Louisiana Revised Statutes 9:759 – Manner of creating custodial property and effecting transfer; designation of initial custodian; control
Terms Used In Louisiana Revised Statutes 9:759
- Adult: means an individual who has attained the age of twenty-two years. See Louisiana Revised Statutes 9:751
- Annuity: A periodic (usually annual) payment of a fixed sum of money for either the life of the recipient or for a fixed number of years. A series of payments under a contract from an insurance company, a trust company, or an individual. Annuity payments are made at regular intervals over a period of more than one full year.
- Broker: means a person lawfully engaged in the business of effecting transactions in securities or commodities for the person's own account or for the account of others. See Louisiana Revised Statutes 9:751
- Contract: A legal written agreement that becomes binding when signed.
- Custodial property: means any interest in property transferred to a custodian under this Subpart and the income from and proceeds of that interest in property. See Louisiana Revised Statutes 9:751
- Custodian: means a person so designated under Louisiana Revised Statutes 9:751
- Financial institution: means a bank, trust company, savings institution, or credit union, chartered and supervised under state or federal law. See Louisiana Revised Statutes 9:751
- Minor: means an individual who has not attained the age of twenty-two years. See Louisiana Revised Statutes 9:751
- Person: means an individual, corporation, organization, or other legal entity. See Louisiana Revised Statutes 9:751
- State: includes any state of the United States, the District of Columbia, the Commonwealth of Puerto Rico, and any territory or possession subject to the legislative authority of the United States. See Louisiana Revised Statutes 9:751
- Transfer: means a transaction that creates custodial property under Louisiana Revised Statutes 9:751
- Transferor: means a person who makes a transfer under this Subpart. See Louisiana Revised Statutes 9:751
- Trust company: means a financial institution, corporation, or other legal entity authorized to exercise general trust powers. See Louisiana Revised Statutes 9:751
A. Custodial property is created and a transfer is made whenever:
(1) An uncertificated security or a certificated security in registered form is either of the following:
(a) Registered in the name of the transferor, an adult other than the transferor or a trust company, followed in substance by the words: “as custodian for _________ (name of minor) under the Louisiana Uniform Transfers to Minors Act”.
(b) Delivered if in certificated form, or any document necessary for the transfer of an uncertificated security is delivered, together with any necessary endorsement to an adult other than the transferor or to a trust company as custodian, accompanied by an instrument in substantially the form set forth in Subsection B of this Section.
(2) Money is paid or delivered to a broker or financial institution for credit to an account in the name of the transferor, an adult other than the transferor, or a trust company, followed in substance by the words: “as custodian for ______ (name of minor) under the Louisiana Uniform Transfers to Minors Act”.
(3) The ownership of a life or endowment insurance policy or annuity contract is either of the following:
(a) Registered with the issuer in the name of the transferor, an adult other than the transferor, or a trust company, followed in substance by the words: “as custodian for ________ (name of minor) under the Louisiana Uniform Transfers to Minors Act”.
(b) Assigned in a writing delivered to an adult other than the transferor or to a trust company whose name in the assignment is followed in substance by the words: “as custodian for _________ (name of minor) under the Louisiana Uniform Transfers to Minors Act”.
(4) An irrevocable present right to future payment under a contract is the subject of a written notification delivered to the payor, issuer, or other obligor that the right is transferred to the transferor, an adult other than the transferor, or a trust company, whose name in the notification is followed in substance by the words: “as custodian for ___________ (name of minor) under the Louisiana Uniform Transfers to Minors Act”.
(5) An interest in immovable property is recorded in the name of the transferor, an adult other than the transferor, or a trust company, followed in substance by the words: “as custodian for ___________ (name of minor) under the Louisiana Uniform Transfers to Minors Act”.
(6) A certificate of title issued by a department or agency of a state or of the United States which evidences title to corporeal movable property is either of the following:
(a) Issued in the name of the transferor, an adult other than the transferor, or a trust company, followed in substance by the words: “as custodian for ___________ (name of minor) under the Louisiana Uniform Transfers to Minors Act”.
(b) Delivered to an adult other than the transferor or to a trust company, endorsed to that person followed in substance by the words: “as custodian for ___________ (name of minor) under the Louisiana Uniform Transfers to Minors Act”.
(7) An interest in any property not described in Paragraphs (1) through (6) of this Subsection is transferred to an adult other than the transferor or to a trust company by a written instrument in substantially the form set forth in Subsection B of this Section.
B. An instrument in the following form satisfies the requirements of La. Rev. Stat. 9:759(A)(1)(b) and (7):
“TRANSFER UNDER THE LOUISIANA UNIFORM
TRANSFERS TO MINORS ACT
I, _____________ (name of transferor or name and representative capacity if a fiduciary) hereby transfer to _______________ (name of custodian), as custodian for _____________ (name of minor) under the Louisiana Uniform Transfers to Minors Act, the following: (description of the custodial property sufficient to identify it).
Dated: ____________________
___________________________
(Signature)
____________ (name of custodian) acknowledges receipt of the property described above as custodian for the minor named above under the Louisiana Uniform Transfers to Minors Act.
Dated: ____________________
__________________________”
(Signature of Custodian)
C. A transferor shall place the custodian in control of the custodial property as soon as practicable.
Acts 1987, No. 469, §1, eff. Jan. 1, 1988.