A Delaware federal judge has once again dismissed a challenge to the state’s method for collecting unclaimed property, saying a company could not plausibly claim the scheme was pre-empted by federal law.
The ruling was the second in a pair of decisions by the U.S. District Court for the District of Delaware rejecting the argument that a Delaware law violates a trilogy of U.S. Supreme Court cases that establish priority rules for disbursing abandoned or unclaimed property to competing states. Both times, the court held that the laws apply only to disputes between states, and not to conflicts between a private entity and a state.
