal property held in a fiduciary capacity for the benefit of another person, including tangible personal property subject to § 127115 of this Chapter, all intangible personal property maintained in a deposit or account, and the income or increment on such tangible or intangible property, shall transfer to the Treasurer of Guam if, for more than three (3) years after it becomes payable or distributable, the owner has not done any of the following:

(1) increased or decreased the principal;

(2) accepted payment of principal or income;

(3) corresponded in writing concerning the property; or

(4) otherwise indicated an interest in the property as evidenced by a memorandum or other record on file with the fiduciary.

(c) Notwithstanding Subsection (b), tangible or intangible property, and the income or increment on the tangible or intangible property, held in a fiduciary capacity for another person, shall not transfer to the Treasurer of Guam if the following are satisfied:

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(1) During the previous three (3) years, the fiduciary took one
(1) of the following actions:

(A) held another deposit or account for the benefit of the same owner;

(B) maintained a deposit or account on behalf of the same owner in an individual retirement account; or

(C) held funds or other property for the same owner under a retirement plan for a self-employed individual, or similar account or plan, established pursuant to the internal revenue laws of the United States or the laws of Guam.

(2) During the previous three (3) years, the owner has done any of the acts described in Subsections (b)(1), (b)(2), (b)(3), or (b)(4) with respect to the deposit, account, or plan described in Subsection (c)(1), and the fiduciary has communicated electronically or in writing with the owner at the address to which communications regarding that deposit, account, or plan are regularly sent, with regard to the deposit, account, or plan that would otherwise transfer under this Section. “”Communications,”” for purposes of this Section, includes account statements or statements required under the internal revenue laws of the United States.

(d) Funds in an individual retirement account or a retirement plan for self-employed individuals or similar account or plan established pursuant to the internal revenue laws of the United States or Guam are not payable or distributable within the meaning of Subsection (b) unless either of the following is true:

(1) under the terms of the account or plan, distribution of all or part of the funds would then be mandatory; or

(2) for an account or plan not subject to mandatory distribution requirement under the internal revenue laws of the United States or Guam, the owner has attained seventy and a half (70½) years of age.

(e) For the purpose of this Section, when a person holds property as an agent for a business association, he or she is deemed to hold the property in a fiduciary capacity for the business association alone, unless the agreement between him or her and the business association clearly provides the contrary. For the purposes of this Section, if a person holds

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property in a fiduciary capacity for a business association alone, he or she is the holder of the property only insofar as the interest of the business association in the property is concerned and the association is deemed to be the holder of the property insofar as the interest of any other person in the property is concerned.

(f) All funds transferred to the Treasurer of Guam pursuant to the provisions of this Section shall escheat to the government of Guam one (1) year subsequent to the date such transfers occurred.

(g) The Treasurer of Guam, upon receiving sums of money pursuant to this Section, shall furnish the transferring association with a receipt for such sums transferred, and sums of money shall be used in accordance with the provisions of the pilot Housing First program developed by the Guam Housing Corporation.

SOURCE: Added by P.L. 33-231:4 (Jan. 9, 2017).

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