§ 15-1.5-107 — General duties of custodial trustee

Colorado § 15-1.5-107

• Jurisdiction: Colorado
• Title 15: Probate,
• Art.: Colorado Uniform Custodial Trust Act

Text

(1) If appropriate, a
custodial trustee shall register or record the instrument vesting title to custodial
trust property.

(2) If the beneficiary is not incapacitated, a custodial trustee shall follow the
directions of the beneficiary in the management, control, investment, or retention of
the custodial trust property. In the absence of effective contrary direction by the
beneficiary while not incapacitated, or if the beneficiary is incapacitated, the
custodial trustee shall observe the standard of care that would be observed by a
prudent person dealing with property of another and shall comply with the
provisions of the Colorado Uniform Prudent Investor Act. However, a custodial
trustee, in the custodial trustee's discretion, may retain any custodial trust property
received from the transferor.

(3) Subject to subsection (2) of this section, a custodial trustee shall take
control of and collect, hold, manage, invest, and reinvest custodial trust property.

(4) A custodial trustee at all times shall keep custodial trust property of
which the custodial trustee has control, separate from all other property in a
manner sufficient to identify it clearly as custodial trust property of the beneficiary.
Custodial trust property, the title to which is subject to recordation, is so identified
if an appropriate instrument so identifying the property is recorded, and custodial
trust property subject to registration is so identified if it is registered, or held in an
account in the name of the custodial trustee, designated in substance: as custodial
trustee for (name of beneficiary) under the Colorado Uniform Custodial Trust
Act.

(5) A custodial trustee shall keep records of all transactions with respect to
custodial trust property, including information necessary for the preparation of tax
returns, and shall make the records and information available at reasonable times
to the beneficiary or legal representative of the beneficiary.

(6) The exercise of a durable power of attorney for an incapacitated
beneficiary is not effective to terminate or direct the administration or distribution
of a custodial trust.

Legislative History

Source: L. 99: Entire article added, p. 1215, � 1, effective August 4.