§ 15-15-310 — Terms, conditions, and forms for registration

(1) A registering
entity offering to accept registrations in beneficiary form may establish the terms
and conditions under which it will receive requests (i) for registrations in beneficiary
form, and (ii) for implementation of registrations in beneficiary form, including
requests for cancellation of previously registered TOD beneficiary designations and
requests for reregistration to effect a change of beneficiary. The terms and
conditions so established may provide for proving death, avoiding or resolving any
problems concerning fractional shares, designating primary and contingent
beneficiaries, and substituting a named beneficiary's descendants to take in the
place of the named beneficiary in the event of the beneficiary's death. Substitution
may be indicated by appending to the name of the primary beneficiary the letters
LDPS, standing for lineal descendants per stirpes. This designation substitutes a
deceased beneficiary's descendants who survive the owner for a beneficiary who
fails to so survive, the descendants to be identified and to share in accordance with
the law of the beneficiary's domicile at the owner's death governing inheritance by
descendants of an intestate. Other forms of identifying beneficiaries who are to
take on one or more contingencies, and rules for providing proofs and assurances
needed to satisfy reasonable concerns by registering entities regarding conditions
and identities relevant to accurate implementation of registrations in beneficiary
form, may be contained in a registering entity's terms and conditions.

(2) The following are illustrations of registrations in beneficiary form which a
registering entity may authorize:

(a) Sole owner-sole beneficiary: John S Brown TOD (or POD) John S Brown Jr.

(b) Multiple owners-sole beneficiary: John S Brown Mary B Brown JT TEN
TOD John S Brown Jr.

(c) Multiple owners-primary and secondary (substituted) beneficiaries: John
S Brown Mary B Brown, JT TEN TOD John S Brown Jr SUB BENE Peter Q Brown or
John S Brown Mary B Brown JT TEN TOD John S Brown Jr LDPS.

Legislative History

Source: L. 90: Entire article R&RE, p. 919, � 1, effective July 1. L. 99: (1) amended, p. 622, � 18, effective August 4.