64.1-206.8 - Terms, conditions, and forms for registration; examples. - Virginia Statutes

§ 64.1-206.8. Terms, conditions, and forms for registration; examples.

A. A registering entity offering to accept registrations in beneficiary formmay establish the terms and conditions under which it will receive requests(i) for registrations in beneficiary form and (ii) for implementation ofregistrations in beneficiary form, including requests for cancellation ofpreviously registered TOD beneficiary designations and requests forreregistration to effect a change of beneficiary. The terms and conditions soestablished may provide for proving death, avoiding or resolving any problemsconcerning fractional shares, designating primary and contingentbeneficiaries, and substituting a named beneficiary's descendants to take inthe place of the named beneficiary in the event of the beneficiary's death.

Substitution may be indicated by appending to the name of the primarybeneficiary the letters LDPS, standing for "lineal descendants perstirpes." This designation substitutes a deceased beneficiary's descendantswho survive the owner for a beneficiary who fails to so survive, thedescendants to be identified and to share in accordance with the law of thebeneficiary's domicile at the owner's death governing inheritance bydescendants of an intestate. Other forms of identifying beneficiaries who areto take on one or more contingencies, and rules for providing proofs andassurances needed to satisfy reasonable concerns by registering entitiesregarding conditions and identities relevant to accurate implementation ofregistrations in beneficiary form, may be contained in a registering entity'sterms and conditions.

B. The following are illustrations of registrations in beneficiary form whicha registering entity may authorize:

1. Sole owner-sole beneficiary: John S. Brown TOD (or POD) John S. Brown, Jr.

2. Multiple owners-sole beneficiary: John S. Brown Mary B. Brown JT TEN TODJohn S. Brown, Jr.

3. Multiple owners-primary and secondary (substituted) beneficiaries: John S.Brown Mary B. Brown JT TEN TOD John S. Brown, Jr. SUB BENE Peter Q. Brown orJohn S. Brown Mary B. Brown JT TEN TOD John S. Brown, Jr. LDPS.

(1994, c. 422.)