Minnesota Session Laws - 1987, Regular Session

  

                         Laws of Minnesota 1987 

                        CHAPTER 142-H.F.No. 1029 
           An act relating to property transfers; expanding the 
          manner for creating custodial property under the 
          uniform transfers to minors act; amending Minnesota 
          Statutes 1986, section 527.29. 
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA: 
    Section 1.  Minnesota Statutes 1986, section 527.29, is 
amended to read:  
    527.29 [MANNER OF CREATING CUSTODIAL PROPERTY AND EFFECTING 
TRANSFER; DESIGNATION OF INITIAL CUSTODIAN; CONTROL.] 
    (a) Custodial property is created and a transfer is made 
whenever:  
    (1) an uncertificated security or a certificated security 
in registered form is either: 
    (i) 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 Minnesota uniform transfers to minors act"; or 
    (ii) 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 paragraph (b);  
    (2) money is paid or delivered, or a security held in the 
name of a broker, financial institution, or its nominee is 
transferred, 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 
Minnesota uniform transfers to minors act";  
    (3) the ownership of a life or endowment insurance policy 
or annuity contract is either:  
    (i) 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 Minnesota uniform 
transfers to minors act"; or 
    (ii) 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 Minnesota uniform 
transfers to minors act";  
    (4) an irrevocable exercise of a power of appointment or 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 Minnesota uniform transfers to minors act";  
    (5) an interest in real 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 Minnesota 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 
tangible personal property is either:  
    (i) 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 Minnesota uniform transfers to minors act"; or 
    (ii) 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 Minnesota uniform transfers to minors act"; or 
    (7) an interest in any property not described in clauses 
(1) to (6) 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 paragraph (b).  
    (b) An instrument in the following form satisfies the 
requirements of clauses (1)(ii) and (7) of paragraph (a):  

                 "TRANSFER UNDER THE MINNESOTA 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 Minnesota uniform 
transfers to minors act, the following:  (insert a 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 Minnesota 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. 
    Approved May 14, 1987