Pa. Company Rejects Del. Abandoned Property Claim - WBOC-TV 16, Delmarvas News Leader, FOX 21 -

Pa. Company Rejects Del. Abandoned Property Claim

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DOVER, Del. (AP) - A Pennsylvania-based hospital and clinic operator has filed a federal lawsuit challenging Delaware's demand that it pay an abandoned property claim of almost $300,000.

Delaware officials sent a demand letter to Select Medical Corp. last month, giving the company 30 days to pay for unclaimed accounts payable before facing penalties and interest.

Select Medical says Delaware's claim violates its due process rights and the commerce clause of the U.S. Constitution and amounts to an unlawful taking. It also says the clam is based on an impermissible and faulty estimate.

Abandoned property, or escheat, is a major revenue source for Delaware, bringing in more than a half-billion dollars this year. That's equal to the revenue from corporate income taxes, gross receipts taxes on businesses, and the lottery and gambling combined.

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