The ABC and Cross-Border Assets: Property Outside California

California’s ABC statute governs assets located in California. When a business has assets in other states — inventory in a Texas warehouse, a bank account in New York, equipment in Nevada — the assignee must navigate a patchwork of state laws to collect those assets.

Handling Out-of-State Assets

The California Assignment Deed does not automatically operate in other states. To collect out-of-state assets, the assignee typically either domesticates the assignment in the other state or works directly with the custodian of the asset to obtain voluntary turnover based on the California assignment.

Most custodians cooperate with California assignees on a practical basis. A bank in another state that holds a business account will typically transfer the balance when presented with the California Assignment Deed and proof that the assignee represents the estate. Building this into the administration timeline avoids delays.

The California ABC System gives business owners and creditors the exact tools, templates, and step-by-step guidance to navigate an Assignment for Benefit of Creditors — faster and cheaper than bankruptcy. Request your free evaluation here.