556.5 Stocks and other intangible interests in business associations. 1. Any stock, shareholding, or other intangible ownership interests in a business association, the existence of which is evidenced by records available to the association, isdeemed abandoned and, with respect to the interest, the association is the holder, if both ofthe following apply: a. The interest in the association is owned by a person who for more than three years has neither claimed a dividend, distribution, nor other sum payable as a result of theinterest, or who has not communicated with the association regarding the interest or adividend, distribution, or other sum payable as the result of the interest, as evidenced by amemorandum or other record on file with the association prepared by an employee of theassociation. b. The association does not know the location of the owner at the end of the three-year period. 2. The return of official shareholder notifications or communications by the postal service as undeliverable shall be evidence that the association does not know the location of theowner. 3. This section shall be applicable to both the underlying stock, shareholdings, or other intangible ce as undeliverable shall be evidence that the association does not know the location of theowner. 3. This section shall be applicable to both the underlying stock, shareholdings, or other intangible ownership interests of an owner, and any stock, shareholdings, or other intangibleownership interest of which the business association is in possession of the certificate orother evidence or indicia of ownership, and to the stock, shareholdings, or other intangibleownership interests of dividend and nondividend paying business associations whether ornot the interest is represented by a certificate. 4. At the time an interest is deemed abandoned under this section, the following shall apply: a. Except as provided in paragraph 'b', any dividend, distribution, or other sum then held for or owing to the owner as a result of the interest, and not previously deemed abandoned,is deemed abandoned. b. A disbursement held by a cooperative association shall not be deemed abandoned under this chapter if the disbursement is retained by a cooperative association organizedunder chapter 490 as provided in section 490.628, by a cooperative association organizedunder chapter 499 as provided in section if the disbursement is retained by a cooperative association organizedunder chapter 490 as provided in section 490.628, by a cooperative association organizedunder chapter 499 as provided in section 499.30A, or by a cooperative as provided in section501A.1008. 5. This section does not apply to any stock or other intangible ownership interest enrolled in a plan that provides for the automatic reinvestment of dividends, distributions, or othersums payable as a result of the interest unless one or more of the following applies: a. The records available to the administrator of the plan show, with respect to any intangible ownership interest not enrolled in the reinvestment plan, that the owner has notwithin three years communicated in any manner described in subsection 1. b. Three years have elapsed since the location of the owner became unknown to the association, as evidenced by the return of official shareholder notifications orcommunications by the postal service as undeliverable, and the owner has not within thosethree years communicated in any manner described in subsection 1. The three-year periodfrom the return of official shareholder notifications or communications shall and the owner has not within thosethree years communicated in any manner described in subsection 1. The three-year periodfrom the return of official shareholder notifications or communications shall commencefrom the earlier of the return of the second such mailing or the time the holder discontinuesmailings to the shareholder. [C71, 73, 75, 77, 79, 81, §556.5]84 Acts, ch 1295, §9; 85 Acts, ch 195, §50; 91 Acts, ch 267, §628; 93 Acts, ch 178, §33, 34; 94 Acts, ch 1023, §116; 96 Acts, ch 1173, §6; 2001 Acts, ch 142, §6; 2005 Acts, ch 135, §117 Referred to in §490.628, 499.30A, 501A.1008, 556.10, 556.14, 556.17 Sat Dec 23 11:04:23 2023 Iowa Code 2024, Section 556.5 (17, 0)
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