Section 760.980 Periods of Limitation and Repose

Section 760.980  Periods of Limitation and Repose

a)

An action or proceeding may not be maintained

by the administrator to enforce the Act in regard to the reporting, delivery or

payment of property more than 10 years after the holder specifically identified

the property in a report filed with the administrator or gave express notice to

the administrator of a dispute regarding the property.

[765 ILCS

1026/15-610(b)]

b)         The

10-year period of limitation is tolled:

1)         if the holder did not specifically identify the

property in a report filed with the administrator or provide other express

notice to the administrator;

2)

by the filing of a report that is fraudulent

[765

ILCS 1026/15-610(b)]; or

3)         if the administrator demands that the holder

file a verified report pursuant to Section 15-1001 of the Act or issues an

official notice of examination letter to the holder pursuant to Section 15-1002

of the Act.

c)         Notwithstanding the tolling of the 10-year

period of limitation because of a failure of a holder to specifically identify

property in a report filed with the administrator or provide other express

notice to the administrator, the administrator will not maintain an action in

regard to the reporting, delivery or payment of property more than 10 years

after that property should have been reported and remitted to the administrator

if all of the following apply:

1)         the holder has filed reports with the

administrator for the past 10 years;

2)         the holder agrees in writing to file all reports

required by the Act, including providing express notice to the administrator of

any future disputes concerning the reporting of property;

3)         the total amount of property, excluding any

interest or penalties that the administrator could impose under the Act, is

less than $2,500 or is otherwise de minimis as reasonably determined by the

administrator; and

4)

the administrator determines that the holder

acted in good faith and without negligence

the administrator of

any future disputes concerning the reporting of property;

3)         the total amount of property, excluding any

interest or penalties that the administrator could impose under the Act, is

less than $2,500 or is otherwise de minimis as reasonably determined by the

administrator; and

4)

the administrator determines that the holder

acted in good faith and without negligence.

[765 ILCS 1026/15-1206(2)]

d)         If the administrator issues a demand that the

holder file a verified report pursuant to Section 15-1001 of the Act or issues

an official notice of examination letter to the holder pursuant to Section

15-1002 of the Act within the time permitted by the Act, then the holder has

been put on notice that the administrator is commencing a proceeding within the

meaning of Section 15-610 of the Act.  The commencement of a proceeding within

the time period permitted by the Act tolls the 10-year period of limitation for

the commencement of an action.

AGENCY

NOTE:  The language of Section 15-610(b) of the Act comes from Section 19(b) of

the 1995 Uniform Unclaimed Property Act promulgated by the Uniform Law

Commission (www.uniformlaws.org). The official comments to the 1995 Uniform

Unclaimed Property Act note that this provision parallels the Internal Revenue

Code (26 U.S.C. 6501(c)). The official comments further note that as "the

Unclaimed Property Act is based on a theory of truthful self-reporting, a

holder which conceals property, willfully or otherwise, cannot expect the

protection of the stated limitations period."