What's Happening?
EisnerAmper, a prominent accounting and advisory firm, is highlighting the growing importance of addressing unclaimed property risks, particularly in light of recent actions by the state of Delaware. Delaware has initiated Voluntary Disclosure Agreement
(VDA) invitation campaigns in April and August 2026, prompting private equity sponsors and portfolio companies to reassess their exposure to unclaimed property liabilities. These liabilities often remain hidden until a transaction, audit, or state inquiry occurs, potentially affecting deal value and integration processes. EisnerAmper emphasizes the need for early assessment to provide greater flexibility and reduce future disruptions. The firm offers services such as risk assessments, M&A due diligence reviews, and compliance program development to help organizations manage these risks effectively.
Why It's Important?
The increased scrutiny from Delaware on unclaimed property risks poses significant implications for private equity firms and acquisitive companies. Unclaimed property liabilities, such as outstanding checks and customer credits, can accumulate quietly and impact financial statements if not addressed proactively. By integrating unclaimed property reviews into the due diligence process, companies can identify overlooked liabilities that might affect deal value or post-close integration. This proactive approach is crucial for maintaining compliance and protecting enterprise value, especially as organizations grow and undergo system changes. EisnerAmper's advisory services are positioned to assist companies in navigating these complexities, ensuring they are prepared for potential state inquiries and regulatory reviews.
What's Next?
Organizations that receive inquiries from Delaware regarding unclaimed property should review the scope of the inquiry, gather key stakeholders, and evaluate historical records to assess potential exposure. Developing a coordinated response strategy, possibly with outside guidance, is recommended. As Delaware continues its VDA campaigns, companies are encouraged to conduct proactive reviews to uncover previously unknown risks and address compliance gaps before they become urgent. EisnerAmper's ongoing support in compliance and audit readiness can help organizations manage these challenges effectively.
Beyond the Headlines
The focus on unclaimed property risk highlights broader governance and risk management strategies that organizations must adopt. As businesses expand and integrate new acquisitions, understanding inherited compliance obligations becomes crucial. This development underscores the importance of comprehensive risk management frameworks that include unclaimed property as a key component. By addressing these risks early, companies can enhance their transaction-readiness and protect their enterprise value from unforeseen liabilities.
