What is a depository account as defined in asset forfeiture?

A depository account, as defined in the context of asset forfeiture, refers to an obligation of a financial institution to pay the account holder under a written agreement. This definition highlights the relationship between the depositor and the financial institution, which is established through formal documentation, indicating that the institution holds the funds and is responsible for their safekeeping.

In asset forfeiture cases, understanding this definition is crucial because it delineates the legal distinctions between various financial accounts that may be subject to seizure. Depository accounts often include traditional checking and savings accounts that provide liquidity to the account holder, as well as other instruments that a financial institution manages on behalf of its clients.

This understanding is fundamental in the asset forfeiture process, where law enforcement may seek to identify and potentially seize funds that are connected to criminal activities; knowing what constitutes a depository account allows officials to accurately assess financial assets involved in investigations.