Fall 2025 unclaimed property update

The fall 2025 unclaimed property compliance season has already begun as companies send out owner due diligence notices and begin to gather their records for the reports due at the end of October. However, companies should be aware of several updates that may impact their current and future reporting obligations:

Delaware

Illicit property reporting guidelines

Although Delaware unclaimed property reports are due in spring, companies should be aware that the Delaware Office of Unclaimed Property recently published guidelines instructing companies on how to report illicit property when a holder has a reasonable belief that an owner is using a false identity. Specifically, the guidelines apply when a company holding unclaimed property (holder) reasonably believes that the owner provided a false name, identity and/or address and has a reasonable belief that fraud or illegal activity concerning the property has occurred.

Prior to reporting illicit property, holders should first contact the appropriate law enforcement agency if any potential for fraud or illegal activity is suspected and turn the property over to law enforcement, or, if appropriate, attempt to return the illicit property to the source, according to the new guidelines.

The policy includes additional criteria and details, including rules regarding owner information and certain transfers of property, a requirement to report illicit property separately, illicit property reporting procedures and consequences of noncompliance. Companies can learn more about the illicit reporting guidelines here.

VDA invitations

The Delaware Secretary of State (SOS) recently posted a notice on its website stating that it began sending a new round of invitations for holders to participate in the Delaware SOS Voluntary Disclosure Agreement (VDA) Program on Aug. 15, 2025. Any holder who received an Aug. 15, 2025 VDA invitation will be able to join the SOS VDA program through Nov. 13, 2025.

The Office of Unclaimed Property (OUP) will send letters the week of Oct. 14, 2025, advising any holder who received the August 2025 invitation but has not yet enrolled in the SOS VDA Program that the OUP will not send Notices of Examination until the week of Nov. 13, 2025. Holders who intend to enroll in the VDA program should do so by sending in a completed VDA-1 as soon as possible and during this additional time period. By Nov. 17, 2025, OUP will begin to send a Notice of Examination to any holder who received a VDA invitation but has not enrolled in the VDA program.