By Legal Futures Associate Title Research
When a US account becomes dormant for a period of time specified by state law, the account is turned over to the state in which the company is domiciled. This is the process of escheatment.
Escheatment is a foreign concept to most British people as it does not exist in the United Kingdom. As more UK companies are acquired by US entities today, more UK shareholders are at risk of becoming owners of US stock. Therefore, more UK citizens should be aware of escheatment.
If assets are escheated it can often be a long drawn-out process to reclaim the funds from a US state. From our experience, we have found that it typically takes around 18 months to 2 years to reclaim escheated funds.
Administering US assets can be difficult in even the best of circumstances. So if you’re dealing with a deceased person’s estate, we advise that you deal with any US shares as soon as possible to avoid them becoming escheated.
Title Research’s latest blog post explores what escheatment is, why you should be aware of it and how it affects UK shareholders. Click here to read the full blog post.
Title Research are asset repatriation specialists and they can navigate the complicated process of selling and transferring shareholdings in North America. If you need any assistance retrieving escheated funds or administering overseas assets, call Title Research’s Client Services Team on 0345 87 27 600 or email firstname.lastname@example.org.