The rate of exchange prevailing at or near the close of business on the day the distribution proceeding is initiated governs all exchanges of foreign money in a distribution proceeding. A foreign-money claimant in a distribution proceeding shall assert its claim in the named foreign money and show the amount of United States dollars resulting from a conversion as of the date the proceeding was initiated.
§ 8.01-465.21.Conversions of foreign money in distribution proceeding.
Chapter 17.3. Uniform Foreign-money Claims Act · Last amended 1991 · Last verified July 16, 2026
In one sentenceThis section freezes the exchange rate as of the date a distribution proceeding such as an estate, trust, or insolvency distribution begins, requiring every foreign-money claimant in that proceeding to state its claim in the named foreign currency along with the dollar amount that rate produces.
Full Text of § 8.01-465.21
Plain-English Summary
A distribution proceeding often has to divide a single fund among many claimants at once, and letting each claimant use its own preferred conversion date would make that division unfair. This section fixes a single moment instead: the rate of exchange prevailing at or near the close of business on the day the distribution proceeding is initiated governs all exchanges of foreign money in that proceeding.
Every foreign-money claimant then has to work within that fixed rate. It must assert its claim in the named foreign money, but also show the amount of United States dollars that conversion produces as of the date the proceeding began.
That single-date approach differs from how conversion works in ordinary litigation under § 8.01-465.20, where the conversion date tracks the actual date of payment or enforcement rather than the date the case started. Freezing the rate at the outset of a distribution proceeding keeps every claimant on equal footing when a shared fund is being divided.
Frequently Asked Questions
What date sets the exchange rate for a distribution proceeding?
The day the distribution proceeding is initiated, using the rate prevailing at or near the close of business that day.
Does this rate govern every currency exchange in the proceeding?
Yes, it “governs all exchanges of foreign money in a distribution proceeding.”
How must a foreign-money claimant present its claim in a distribution proceeding?
In the named foreign money, along with the amount of United States dollars resulting from converting it as of the date the proceeding was initiated.
Is this the same conversion-date rule used for ordinary judgments under § 8.01-465.20?
No, this section fixes the rate to the date the distribution proceeding starts, while § 8.01-465.20 ties conversion to the date of actual payment or enforcement.
What kinds of proceedings count as a “distribution proceeding” under this section?
As defined in § 8.01-465.14, an accounting, an assignment for the benefit of creditors, a foreclosure, the liquidation or rehabilitation of a corporation or other entity, and the distribution of an estate, trust, or other fund.
Amendment History
1991, c. 24.
Source & verification. Section text and amendment history are
reproduced verbatim from the Code of Virginia, published by the
Code of Virginia, Virginia Division of Legislative Automated Systems. Last verified July 16, 2026.
· Official source
Also known as: foreign money conversion rate in a distribution proceeding virginiaestate distribution foreign currency claim virginiaexchange rate date for a bankruptcy or estate distribution virginiaasserting a foreign money claim in an estate proceeding