§314. Trust deposits; death of depositor; payment
A.Upon the death of a depositor who has deposited a sum in any bank account
evidencing by the depositor's signature an intention that upon the death of the depositor, the
funds shall belong to one or more named beneficiaries of the depositor, the bank may pay the
deposit, together with the dividends or interest accruing thereto, to the named beneficiaries
for whom the deposit was made. Upon receiving a death certificate, the bank may disburse
funds to the named beneficiaries. The beneficiaries shall be specifically named in the deposit
account records of the bank.
B.The title of such an account must include the terms "in trust for", "as trustee for",
or "payable on death to", such beneficiary or beneficiaries. Such beneficiaries must be
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§314. Trust deposits; death of depositor; payment
A. Upon the death of a depositor who has deposited a sum in any bank account
evidencing by the depositor's signature an intention that upon the death of the depositor, the
funds shall belong to one or more named beneficiaries of the depositor, the bank may pay the
deposit, together with the dividends or interest accruing thereto, to the named beneficiaries
for whom the deposit was made. Upon receiving a death certificate, the bank may disburse
funds to the named beneficiaries. The beneficiaries shall be specifically named in the deposit
account records of the bank.
B. The title of such an account must include the terms "in trust for", "as trustee for",
or "payable on death to", such beneficiary or beneficiaries. Such beneficiaries must be
specifically named in the deposit account records of the bank.
C. Repealed by Acts 2009, No. 499, §2.
D.(1) When an account described in Subsection A of this Section is established by
more than one depositor, the respective interests of each depositor shall be deemed equal to
that of each other depositor, unless otherwise stated in the bank's deposit account records.
(2) When an account described in Subsection A of this Section is established for
more than one beneficiary, the respective interests of each shall be deemed equal to that of
each other beneficiary, unless otherwise stated in the bank's deposit account records.
E. No bank paying a beneficiary in accordance with this Section shall be liable to the
estate or any heir of the decedent nor shall the account holder be liable for any estate or
succession taxes which may be due the state, and delivery of the funds shall constitute a full
and complete discharge of the bank for the payment or delivery so made and shall relieve the
bank from all adverse claims thereto by a person claiming as a surviving or former spouse
or a successor to such a spouse. No tax collector, creditor, heir, legatee, personal
representative, or any other person shall have any right or cause of action against the
financial institution on account of such payment.
F. The provisions of this Section shall apply notwithstanding the fact the decedent
designates a beneficiary by last will and testament. The provisions of this Section shall not
prohibit any right of forced heirship or the collation or collection of funds due any spouse,
heir, legatee, creditor, or other person having rights or claims to funds of the deceased
depositor.