CHAPTER 141. TRANSFERS TO MINORS - Texas Statutes

PROPERTY CODE

TITLE 10. MISCELLANEOUS BENEFICIAL PROPERTY INTERESTS

SUBTITLE A. PERSONS UNDER DISABILITY

CHAPTER 141. TRANSFERS TO MINORS

Sec. 141.001. SHORT TITLE. This chapter may be cited as the

Texas Uniform Transfers to Minors Act.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 1 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.002. DEFINITIONS. In this chapter:

(1) "Adult" means an individual who is at least 21 years of age.

(2) "Benefit plan" means a retirement plan, including an

interest described by Sections 111.004(19)-(23).

(3) "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 another.

(4) "Court" means a court with original probate jurisdiction.

(5) "Custodial property" means:

(A) any interest in property transferred to a custodian under

this chapter; and

(B) the income from and proceeds of that interest in property.

(6) "Custodian" means a person designated as a custodian under

Section 141.010 or a successor or substitute custodian designated

under Section 141.019.

(7) "Financial institution" means a bank, trust company, savings

institution, or credit union chartered and supervised under state

or federal law.

(8) "Guardian" means a person appointed or qualified by a court

to act as general, limited, or temporary guardian of a minor's

property or a person legally authorized to perform substantially

the same functions.

(9) "Legal representative" means an executor, independent

executor, administrator or independent administrator of a

decedent's estate, an obligor under a benefit plan or other

governing instrument, a successor legal representative, or a

person legally authorized to perform substantially the same

functions.

(10) "Member of the minor's family" means the minor's parent,

stepparent, spouse, grandparent, brother, sister, uncle, or aunt,

whether of whole or half blood or by adoption.

(11) "Minor" means an individual who is younger than 21 years of

age.

(12) "Transfer" means a transaction that creates custodial

property under Section 141.010.

(12-a) "Qualified minor's trust" means a trust to which a gift

is considered a present interest under Section 2503(c), Internal

Revenue Code of 1986.

(13) "Transferor" means a person who makes a transfer under this

chapter.

(14) "Trust company" means a financial institution, corporation,

or other legal entity authorized to exercise general trust

powers.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 2 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

451, Sec. 16, eff. September 1, 2007.

Sec. 141.003. SCOPE AND JURISDICTION. (a) This chapter applies

to a transfer that refers to the Texas Uniform Transfers to

Minors Act in the designation under Section 141.010(a) by which

the transfer is made if at the time of the transfer, the

transferor, the minor, or the custodian is a resident of this

state or the custodial property is located in this state. The

custodianship created under Section 141.010 remains subject to

this chapter despite a subsequent change in residence of a

transferor, the minor, or the custodian or the removal of

custodial property from this state.

(b) A person designated as custodian under this chapter is

subject to personal jurisdiction in this state with respect to

any matter relating to the custodianship.

(c) A transfer that purports to be made and that is valid under

the Uniform Transfers to Minors Act, the Uniform Gifts to Minors

Act, or a substantially similar act of another state is governed

by the law of the designated state and may be executed and is

enforceable in this state if at the time of the transfer, the

transferor, the minor, or the custodian is a resident of the

designated state or the custodial property is located in the

designated state.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 3 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.004. NOMINATION OF CUSTODIAN. (a) A person having the

right to designate the recipient of property transferable on the

occurrence of a future event may revocably nominate a custodian

to receive the property for a minor beneficiary on the occurrence

of that event by naming the custodian followed in substance by

the words: "as custodian for (name of minor) under

the Texas Uniform Transfers to Minors Act." The nomination may

name one or more persons as substitute custodians to whom the

property must be transferred, in the order named, if the first

nominated custodian dies before the transfer or is unable,

declines, or is ineligible to serve. The nomination may be made

in a will, a trust, a deed, an instrument exercising a power of

appointment, or in a writing designating a beneficiary of

contractual rights, including the right to receive payments from

a benefit plan, that is registered with or delivered to the

payor, issuer, or other obligor of the contractual rights.

(b) A custodian nominated under this section must be a person to

whom a transfer of property of that kind may be made under

Section 141.010(a).

(c) The nomination of a custodian under this section does not

create custodial property until the nominating instrument becomes

irrevocable or a transfer to the nominated custodian is completed

under Section 141.010. Unless the nomination of a custodian has

been revoked, the custodianship becomes effective on the

occurrence of the future event, and the custodian shall enforce a

transfer of the custodial property under Section 141.010.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 4 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

451, Sec. 17, eff. September 1, 2007.

Sec. 141.005. TRANSFER BY GIFT OR EXERCISE OF POWER OF

APPOINTMENT. A person may make a transfer by irrevocable gift

to, or the irrevocable exercise of a power of appointment in

favor of, a custodian for the benefit of a minor under Section

141.010.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 5 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.006. TRANSFER AUTHORIZED BY WILL OR TRUST. (a) A

legal representative or trustee may make an irrevocable transfer

under Section 141.010 to a custodian for a minor's benefit as

authorized in the governing will or trust.

(b) If the testator or settlor has nominated a custodian under

Section 141.004 to receive the custodial property, the transfer

must be made to that person.

(c) If the testator or settlor has not nominated a custodian

under Section 141.004, or all persons nominated as custodian die

before the transfer or are unable, decline, or are ineligible to

serve, the legal representative or the trustee shall designate

the custodian from among those persons eligible to serve as

custodian for property of that kind under Section 141.010(a).

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 6 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.007. OTHER TRANSFER BY FIDUCIARY. (a) Subject to

Subsections (b) and (c), a guardian, legal representative, or

trustee may make an irrevocable transfer to another adult or

trust company as custodian for a minor's benefit under Section

141.010 in the absence of a will or under a will or trust that

does not contain an authorization to do so.

(b) With the approval of the court supervising the guardianship,

a guardian may make an irrevocable transfer to another adult or

trust company as custodian for the minor's benefit under Section

141.010.

(c) A transfer under Subsection (a) or (b) may be made only if:

(1) the legal representative or trustee considers the transfer

to be in the best interest of the minor;

(2) the transfer is not prohibited by or inconsistent with

provisions of the applicable will, trust agreement, or other

governing instrument; and

(3) the transfer is authorized by the court if it exceeds

$10,000 in value.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 7 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.008. TRANSFER BY OBLIGOR. (a) Subject to Subsections

(b) and (c), a person who is not subject to Section 141.006 or

141.007 and who holds property, including a benefit plan of a

minor who does not have a guardian, or who owes a liquidated debt

to a minor who does not have a guardian may make an irrevocable

transfer to a custodian for the benefit of the minor under

Section 141.010.

(b) If a person who has the right to nominate a custodian under

Section 141.004 has nominated a custodian under that section to

receive the custodial property, the transfer must be made to that

person.

(c) If a custodian has not been nominated under Section 141.004,

or all persons nominated as custodian die before the transfer or

are unable, decline, or are ineligible to serve, a transfer under

this section may be made to an adult member of the minor's family

or to a trust company unless the property exceeds $15,000 in

value.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 8 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

451, Sec. 18, eff. September 1, 2007.

Sec. 141.009. RECEIPT FOR CUSTODIAL PROPERTY. A written

acknowledgment of delivery by a custodian constitutes a

sufficient receipt and discharge for custodial property

transferred to the custodian under this chapter.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 9 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.010. MANNER OF CREATING CUSTODIAL PROPERTY AND

EFFECTING TRANSFER; DESIGNATION OF INITIAL CUSTODIAN; CONTROL.

(a) Custodial property is created and a transfer is made when:

(1) an uncertificated security or a certificated security in

registered form is:

(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 Texas

Uniform Transfers to Minors Act"; or

(B) delivered if in certificated form, or any document necessary

for the transfer of an uncertificated security is delivered, 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);

(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 Texas Uniform

Transfers to Minors Act";

(3) the ownership of a life or endowment insurance policy or

annuity contract is:

(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 Texas Uniform Transfers to Minors Act"; or

(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 Texas 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

Texas Uniform Transfers to Minors Act";

(5) an interest in real property is conveyed by instrument

recorded in the real property records in the county in which the

real property is located to 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 Texas

Uniform Transfers to Minors Act";

(6) a certificate of title issued by a department or agency of a

state or of the United States that evidences title to tangible

personal property is:

(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 Texas Uniform

Transfers to Minors Act"; or

(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 a custodian for (name of minor) under the Texas

Uniform Transfers to Minors Act"; or

(7) an interest in any property not described in Subdivisions

(1)-(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 Subsection (b).

(b) An instrument in the following form satisfies the

requirements of Subsections (a)(1)(B) and (7):

TRANSFER UNDER THE TEXAS 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 Texas 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 Texas 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.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 10 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.011. SINGLE CUSTODIANSHIP. A transfer may be made only

for one minor, and only one person may be the custodian. All

custodial property held under this chapter by the same custodian

for the benefit of the same minor constitutes a single

custodianship.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 11 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.012. VALIDITY AND EFFECT OF TRANSFER. (a) The

validity of a transfer made in a manner prescribed by this

chapter is not affected by the:

(1) transferor's failure to comply with Section 141.010(c)

concerning possession and control;

(2) designation of an ineligible custodian, except designation

of the transferor in the case of property for which the

transferor is ineligible to serve as custodian under Section

141.010(a); or

(3) death or incapacity of a person nominated under Section

141.004 or designated under Section 141.010 as custodian or the

disclaimer of the office by that person.

(b) A transfer made under Section 141.010 is irrevocable, and

the custodial property is indefeasibly vested in the minor. The

custodian has all the rights, powers, duties, and authority

provided in this chapter, and the minor or the minor's legal

representative does not have any right, power, duty, or authority

with respect to the custodial property except as provided by this

chapter.

(c) By making a transfer, the transferor incorporates all the

provisions of this chapter in the disposition and grants to the

custodian, or to any third person dealing with a person

designated as custodian, the respective powers, rights and

immunities provided by this chapter.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 12 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.013. CARE OF CUSTODIAL PROPERTY. (a) A custodian

shall:

(1) take control of custodial property;

(2) register or record title to custodial property if

appropriate; and

(3) collect, hold, manage, sell, convey, invest, and reinvest

custodial property.

(b) In dealing with custodial property, a custodian shall

observe the standard of care that would be observed by a prudent

person dealing with property of another and is not limited by any

other statute restricting investments by fiduciaries. If a

custodian has a special skill or expertise, the custodian shall

use that skill or expertise. However, a custodian, in the

custodian's discretion and without liability to the minor or the

minor's estate, may retain any custodial property received from a

transferor.

(c) A custodian may invest in or pay premiums on life insurance

or endowment policies on the life of:

(1) the minor only if the minor or the minor's estate is the

sole beneficiary; or

(2) another person in whom the minor has an insurable interest

only to the extent that the minor, the minor's estate, or the

custodian in the capacity of the custodian is the irrevocable

beneficiary.

(d) A custodian at all times shall keep custodial property

separate and distinct from all other property in a manner

sufficient to identify it clearly as custodial property of the

minor. Custodial property consisting of an undivided interest is

so identified if the minor's interest is held as a tenant in

common and is fixed. Custodial property subject to recordation is

so identified if it is recorded, and custodial property subject

to registration is so identified if it is registered, or held in

an account designated, in the name of the custodian followed in

substance by the words: "as custodian for ____________________

(name of minor) under the Texas Uniform Transfers to Minors Act."

(e) A custodian shall keep records of all transactions with

respect to custodial property, including information necessary

for the preparation of the minor's tax returns, and shall make

the records available for inspection at reasonable intervals by a

parent or legal representative of the minor or by the minor if

the minor is at least 14 years of age.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 13 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.014. POWERS OF CUSTODIAN. (a) A custodian, acting in

a custodial capacity, has all the rights, powers, and authority

over custodial property that unmarried adult owners have over

their own property, but a custodian may exercise those rights,

powers, and authority in that capacity only.

(b) This section does not relieve a custodian from liability for

breach of Section 141.013.

Amended by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 14 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.015. USE OF CUSTODIAL PROPERTY. (a) A custodian may

deliver or pay to the minor or expend for the minor's benefit as

much of the custodial property as the custodian considers

advisable for the use and benefit of the minor, without court

order and without regard to:

(1) the duty or ability of the custodian personally or of any

other person to support the minor; or

(2) any other income or property of the minor that may be

applicable or available for that purpose.

(b) On petition of an interested person or the minor if the

minor is at least 14 years of age, the court may order the

custodian to deliver or pay to the minor or expend for the

minor's benefit as much of the custodial property as the court

considers advisable for the use and benefit of the minor.

(b-1) A custodian may, without a court order, transfer all or

part of the custodial property to a qualified minor's trust. A

transfer of property under this subsection terminates the

custodianship to the extent of the property transferred.

(c) A delivery, payment, or expenditure under this section is in

addition to, not in substitution for, and does not affect any

obligation of a person to support the minor.

Added by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 15 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Amended by:

Acts 2007, 80th Leg., R.S., Ch.

451, Sec. 19, eff. September 1, 2007.

Sec. 141.016. CUSTODIAN'S EXPENSES, COMPENSATION, AND BOND. (a)

A custodian is entitled to reimbursement from custodial property

for reasonable expenses incurred in the performance of the

custodian's duties.

(b) Except for one who is a transferor under Section 141.005, a

custodian has a noncumulative election during each calendar year

to charge reasonable compensation for services performed by the

custodian during that year.

(c) Except as provided by Section 141.019(f), a custodian is not

required to give a bond.

Added by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 16 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.017. EXEMPTION OF THIRD PERSON FROM LIABILITY. A third

person, in good faith and without court order, may act on the

instructions of or otherwise deal with any person purporting to

make a transfer or act in the capacity of a custodian and, in the

absence of knowledge, is not responsible for determining the:

(1) validity of the purported custodian's designation;

(2) propriety of, or the authority under this chapter for, any

act of the purported custodian;

(3) validity or propriety under this chapter of any instrument

or instructions executed or given by the person purporting to

make a transfer or by the purported custodian; or

(4) propriety of the application of the minor's property

delivered to the purported custodian.

Added by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 17 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.018. LIABILITY TO THIRD PERSON. (a) A claim based on

a contract entered into by a custodian acting in a custodial

capacity, an obligation arising from the ownership or control of

custodial property, or a tort committed during the custodianship

may be asserted against the custodial property by proceeding

against the custodian in the custodian's custodial capacity,

whether or not the custodian or the minor is personally liable

for the claim.

(b) A custodian is not personally liable:

(1) on a contract properly entered into in the custodian's

custodial capacity unless the custodian fails to reveal that

capacity and to identify the custodianship in the contract; or

(2) for an obligation arising from control of custodial property

or for a tort committed during the custodianship unless the

custodian is personally at fault.

(c) A minor is not personally liable for an obligation arising

from ownership of custodial property or for a tort committed

during the custodianship unless the minor is personally at fault.

Added by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 18 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.019. RENUNCIATION, RESIGNATION, DEATH, OR REMOVAL OF

CUSTODIAN; DESIGNATION OF SUCCESSOR CUSTODIAN. (a) A person

nominated to serve as a custodian under Section 141.004 or

designated to serve as a custodian under Section 141.010 may

decline to serve as custodian by delivering written notice to the

person who made the nomination or to the transferor's legal

representative. If the event giving rise to a transfer has not

occurred and no substitute custodian who is able, willing, and

eligible to serve was nominated under Section 141.004, the person

who made the nomination may nominate a substitute custodian under

Section 141.004; otherwise the transferor or the transferor's

legal representative shall designate a substitute custodian at

the time of the transfer, in either case from among the persons

eligible to serve as custodian for that kind of property under

Section 141.010(a). A substitute custodian designated under this

section has the rights of a successor custodian.

(b) A custodian at any time may designate as successor custodian

a trust company or an adult other than a transferor under Section

141.005 by executing and dating an instrument of designation

before a subscribing witness other than the successor. If the

instrument of designation does not contain or is not accompanied

by the custodian's resignation, the designation of the successor

does not take effect until the custodian resigns, dies, becomes

incapacitated, or is removed.

(c) A custodian may resign at any time by delivering:

(1) written notice to the successor custodian and to the minor

if the minor is at least 14 years of age; and

(2) the custodial property to the successor custodian.

(d) If a custodian is ineligible, dies, or becomes incapacitated

without having effectively designated a successor and the minor

is at least 14 years of age, the minor may designate as successor

custodian an adult member of the minor's family, a guardian of

the minor, or a trust company in the manner prescribed by

Subsection (b). If the minor is younger than 14 years of age or

fails to act within 60 days after the ineligibility, death, or

incapacity of the custodian, the minor's guardian becomes

successor custodian. If the minor has no guardian or the minor's

guardian declines to act, the transferor, the legal

representative of the transferor or of the custodian, an adult

member of the minor's family, or any other interested person may

petition the court to designate a successor custodian.

(e) As soon as practicable, a custodian who declines to serve

under Subsection (a) or resigns under Subsection (c), or the

legal representative of a deceased or incapacitated custodian,

shall put the custodial property and records in the possession

and control of the successor custodian. The successor custodian

by action may enforce the obligation to deliver custodial

property and records and becomes responsible for each item as

received.

(f) A transferor, the legal representative of a transferor, an

adult member of the minor's family, a guardian of the person of

the minor, the guardian of the minor, or the minor if the minor

is at least 14 years of age may petition the court to:

(1) remove the custodian for cause and designate a successor

custodian other than a transferor under Section 141.005; or

(2) require the custodian to give appropriate bond.

Added by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 19 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.020. ACCOUNTING BY AND DETERMINATION OF LIABILITY. (a)

A minor who is at least 14 years of age, the minor's guardian of

the person or legal representative, an adult member of the

minor's family, a transferor, or a transferor's legal

representative may petition the court for:

(1) an accounting by the custodian or the custodian's legal

representative; or

(2) a determination of responsibility, as between the custodial

property and the custodian personally, for claims against the

custodial property unless the responsibility has been adjudicated

in an action under Section 141.018 to which the minor or the

minor's legal representative was a party.

(b) A successor custodian may petition the court for an

accounting by the predecessor custodian.

(c) The court, in a proceeding under this chapter or in any

other proceeding, may require or permit the custodian or the

custodian's legal representative to account.

(d) If a custodian is removed under Section 141.019(f), the

court shall require an accounting and order delivery of the

custodial property and records to the successor custodian and the

execution of all instruments required for transfer of the

custodial property.

Added by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 20 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.021. TERMINATION OF CUSTODIANSHIP. The custodian shall

transfer in an appropriate manner the custodial property to the

minor or to the minor's estate on the earlier of the date:

(1) the minor attains 21 years of age, with respect to custodial

property transferred under Section 141.005 or 141.006;

(2) the minor attains the age of majority under the laws of this

state other than this chapter, with respect to custodial property

transferred under Section 141.007 or 141.008; or

(3) the minor's death.

Added by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 21 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.022. APPLICABILITY. Except as provided by Section

141.025, this chapter applies to a transfer within the scope of

Section 141.003 made after September 1, 1995, if:

(1) the transfer purports to have been made under the Texas

Uniform Gifts to Minors Act; or

(2) the instrument by which the transfer purports to have been

made uses in substance the designation "as custodian under the

Uniform Gifts to Minors Act" or "as custodian under the Uniform

Transfers to Minors Act" of any other state, and the application

of this chapter is necessary to validate the transfer.

Added by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Amended by Acts 1997, 75th Leg., ch. 221, Sec. 1, eff.

Sept. 1, 1997. Renumbered from Property Code Sec. 22 by Acts

1997, 75th Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.023. EFFECT ON EXISTING CUSTODIANSHIPS. (a) Any

transfer of custodial property under this chapter made before

September 1, 1995, is validated notwithstanding that there was no

specific authority in this chapter for the coverage of custodial

property of that kind or for a transfer from that source at the

time the transfer was made.

(b) Sections 141.002 and 141.021, with respect to the age of a

minor for whom custodial property is held under this chapter, do

not apply to custodial property held in a custodianship that

terminated because the minor attained the age of 18 after August

26, 1973, and before September 1, 1995.

Added by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 23 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.024. UNIFORMITY OF APPLICATION AND CONSTRUCTION. This

chapter shall be applied and construed to effect its general

purpose, to make uniform the law with respect to the subject of

this chapter among states enacting that law.

Added by Acts 1995, 74th Leg., ch. 1043, Sec. 1, eff. Sept. 1,

1995. Renumbered from Property Code Sec. 24 by Acts 1997, 75th

Leg., ch. 165, Sec. 31.01(72), eff. Sept. 1, 1997.

Sec. 141.025. ADDITIONAL TRANSFERS TO CUSTODIANSHIPS IN

EXISTENCE BEFORE EFFECTIVE DATE OF ACT. (a) This section

applies only to a transfer within the scope of Section 141.003

made after September 1, 1995, to a custodian of a custodianship

established before September 1, 1995, under the Texas Uniform

Gifts to Minors Act.

(b) This chapter does not prevent a person from making

additional transfers to a custodianship described by Subsection

(a). On the direction of the transferor or custodian, custodial

property that is transferred to the custodianship shall be

commingled with the custodial property of the custodianship

established under the Texas Uniform Gifts to Minors Act. The

additional transfers to the custodianship shall be administered

and distributed on termination of the custodianship, as

prescribed by this chapter, except that for purposes of Section

141.021, the custodian shall transfer the custodial property to:

(1) the beneficiary on the date the beneficiary attains 18 years

of age or an earlier date as prescribed by Section 141.021; or

(2) the beneficiary's estate if the individual dies before the

date prescribed by Subdivision (1).

Added by Acts 1997, 75th Leg., ch. 221, Sec. 2, eff. Sept. 1,

1997. Amended by Acts 1997, 75th Leg., ch. 165, Sec. 31.01(72),

eff. Sept. 1, 1997. Renumbered from Property Code Sec. 25 by Acts

1999, 76th Leg., ch. 62, Sec. 19.01(91), eff. Sept. 1, 1999.