The Controller shall deliver to the Treasurer the proceeds of any sale or lease of property, other than permanently escheated property, made pursuant to this chapter; and, on order of the Controller, the amount thereof shall be deposited in the Unclaimed Property Fund. Such amount shall be credited by the Controller to the account in said fund, in the name of which the property sold or leased was held. All moneys deposited in the Unclaimed Property Fund under the provisions of this section shall be held for the benefit of those entitled to claim the property sold or leased; but the period in which such moneys shall be available for claim by and payment to the persons entitled thereto shall not extend beyond the period in which such property is available for claim and payment under the provisions of this title.
§ 1390.Proceeds Deposited In Unclaimed Property Fund
Title 10. Unclaimed Property · Chapter 4. Management of Unclaimed Property · Article 4. Disposal of Proceeds of Sale or Lease · Enacted 1708 · no amendments on record · Last verified July 29, 2026
In one sentenceSection 1390 requires the Controller to deliver sale or lease proceeds from property that has not permanently escheated to the Treasurer for deposit in the Unclaimed Property Fund, credited to the account for that property, and holds the money for the eventual claimant only as long as the underlying property itself would have remained claimable.
Full Text of § 1390
Plain-English Summary
Selling property doesn't end the state's obligation to whoever might still claim it; the obligation shifts from the property itself to the cash it produced. Section 1390 directs the Controller to deliver to the Treasurer the proceeds of any sale or lease made under this chapter, other than permanently escheated property, and on the Controller's order, that amount gets deposited in the Unclaimed Property Fund and credited to the account in whose name the sold or leased property was originally held.
That deposit doesn't create a separate, longer-lived claim window. The money is held for the benefit of whoever is entitled to claim the original property, but the period during which the proceeds remain available for claim and payment cannot extend beyond the period the property itself would have been available for claim and payment under this title. In other words, converting property into cash doesn't reset the clock or extend anyone's time to come forward.
Frequently Asked Questions
What happens to the proceeds when the Controller sells or leases property that hasn't permanently escheated?
The Controller delivers the proceeds to the Treasurer, and on the Controller's order they're deposited in the Unclaimed Property Fund, credited to the account in the name the property was held under.
Does selling the property give claimants more time to come forward than if the property itself were still held?
No. Section 1390 caps the claim period for the proceeds at the same period during which the original property would have been available for claim and payment.
What happens to proceeds from property that has permanently escheated instead?
Section 1391 sends those proceeds to the General Fund rather than the Unclaimed Property Fund.
Who is the money held for once it's in the Unclaimed Property Fund?
The persons entitled to claim the property that was sold or leased, the same people who could have claimed the original property itself.
Amendment History
Added by Stats. 1951, Ch. 1708.
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: unclaimed property fund sale proceeds californiaclaim period for proceeds of sold escheated property