(a) A person designated as custodial trustee, before accepting the custodial trust property, may decline to serve by notifying the person who made the designation, the transferor, or the transferor’s legal representative. If the event giving rise to a transfer has not occurred, the substitute custodial trustee designated under § 554B-3 becomes the custodial trustee, and, if a substitute custodial trustee has not been designated, the person who made the designation may designate a substitute custodial trustee under § 554B-3. In other cases, the transferor or the transferor’s legal representative may designate a substitute custodial trustee.
will 560x170

Ask a will, trust or estate question, get an answer ASAP!
Thousands of highly rated, verified estate & trust lawyers.
Click here to chat with a lawyer about your rights.

Terms Used In Hawaii Revised Statutes 554B-13

  • Adult: means an individual who has attained the age of eighteen years. See Hawaii Revised Statutes 554B-1
  • Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
  • Beneficiary: means an individual for whom property has been delivered to a custodial trustee for the individual's use and benefit under this chapter. See Hawaii Revised Statutes 554B-1
  • Conservator: means a person appointed or qualified by a court to manage the estate of an individual or a person legally authorized to perform substantially the same functions. See Hawaii Revised Statutes 554B-1
  • Court: means the circuit court of the State. See Hawaii Revised Statutes 554B-1
  • Custodial trust property: means an interest in property transferred to a custodial trustee under this chapter and the income from and proceeds of that interest. See Hawaii Revised Statutes 554B-1
  • Custodial trustee: means a person designated as trustee of a custodial trust under this chapter and includes a substitute or successor custodial trustee. See Hawaii Revised Statutes 554B-1
  • Guardian: A person legally empowered and charged with the duty of taking care of and managing the property of another person who because of age, intellect, or health, is incapable of managing his (her) own affairs.
  • Guardian: means a person appointed or qualified by a court as a guardian of an individual and includes a limited guardian, but excludes a person who is merely a guardian ad litem. See Hawaii Revised Statutes 554B-1
  • Incapacitated: means that an individual lacks the ability to manage property and business affairs effectively by reason of mental illness, mental deficiency, physical illness or disability, chronic use of drugs, chronic intoxication, confinement, detention by a foreign power, disappearance, minority, or other cause. See Hawaii Revised Statutes 554B-1
  • Legal representative: means a personal representative or conservator. See Hawaii Revised Statutes 554B-1
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • Person: means an individual, corporation, organization, or other legal entity. See Hawaii Revised Statutes 554B-1
  • Transferor: means a person who creates a custodial trust by transfer or declaration. See Hawaii Revised Statutes 554B-1
  • Trustee: A person or institution holding and administering property in trust.
(b) A custodial trustee who has accepted the custodial trust property may resign by:

(1) Delivering written notice to the beneficiary and, if the beneficiary is incapacitated, to the beneficiary’s conservator, if any, and to the successor custodial trustee, if any; and
(2) Transferring, recording, or registering the custodial trust property in the name of and delivering the records to the successor custodial trustee identified under subsection (c).
(c) If a custodial trustee or successor custodial trustee is ineligible, resigns, dies, or becomes incapacitated, the successor designated under section 554B-2 or 554B-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 days after the ineligibility, resignation, death, or incapacity of the custodial trustee, the beneficiary’s conservator becomes successor custodial trustee; and, if the beneficiary does not have a conservator or the conservator declines to act, the resigning custodial trustee may designate a successor custodial trustee.
(d) If a successor custodial trustee is not designated by the foregoing procedure, 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 as appropriate, another 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. A 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, the beneficiary’s guardian, a person interested in the custodial trust property or as appropriate, or another 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 give bond, or for other appropriate relief.

  Previous
Next  
 Chapter 554B Contents