§ 404.540 — Transfer of property to custodian, procedure, forms — receipt for delivery of property deemed a release.

Missouri § 404.540

• Jurisdiction: Missouri
• Title XXVI: TRADE AND COMMERCE
• Ch. 404: Transfers to Minors — Personal Custodian and Durable Power of Attorney

Text

1.  The designation of a personal custodian and transfer of property to the personal custodian shall be made in the following manner:

(1)  If the subject of the custodianship is property for which a conveyance is filed with a recorder of deeds, property for which a certificate of ownership or similar title instrument is issued by an agency of any state or of the United States, property which is maintained in registered name, property which is evidenced by a written instrument or property which is deposited in an account with a broker or financial institution, by executing a deed, assignment, endorsement or other appropriate writing placing the property in the name of the designated personal custodian followed in substance by the words:  "as personal custodian for ______ (name of beneficiary) under the Missouri Personal Custodian Law";

(2)  If the subject of the custodianship is money or an unregistered security, by having it paid or delivered to a broker or financial institution for the account of the person designated personal custodian followed in substance by the words:  "as personal custodian for ______ (name of beneficiary) under the Missouri Personal Custodian Law";

(3)  If the subject of the custodianship is a transfer of property by the irrevocable exercise of a power of appointment or a transfer of an irrevocable present right to future payment, by giving written notice to the holder of the property or payment obligor that the property or right is transferred to the person designated personal custodian followed in substance by the words: "as personal custodian for ______ (name of beneficiary) under the Missouri Personal Custodian Law";

(4)  If the subject of the custodianship is to be a future transfer of property under a will, trust, deed, power of appointment, benefit plan, life or endowment insurance policy, annuity or other contract, or a pay or transfer on death direction, by making the gift or beneficiary designation in the name of the designated personal custodian followed in substance by the words: "as personal custodian for ______ (name of beneficiary) under the Missouri Personal Custodian Law", or by naming the beneficiary of the gift and providing for alternate distribution of the property to a personal custodian for the beneficiary under sections 404.400 to 404.650 in the event the beneficiary is incapacitated at the time the property becomes transferable;

(5)  If the subject of the custodianship is property not described in subdivision (1), (2), (3) or (4) of this subsection, by causing the property to be placed in the name of the designated personal custodian by a written instrument in substantially the form set forth as follows:

(6)  Property is transferred to a personal custodian for the use and benefit of two or more persons by placing the property in the name of the designated personal custodian and stating the names of the multiple beneficiaries in substance as follows:  "______ (name of personal custodian) as personal custodian for ______ and ______ (names of beneficiaries), under the Missouri Personal Custodian Law." The style in which the property is placed may include the interests and estates of the custodial beneficiaries in the custodial property as among themselves.

2.  A present transfer of property to a beneficiary is complete and custodial property is created when the personal custodian for the beneficiary is designated in the manner provided in subdivisions (1), (2), (3), (5) and (6) of subsection 1 of this section.  A future transfer of property to a beneficiary is complete and custodial property is created when the property becomes transferable under the governing instrument to a personal custodian for a beneficiary designated in the manner provided in subdivision (4) of subsection 1 of this section.

3.  In addition to the writing required by subsection 1 of this section, the transferor, as soon as practicable, shall do all things to put the property in the possession and control of the personal custodian and provide the personal custodian with such evidence of ownership as is customary for the property involved; but the transfer of property to the beneficiary is not affected by a failure to comply with this subsection, the designation of a person not qualified to be named personal custodian for the beneficiary, or the death, incapacity, resignation or renunciation of the person designated personal custodian.

4.  A written acknowledgment of delivery of the property by the personal custodian constitutes a sufficient release and discharge for custodial property transferred to the personal custodian under sections 404.400 to 404.650 .

Legislative History

(L. 1986 S.B. 651 § 5, A.L. 1989 H.B. 145)