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§ 1255.070.Deposit In County Treasury In Lieu of State Treasury; Investment of Money Deposited In State Treasury

Title 7. Eminent Domain Law · Chapter 6. Deposit and Withdrawal of Probable Compensation; Possession Prior to Judgment · Article 1. Deposit of Probable Compensation · Last amended 1990 · Last verified July 29, 2026

In one sentenceSection 1255.070 lets a plaintiff request that a deposit go into the county treasury instead of the State Treasury, and explains that money held in the State Treasury is invested and disbursed under the Government Code's general rules while staying at the plaintiff's risk until paid to the defendant.

Full Text of § 1255.070

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In lieu of depositing the money with the State Treasury as provided in Section 1255.010, upon written request of the plaintiff, the court shall order the money be deposited in the county treasury. If money is deposited in the State Treasury pursuant to Section 1255.010, it shall be held, invested, deposited, and disbursed in the manner specified in Article 10 (commencing with Section 16429) of Chapter 2 of Part 2 of Division 4 of Title 2 of the Government Code, and interest earned or other increment derived from its investment shall be apportioned and disbursed in the manner specified in that article. As between the parties to the proceeding, money deposited pursuant to this article shall remain at the risk of the plaintiff until paid or made payable to the defendant by order of the court.

Plain-English Summary

A plaintiff doesn't have to use the State Treasury by default. On the plaintiff's written request, the court orders the deposit placed in the county treasury instead. If the money does go into the State Treasury under § 1255.010, it's held, invested, deposited, and disbursed under Government Code Article 10 (commencing with § 16429), and any interest or other increment from that investment gets apportioned and paid out under that same article.

Between the parties themselves, the risk stays on the plaintiff. Money deposited under this article remains at the plaintiff's risk until it's paid, or made payable, to the defendant by court order -- so a loss on the investment side doesn't shortchange the defendant's eventual recovery.

Frequently Asked Questions

Can a plaintiff choose where the deposit is held?

Yes. On the plaintiff's written request, the court will order the deposit placed in the county treasury instead of the State Treasury.

Who bears the risk on money sitting in the State Treasury?

The plaintiff, until the money is paid or made payable to the defendant by court order.

How is interest on a State Treasury deposit handled?

It's apportioned and disbursed the way Government Code Article 10 (commencing with § 16429) provides.

Amendment History

Amended by Stats. 1990, Ch. 1491, Sec. 11.

Source & verification. Section text is reproduced verbatim from the Deering's California Codes Annotated / vLex. Enacted by the California Legislature. Last verified July 29, 2026. · Official source
Also known as: county treasury deposit eminent domain californiarisk of loss condemnation deposit california