Minnesota Supreme Court Decides to Hear Challenge to State’s Management of Unclaimed Property

Minnesota Supreme Court grants further review of Appellate ruling on dormant accounts with large sums of money that the Minnesota Department of Commerce seized. Initially, this system was put in place in 1969 to protect inactive financial accounts and properties from financial institutions under the Minnesota Uniform Disposition of Unclaimed Property Act (MUPA). In 2015, the state had a reserve of $711.5 million in unclaimed property capital and has full discretion to use the money for any capacity. On January 23, 2017, the Appellate Court ruled that “MUPA does not create an unconstitutional taking and satisfies procedural due-process requirements.” Plaintiffs allege that Minnesota fails to provide adequate notice when it assumes custody and makes use of your personal property; and that the state owes interest on your cash when want to claim it back. A further review was ordered by Minnesota Supreme Court on April 18, 2017. Zimmerman Reed attorneys are working with a class to retrieve and return the money to their rightful owners.