On June 27, 2019, Governor Janet Mills signed Senate Bill 481 (LD 1544), effective October 1, 2019, which repeals the existing Maine unclaimed property law and replaces it with a modified version of the 2016 Uniform Unclaimed Property Act. This change will first affect a business’s unclaimed property due diligence and reporting obligations in fall 2020.
The new law revamps how “gift obligations” and “stored value cards” (“SVO”) are defined. Gift obligations are defined as a record that cannot be converted into money that also evidences a business’s obligation to provide goods or services to a consumer at a future date for a specified amount. An SVO is defined as a record evidencing a promise made for consideration by the seller or issuer of the record that goods, services or money will be provided to the owner in the amount shown in the record. Further, Maine’s new provisions for SVOs bifurcates unclaimed property treatment and dormancy periods depending upon whether the SVO is activated or inactivated.
Loyalty and gift obligations and game-related digital content are excluded from definition of SVO and are effectively excluded from the definition of “property”.
Other significant changes are:
For more information about these requirements, please contact: Nina Renda at 973-912-6528 or Marion Acord at 404-222-3053.
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