55-34.5 - Transfer to custodial trustee by fiduciary or obligor; facility of payment. - Virginia Statutes

§ 55-34.5. Transfer to custodial trustee by fiduciary or obligor; facility ofpayment.

A. Unless otherwise directed by an instrument designating a custodial trusteepursuant to § 55-34.3, a person, including a fiduciary other than a custodialtrustee, who holds property of or owes a debt to an incapacitated individualnot having a conservator may make a transfer to an adult member of thebeneficiary's family or to a trust company as custodial trustee for the useand benefit of the incapacitated individual. If the value of the property orthe debt exceeds $10,000, the transfer is not effective unless authorized bythe court.

B. With court approval, any person, including a conservator, guardian orother fiduciary who holds property of or owes a debt to an incapacitatedindividual, may make a transfer to any person as a custodial trustee for theuse and benefit of the incapacitated individual. The court, in the exerciseof its discretion, may require the custodial trustee to furnish a bond withsurety for the faithful performance of his fiduciary duties.

C. A written acknowledgment of delivery, signed by a custodial trustee, is asufficient receipt and discharge for property transferred to the custodialtrustee pursuant to this section.

(1990, c. 264; 1995, c. 444.)