§ 18-13-13. Declination, resignation, incapacity, death, or removal of custodial trustee — Designation
of successor custodial trustee.
(a) Before accepting the custodial trust property, a person designated as custodial trustee
may decline to serve by notifying the person who made the designation, the transferor,
or the transferor's legal representative. If an event giving rise to a transfer has
not occurred, the substitute custodial trustee designated under § 18-13-3 becomes the custodial trustee, or, if a substitute custodial trustee has not been
designated, the person who made the designation may designate a substitute custodial
trustee pursuant to § 18-13-3. In other cases, the transferor or the transferor's legal representative may designate
a substitute custodial trustee.
(b) A custodial trustee who has accepted the custodial trust property may resign by:
(1) Delivering written notice to a successor custodial trustee, if any, the beneficiary
and, if the beneficiary is incapacitated, to the beneficiary's conservator, if any;
and
(2) Transferring or registering, or recording an appropriate instrument relating to, the
custodial trust property, in the name of, and delivering the records to, the successor
custodial trustee identified under subsection (c) of this section.
(c) If a custodial trustee or successor custodial trustee is ineligible, resigns, dies,
or becomes incapacitated, the successor designated under § 18-13-2(g) or § 18-13-3 becomes custodial trustee. If there is no effective provision for a successor, the
beneficiary, if not incapacitated, may designate a successor custodial trustee. If
the beneficiary is incapacitated, or fails to act within ninety (90) days after the
ineligibility, resignation, death, or incapacity of the custodial trustee, the beneficiary's
conservator becomes successor custodial trustee. If the beneficiary does not have
a conservator or the conservator fails to act, the resigning custodial trustee may
designate a successor custodial trustee.
(d) If a successor custodial trustee is not designated pursuant to subsection (c) of this
section, the transferor, the legal representative of the transferor or of the custodial
trustee, an adult member of the beneficiary's family, the guardian of the beneficiary,
a person interested in the custodial trust property, or a person interested in the
welfare of the beneficiary, may petition the court to designate a successor custodial
trustee.
(e) A custodial trustee who declines to serve or resigns, or the legal representative
of a deceased or incapacitated custodial trustee, as soon as practicable, shall put
the custodial trust property and records in the possession and control of the successor
custodial trustee. The successor custodial trustee may enforce the obligation to deliver
custodial trust property and records and becomes responsible for each item as received.
(f) A beneficiary, the beneficiary's conservator, an adult member of the beneficiary's
family, a guardian of the person of the beneficiary, a person interested in the custodial
trust property, or a person interested in the welfare of the beneficiary, may petition
the court to remove the custodial trustee for cause and designate a successor custodial
trustee, to require the custodial trustee to furnish a bond or other security for
the faithful performance of fiduciary duties, or other appropriated relief.