404.545. Custodial trusts, transfer of property, how--legal title, beneficial title, held how--laws applicable to. - Missouri Statutes

Custodial trusts, transfer of property, how--legal title, beneficialtitle, held how--laws applicable to.

404.545. 1. A personal custodianship for an adultbeneficiary shall be treated as a custodial trust wheneverproperty is transferred to any adult person or financialinstitution followed in substance with the words "as custodialtrustee for ........ (name of beneficiary or beneficiaries) underthe Missouri Personal Custodian Law".

2. When property is placed in the name of a custodialtrustee, legal title to the custodial property resides in thecustodial trustee and beneficial ownership of the custodialproperty is indefeasibly vested in the custodial beneficiary,subject to the provisions of sections 404.400 to 404.650.

3. A transfer of property to a custodial trustee under theMissouri personal custodian law incorporates in the transfer allthe provisions of sections 404.400 to 404.650 and grants to thecustodial trustee, beneficiary and third persons dealing with thecustodial trustee, the respective powers, rights and immunitiesprovided in sections 404.400 to 404.650. By holding property fora beneficiary as custodial trustee under sections 404.400 to404.650, the custodial trustee assumes the obligation toadminister the custodial property for the beneficiary asprescribed in sections 404.400 to 404.650 and the provisions ofany written trust agreement between the transferor or beneficiaryand the custodial trustee.

4. The provisions in sections 404.400 to 404.650 respectingcourt proceedings, court jurisdiction and court powers shallapply to custodial trusts under this section to the same extentas they apply to personal custodianships.

5. The law applicable to trusts and trustees, includingchapter 456, RSMo, shall apply to custodial trusts under thissection in addition to sections 404.400 to 404.650, insofar assuch law does not conflict with sections 404.400 to 404.650.

6. An inter vivos or testamentary trust that is not acustodial trust under this section may incorporate any provisionof sections 404.400 to 404.650 into the governing document of thetrust; and the statute as incorporated shall apply with the sameforce of law as it applies to a custodial trust, includingsections respecting court proceedings, court jurisdiction andcourt powers.

(L. 1989 H.B. 145)