2005 Nevada Revised Statutes - Chapter 154 — Escheats

CHAPTER 154 - ESCHEATS

PROPERTY ESCHEATING TO STATE

NRS 154.010 Whenestates escheat; escheated estates must be used for educational purposes.

NRS 154.015 Paymentsor deliveries by personal representative to State Treasurer: Filing of receiptor certificate; release of liability of personal representative.

NRS 154.020 Informationfiled by Attorney General: Contents.

NRS 154.030 Citation:Issuance; publication.

NRS 154.040 Receiver:Appointment on petition of Attorney General after filing of information; bond.

NRS 154.060 Claimantsmay appear and plead to information.

NRS 154.070 Judgmentand costs.

NRS 154.080 Saleof real property after judgment: Procedure.

NRS 154.100 Appealfrom judgment.

NRS 154.105 Saleof escheated property; deposit of proceeds.

NRS 154.110 Dutiesof Director of State Department of Conservation and Natural Resources.

NRS 154.115 Dutiesof State Controller.

NRS 154.120 Proceedingsfor recovery of property.

NRS 154.130 Personfurnishing information entitled to percentage of value of recovered property.

NRS 154.140 Depositof money from escheated estates.

DISPOSITION OF REAL PROPERTY AFTER ESCHEAT

NRS 154.150 Petitionto acquire title to escheated property.

NRS 154.160 Petitionto be accompanied by purchase price and fees.

NRS 154.170 Noticeof sale: Posting, publication and contents; rejection of bids.

NRS 154.180 Costsborne by purchaser.

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PROPERTY ESCHEATING TO STATE

NRS 154.010 Whenestates escheat; escheated estates must be used for educational purposes. An estate escheats to and is vested in the State of Nevadafor educational purposes if any person dies or has died, within this State,seised of any real or personal estate, and leaving no heirs, representatives ordevisees capable of inheriting or holding the estate, and in all cases wherethere is no owner of the estate capable of holding it. Any balance remaining ina retired employees or beneficiarys individual account under the PublicEmployees Retirement System or the Judicial Retirement System establishedpursuant to chapter 1A of NRS is not an estatewithin the meaning of this chapter.

[311:107:1941; 1931 NCL 9882.311](NRS A 1977,1598; 1999, 2354;2001 SpecialSession, 93)

NRS 154.015 Paymentsor deliveries by personal representative to State Treasurer: Filing of receiptor certificate; release of liability of personal representative. If a personal representative, on order of the court, paysover or delivers to the State Treasurer property which has become escheatableto the State, the receipt or certificate of the State Treasurer evidencing thepayment or delivery must be filed with the clerk of the district court in thecounty in which the estate is being administered or is located. Upon filing ofthe receipt or certificate, the personal representative is released from allfurther liability relating to the property.

(Added to NRS by 1999, 2353)

NRS 154.020 Informationfiled by Attorney General: Contents.

1. If the Attorney General is informed, or has reasonto believe, that any real or personal property has become escheatable to thisState for the reasons specified in NRS154.010, or that any such property has, for any other reason, become escheatable,the Attorney General shall file an information on behalf of the State in the districtcourt of the county where the property, or any part thereof, is located.

2. The information must set forth:

(a) A description of the property.

(b) The name of the person last lawfully seised.

(c) The name of the persons holding, possessing orclaiming the property, if known.

(d) The facts and circumstances giving rise to theclaim for escheatment.

3. The information must allege that the State ofNevada has by law the right to the property.

[Part 312:107:1941; A 1951, 19](NRS A 1999, 2354)

NRS 154.030 Citation:Issuance; publication.

1. Upon the filing of the information, the court shallorder that a citation be issued to the person or persons alleged in theinformation to hold, possess or claim the property, requiring them to appearand show cause why the property should not vest in the State of Nevada. Unlessthe court otherwise orders, the citation must be made returnable at least 20days after its service.

2. The court may also, if deemed advisable, order thecitation to be published in a newspaper published in the county where theadministration is pending, if any, and, if none, then in some newspaper in thisState.

[Part 312:107:1941; A 1951, 19](NRS A 1999, 2354)

NRS 154.040 Receiver:Appointment on petition of Attorney General after filing of information; bond.

1. After the filing of an information as provided in NRS 154.020, and upon petition of theAttorney General, either before or after answer, upon notice to the person orpersons holding, possessing or claiming the property, if known, the court may,on sufficient cause therefor being shown, appoint a receiver to take charge ofthe real estate or personal property, other than money, mentioned in theinformation, and receive the rents and profits of the property until the titleof the property is finally settled.

2. The receiver shall, before entering upon hisduties, execute a bond to the State of Nevada in a sum to be fixed by thecourt, with sureties to be approved by the court, conditioned to performfaithfully the duties of the trust and to account fully to the person finallydetermined to be entitled to the property. That person may maintain an actionon the bond for any default or damage.

[316:107:1941; 1931 NCL 9882.316](NRS A 1999, 2354)

NRS 154.060 Claimantsmay appear and plead to information.

1. All persons named in the information may appear andplead to the proceedings, and may traverse or deny the facts stated in theinformation and the title of the State to the estate at any time on or beforethe return day of the citation.

2. Any other person claiming an interest in theproperty may appear and be made a defendant, and plead as stated in subsection1 by petition for that purpose filed within the time allowed for pleading.

3. If any person appears and pleads as stated insubsections 1 and 2, denying the title claimed by the State, or traverses anymaterial fact set forth in the information, or issue or issues of fact to bemade up, the matter must proceed as other civil actions on issues of fact.

4. A survey may be ordered, as in other civil actions,if the boundary is called into question.

[Part 313:107:1941; 1931 NCL 9882.313](NRS A 1999, 2355)

NRS 154.070 Judgmentand costs. After the issues are tried, if itshall appear from the facts that the State has a good title to the estatementioned in the information, or any part thereof, or if no defense be made byanyone, judgment shall be rendered that the State be seised thereof, andrecover costs of suit against the defendants, if any appear.

[Part 313:107:1941; 1931 NCL 9882.313]

NRS 154.080 Saleof real property after judgment: Procedure.

1. Upon any judgment entered by a court of competentjurisdiction, escheating real property to the State, on petition of theAttorney General, or on petition of a personal representative of the estate,the court shall, or the court may upon its own motion, enter an order that thereal property be sold by the sheriff of the county where the property issituated, at public sale, after giving notice of the time and place of sale asis provided in cases of sale of property under execution.

2. The sheriff shall, within 10 days after the sale,submit a report thereof to the court. Upon the hearing of the report, the courtmay examine the report and any witnesses, and if the proceedings were unfair,or the sum bid is disproportionate to the value of the property sold, or if itappears that a sum exceeding the bid by at least 5 percent may be obtained, thecourt may vacate the sale and direct another sale to be conducted in allrespects as if no previous sale had taken place.

3. If an offer of 5 percent more in amount than thatnamed in the report is made to the court in writing by a responsible person,the court may accept that offer and confirm the sale, or order a new sale.

4. If it appears to the court that the sale waslegally made and fairly conducted, and that the sum bid is not disproportionateto the value of the property sold, and that a sum in excess of 5 percent morethan the bid cannot be obtained, or if an increased bid was accepted by thecourt, the court shall enter an order confirming the sale and directing thesheriff, in the name of the State, to execute to the purchaser a conveyance ofthe property sold. The conveyance vests in the purchaser all the right andtitle of the State therein.

5. The sheriff shall, out of the proceeds of the sale,pay the costs of the proceedings incurred on behalf of the State, including theexpenses of making the sale, and also an attorneys fee, if additional counselwas employed in the proceedings, to be fixed by the court. The sheriff shalldeposit the remaining proceeds in the State Treasury for credit to the Fund forEscheated Estates.

[Part 313:107:1941; 1931 NCL 9882.313](NRS A 1983,1091; 1999, 2355)

NRS 154.100 Appealfrom judgment. As in civil cases, the AttorneyGeneral, in behalf of the State, and any party who has appeared in anyproceedings mentioned in NRS 154.060,has the right to appeal from any judgment rendered in the proceedings.

[314:107:1941; 1931 NCL 9882.314]

NRS 154.105 Saleof escheated property; deposit of proceeds.

1. The State Treasurer may sell at a public saleproperty in the custody of the State Treasurer which has escheated to theState. The State Treasurer shall cause public notice of the sale to be given.Any money received from the sale must be deposited in the State Treasury forcredit to the Fund for Escheated Estates.

2. The personal representative of an estate shall sellany property and transmit the proceeds of the sale to the State Treasurer forcredit to the Fund for Escheated Estates unless the State Treasurer authorizestransmittal of the property.

(Added to NRS by 1983, 1091; A 1999, 2356)

NRS 154.110 Dutiesof Director of State Department of Conservation and Natural Resources. The Director of the State Department of Conservation andNatural Resources shall keep a true record or description of all real propertyvested in the State by escheat. All real property must be described by legalsubdivision, by metes and bounds sufficiently accurate to identify the groundon an approved township plat from the Bureau of Land Management or, if withinan approved townsite, by reference to the lot, block, and tract or subdivision.

[1:55:1941; 1931 NCL 7530.01] + [Part 315:107:1941;A 1951, 27](NRS A 1957, 654; 1983, 1092; 1991, 206)

NRS 154.115 Dutiesof State Controller. The State Controllershall:

1. Keep a true account of all money paid into theState Treasury for credit to the Fund for Escheated Estates and of all real andpersonal property vested in the State by escheat.

2. Account separately for the proportionate share ofinterest earned on the money in the Fund for Escheated Estates and credit anamount equal to that interest to the Fund.

3. Transfer:

(a) All of the interest earned on the money in the Fundfor Escheated Estates;

(b) All income of any kind which is earned on any realor personal property vested in the State by escheat; and

(c) All estates which are not claimed within the periodfixed by NRS 154.120, to the StatePermanent School Fund at least annually.

(Added to NRS by 1983, 1091)

NRS 154.120 Proceedingsfor recovery of property.

1. If, within 6 years after any judgment escheatingproperty to the State, any person claims any money or property vested in theState by the judgment, the person may file a petition in the district court ofCarson City, stating the nature of the claim, with an appropriate request forthe relief demanded.

2. A copy of the petition must be served upon theAttorney General before or at the time of filing. Within 20 days after service,the Attorney General shall appear in the proceeding and plead or answer thepetition. If, after examining all the facts, the Attorney General is convincedthat the State has no legal defense against the petition, the Attorney Generalmay, with the consent of the court, confess judgment on behalf of the State.

3. If judgment is not confessed, the petition is atissue on the 20th day after its filing, and may be heard by the court on thatday, or at such future day as the court may order.

4. Upon the hearing, the court shall examine the claimand hear the allegations and evidence. If the court finds that the person isentitled to any money, it shall, by judgment, order the State Controller todraw his warrant in favor of the claimant upon the State Treasurer for the sumspecified in the order, but without interest, income or cost of any kind to thestate. A certified copy of the judgment and order directing the StateController to draw a warrant for money is a sufficient voucher to do so.

5. If any property is the subject of the trial, andthe court finds the claimant entitled to it, the court shall enter an orderaccordingly. The order divests the interests of the State in or to theproperty, but no interest, income or other cost of any kind may be taxedagainst the State.

6. If any property has been sold as provided in thischapter after the judgment of escheat, the petitioner is entitled to theproceeds of the sale less the cost of the sale without any interest, income orother cost to the State of any kind, in lieu of the property, and the courtshall enter an order accordingly.

7. All persons, except minors and incapacitatedpersons, who fail to appear and file their petitions within the time limited insubsection 1 are barred forever. Minors and incapacitated persons may appearand file their petitions at any time within 5 years after their respectivedisabilities are removed.

[Part 6:55:1941; A 1951, 26] + [Part 315:107:1941; A1951, 27](NRS A 1969, 315; 1983, 1092; 1999, 2356)

NRS 154.130 Personfurnishing information entitled to percentage of value of recovered property. Any person furnishing original information of any propertyescheatable to the State of Nevada, with the necessary evidence to sustain theinformation in that behalf, to the court of the county where the property is located,and to the Attorney General, shall be entitled to receive, upon the final recoveryof the property, 5 percent of the value of the property so recovered; provided:

1. That the amount so received by the personfurnishing the information shall not in the aggregate exceed the sum of $20,000in any one case; and

2. That one person only shall be entitled tocompensation for such service.

[317:107:1941; A 1951, 19]

NRS 154.140 Depositof money from escheated estates. All money receivedby the State from escheated estates must be deposited in the State Treasury forcredit to the Fund for Escheated Estates which is hereby created as a trustfund.

[318:107:1941; 1931 NCL 9882.318](NRS A 1959, 23;1983, 1093)

DISPOSITION OF REAL PROPERTY AFTER ESCHEAT

NRS 154.150 Petitionto acquire title to escheated property.

1. A person desiring to acquire title to anyindividual item or real property which has escheated to the State must proceedby petition to the Director of the State Department of Conservation and NaturalResources on forms obtainable at his office and in the manner described in NRS 154.150 to 154.180, inclusive.

2. A petition for unimproved real property outside of approvedtownsites may not be accepted for a parcel of land less than the smallest legalsubdivision (40 acres) unless the area in its entirety is less than 40 acres.In such a case, that portion of the subdivision must be described and disposedof on one petition unless, in the discretion of the Director of the StateDepartment of Conservation and Natural Resources, it is found that theremaining portion could be disposed of within a reasonable length of time, andwould not become an isolated tract. He may then accept an application for aportion of the tract, if a survey is made and a plat submitted on tracingcloth, 24 inches by 32 inches, on which is set forth an accurate description ofthe property by metes and bounds, with at least one corner of the property tiedto a point on the United States public land surveys.

[2:55:1941; 1931 NCL 7530.02](NRS A 1957, 654; 1999, 2357)

NRS 154.160 Petitionto be accompanied by purchase price and fees. Thepetition must be accompanied by:

1. The purchase price in the amount of thepetitioners offer for the real property desired.

2. A sufficient sum to cover the cost of advertising.

3. A fee of $5.

[3:55:1941; 1931 NCL 7530.03](NRS A 1999, 2357)

NRS 154.170 Noticeof sale: Posting, publication and contents; rejection of bids.

1. The Director of the State Department ofConservation and Natural Resources shall issue a receipt to the petitioner forthe amount deposited in his trust and shall without any unnecessary delay causenotice of the petition to be given in the following manner:

(a) By posting one of the notices in a conspicuous placein the office of the Director of the State Department of Conservation andNatural Resources.

(b) By posting one of the notices at a conspicuousplace at the property.

(c) By publishing a notice in a newspaper in the countyin which the real property is located at least once each week for 4 consecutiveweeks prior to the date of sale.

2. The notice must contain:

(a) The name of the deceased owner in which was vestedthe title before death, if known.

(b) A description of the property as contained in thepetition.

(c) The amount of the offer contained in the petition.

(d) A statement that the property will be sold to thehighest bidder, specifying the time and place of the sale and that thetransaction must be handled in legal tender of the United States or a certifiedcheck.

3. The Director of the State Department ofConservation and Natural Resources may reject any or all bids.

[4:55:1941; 1931 NCL 7530.04](NRS A 1999, 2357)

NRS 154.180 Costsborne by purchaser. The person to whom thetitle passes must pay the cost of advertising and the petition fee. When thetitle passes to a person other than the person who made the petition, theoriginal petitioner must be reimbursed all moneys deposited by him.

[5:55:1941; 1931 NCL 7530.05](NRS A 1999, 2358)