The Wall Street Journal (paywall) reported that Delaware U.S. District Court Judge Sue Robinson ruled that a company proceed with its case that allows the state to collect unclaimed property from companies incorporated in the state.
The suit was filed last year by Temple-Inland, a container company that is part of International Paper Co.
The suit claims that the state seeks unclaimed revenue based on estimates from the state. Temple-Inland claimed the state sought nearly $1.4 million, while the actual amount was less than $150, according to a court filing.
The ability of the state to seek out unclaimed property is a major source of state revenue in Delaware, but has long been controversial in corporate circles.
The state had been seeking to dismiss the suit.
Unclaimed property accounts for about 14 percent of Delaware revenues, the Journal reported.
The unclaimed property can include checks for payroll or vendors that are not cashed.
