Cory

These appeals are from judgments entered on a determination by the superior court that funds represented by certain unnegotiated and unreturned checks have escheated to the State of California pursuant to the Unclaimed Property Law (hereinafter UPL). (Code Civ. Proc., § 1500 et seq.)

Appellant and respondent Blue Cross of Northern California (Blue Cross) is a nonprofit hospital service corporation organized and doing business pursuant to the Nonprofit Hospital Service Plans Law. (Ins. Code, div. 2, pt. 2, ch. 11A [commencing with § 11491].) It offers contracts to the general public which obligate it to pay hospital, medical, and related benefits claimed by its premium-paying subscribers. During the period of time involved in this litigation, Blue Cross met its contractual obligations by writing and mailing checks to the subscribers entitled to payment. It similarly wrote and mailed checks to other persons. A large number of these checks were not negotiated by the payees and were not returned to Blue Cross, which eventually recorded their amounts as “miscellaneous income” received by itself.

Respondent and appellant Kenneth Cory, the State Controller, is charged by the…