Missouri Statute | Act | Code |Trusts And Estates Of Decedents And Persons Under Disability| US Code - US Statute

Any of the following provisions in an insurance policy, contract
of employment, bond, mortgage, promissory note, stock certificate,
account agreement, custodial agreement, deposit agreement, compensation
plan, pension plan, individual retirement plan, employee benefit plan,
trust agreement, declaration of trust, conveyance or any other written
instrument effective as a contract, gift, conveyance, or trust or to
evidence ownership of property is deemed to be nontestamentary, and
exempt from the requirements of section 473.087, RSMo, and section
474.320, RSMo:

(1) That money or other benefits theretofore due to, controlled or owned
by a decedent shall be paid after the decedent's death to a person or
persons designated by the decedent in either the instrument or a separate
writing, including a will, executed at the same time as the instrument or
subsequently;

(2) That any money due or to become due under the instrument shall cease
to be payable in event of the death of the promisee or the promisor
before payment or demand;

(3) That any property which is the subject of the instrument shall pass
on decedent's death to a person or persons designated by the decedent in
either the instrument or a separate writing, including a will, executed
at the same time as the instrument or subsequently;

(4) Except to the extent specifically excluded thereunder, sections
461.003 to 461.081 apply to transfers under this section. (L. 1995 S.B.
116)

Sections 461.003 to 461.081 may be cited as the "Nonprobate
Transfers Law of Missouri". (L. 1989 H.B. 145 § 17)

In sections 461.003 to 461.081, unless the context otherwise
requires, the following terms mean:

(1) "Beneficiary", a person or persons designated or entitled to receive
property pursuant to a nonprobate transfer on surviving one or more
persons;

(2) "Beneficiary designation", a provision in writing that is not a will
that designates the beneficiary of a nonprobate transfer, including the
transferee in an instrument that makes the transfer effective on death of
the owner, and that complies with the conditions of any governing
instrument, the rules of any transferring entity and applicable law;

(3) "Death of the owner", in the case of joint owners, means death of the
last surviving owner;

(4) "In proper form", a phrase which applies to a beneficiary designation
or a revocation or change thereof, or a request to make, revoke or change
a beneficiary designation, which complies with the terms of the governing
instrument, the rules of the transferring entity and applicable law,
including any requirements with respect to supplemental documents;

(5) "Joint owners", persons who hold property as joint tenants with right
of survivorship and a husband and wife who hold property as tenants by
the entirety;

(6) "LDPS", an abbreviation of lineal descendants per stirpes which may
be used in a beneficiary designation to designate a substitute
beneficiary as provided in section 461.045;

(7) "Nonprobate transfer", a transfer of property taking effect upon the
death of the owner, pursuant to a beneficiary designation. A nonprobate
transfer under sections 461.003 to 461.081 does not include survivorship
rights in property held as joint tenants or tenants by the entirety, a
transfer to a remainderman on termination of a life tenancy, a transfer
under a trust established by an individual, either inter vivos or
testamentary, a transfer pursuant to the exercise or nonexercise of a
power of appointment, or a transfer made on death of a person who did not
have the right to designate his or her estate as the beneficiary of the
transfer;

(8) "Owner", a person or persons having a right, exercisable alone or
with others, regardless of the terminology used to refer to the owner in
any written beneficiary designation, to designate the beneficiary of a
nonprobate transfer, and includes joint owners. The provisions of this
subdivision shall apply to all beneficiary deeds executed and filed at
any time, including, but not limited to, those executed and filed on or
before August 28, 2005;

(9) "Ownership in beneficiary form", holding property pursuant to a
registration in beneficiary form or other writing that names the owner of
the property followed by a transfer on death direction and the
designation of a beneficiary;

(10) "Person", living individuals, entities capable of owning property
and fiduciaries;

(11) "Proof of death", includes a death certificate or record or report
that is prima facie proof or evidence of death under section 472.290,
RSMo;

(12) "Property", any present or future interest in property, real or
personal, tangible or intangible, legal or equitable. Property includes a
right to direct or receive payment of a debt, money or other benefits due
under a contract, account agreement, deposit agreement, employment
contract, compensation plan, pension plan, individual retirement plan,
employee benefit plan, trust or law, a right to receive performance
remaining due under a contract, a right to receive payment under a
promissory note or a debt maintained in a written account record, rights
under a certificated or uncertificated security, rights under an
instrument evidencing ownership of property issued by a governmental
agency and rights under a document of title within the meaning of section
400.1-201, RSMo;

(13) "Registration in beneficiary form", titling of an account record,
certificate, or other written instrument evidencing ownership of property
in the name of the owner followed by a transfer on death direction and
the designation of a beneficiary;

(14) "Security", a certificated or uncertificated security as defined in
section 400.8-102, RSMo, including securities as defined in section
409.401*, RSMo;

(15) "Transfer on death direction", the phrase "transfer on death to" or
the phrase "pay on death to" or the abbreviation "TOD" or "POD" after the
name of the owners and before the designation of the beneficiary; and

(16) "Transferring entity", a person who owes a debt or is obligated to
pay money or benefits, render contract performance, deliver or convey
property, or change the record of ownership of property on the books,
records and accounts of an enterprise or on a certificate or document of
title that evidences property rights, and includes any governmental
agency, business entity or transfer agent that issues certificates of
ownership or title to property and a person acting as a custodial agent
for an owner's property. (L. 1989 H.B. 145 § 18, A.L. 1995 S.B. 116, A.L.
2005 S.B. 407 merged with S.B. 420 & 344)

*Section 409.401 was repealed in 2003 by H.B. 380, effective 9-1-03.

Nonprobate transfers are effective with or without
consideration, and are not to be considered testamentary or subject to
section 473.087, RSMo, (dealing with the requirement to probate a will),
and section 474.320, RSMo, (dealing with will form, execution and
attestation). (L. 1989 H.B. 145 § 19, A.L. 1995 S.B. 116)

For the purpose of discharging its duties under the nonprobate
transfers law, the authority of a transferring entity acting as agent for
an owner of property subject to a nonprobate transfer shall not cease at
death of the owner. The transferring entity shall transfer the property
to the designated beneficiary in accordance with the governing
instrument, the rules of the transferring entity and sections 461.003 to
461.081. (L. 1995 S.B. 116)

1. When any of the following is required, provision for a
nonprobate transfer is a matter of agreement between the owner and the
transferring entity, under such rules, terms and conditions as the owner
and transferring entity may agree:

(1) Submission to the transferring entity of a beneficiary designation
under a governing instrument;

(2) Registration by a transferring entity of a transfer on death
direction on any certificate or record evidencing ownership of property;

(3) The consent of a contract obligor for a transfer of performance due
under the contract;

(4) The consent of a financial institution for a transfer of an
obligation of the financial institution; or

(5) The consent of a transferring entity for a transfer of an interest in
the transferring entity.

2. Whenever subsection 1 of this section is applicable, sections 461.003
to 461.081 do not impose an obligation on a transferring entity to accept
an owner's request to make provision for a nonprobate transfer of
property.

3. When a beneficiary designation, revocation or change is subject to
acceptance by a transferring entity, the transferring entity's acceptance
of the beneficiary designation, revocation or change relates back to and
is effective as of the time when the request was received by the
transferring entity. (L. 1989 H.B. 145 § 20, A.L. 1995 S.B. 116)

When a transferring entity accepts a beneficiary designation or
beneficiary assignment, or registers property in beneficiary form, the
acceptance or registration constitutes the agreement of the owner and
transferring entity that, unless the beneficiary designation is revoked
or changed prior to the owner's death, on proof of death of the owner and
compliance with the transferring entity's requirements for showing proof
of entitlement, the property will be transferred to and placed in the
name and control of the beneficiary in accordance with the beneficiary
designation or transfer on death direction, the agreement of the parties
and sections 461.003 to 461.081. (L. 1989 H.B. 145 § 21, A.L. 1995 S.B.
116)

A beneficiary designation, under a written instrument or law,
that authorizes a transfer of property pursuant to a written designation
of beneficiary, transfers the right to receive the property to the
designated beneficiary who survives, effective on death of the owner, if
the beneficiary designation is executed and delivered in proper form to
the transferring entity prior to the death of the owner. (L. 1989 H.B.
145 § 23, A.L. 1995 S.B. 116)

1. A written assignment of a contract right that assigns the
right to receive any performance remaining due under the contract to an
assignee designated by the owner, that expressly states that the
assignment is not to take effect until the death of the owner, transfers
the right to receive performance due under the contract to the designated
assignee beneficiary, effective on death of the owner, if the assignment
is executed and delivered in proper form to the contract obligor prior to
the death of the owner or is executed in proper form and acknowledged
before a notary public or other person authorized to administer oaths. A
beneficiary assignment need not be supported by consideration or be
delivered to the assignee beneficiary.

2. This section does not preclude other methods of assignment that are
permitted by law and that have the effect of postponing enjoyment of a
contract right until the death of the owner. (L. 1989 H.B. 145 § 24, A.L.
1995 S.B. 116)

1. A deed that conveys an interest in real property to a grantee
designated by the owner, that expressly states that the deed is not to
take effect until the death of the owner, transfers the interest provided
to the designated grantee beneficiary, effective on death of the owner,
if the deed is executed and filed of record with the recorder of deeds in
the city or county or counties in which the real property is situated
prior to the death of the owner. A beneficiary deed need not be supported
by consideration or be delivered to the grantee beneficiary. A
beneficiary deed may be used to transfer an interest in real property to
a trust estate, regardless of such trust's revocability.

2. This section does not preclude other methods of conveyancing that are
permitted by law and that have the effect of postponing enjoyment of an
interest in real property until the death of the owner. This section does
not invalidate any deed, otherwise effective by law to convey title to
the interest and estates therein provided, that is not recorded until
after the death of the owner. (L. 1989 H.B. 145 § 25, A.L. 1994 S.B. 701,
A.L. 1995 S.B. 116)

1. A deed of gift, bill of sale or other writing intended to
transfer an interest in tangible personal property, that expressly states
that the transfer is not to take effect until the death of the owner,
transfers ownership to the designated transferee beneficiary, effective
on death of the owner, if the instrument is in other respects sufficient
to transfer the type of property involved and is executed by the owner
and acknowledged before a notary public or other person authorized to
administer oaths. A beneficiary transfer instrument need not be supported
by consideration or be delivered to any transferee beneficiary.

2. This section does not preclude other methods of transferring ownership
of tangible personal property that are permitted by law and that have the
effect of postponing enjoyment of property until the death of the owner.
(L. 1995 S.B. 116)

1. A transferor of property, with or without consideration, may
directly transfer the property to a transferee to hold as owner in
beneficiary form.

2. A transferee under an instrument described in subsection 1 of this
section shall be the owner of the property for all purposes and shall
have all the rights to the property otherwise provided by law to owners,
including the right to revoke or change the beneficiary designation.

3. A direct transfer of property to a transferee to hold as owner in
beneficiary form is effective when the writing perfecting the transfer
becomes effective to make the transferee the owner. (L. 1995 S.B. 116)

1. Property may be held or registered in beneficiary form by
including in the name in which the property is held or registered a
direction to transfer the property on death of the owner to a beneficiary
designated by the owner.

2. Property is registered in beneficiary form by showing on the account
record, security certificate or instrument evidencing ownership of the
property the name of the owner, and the estate by which two or more joint
owners hold the property, followed in substance by the words "transfer on
death to .............. (name of beneficiary)". In lieu of the words
"transfer on death to" the words "pay on death to" or the abbreviation
"TOD" or "POD" may be used.

3. A transfer on death direction may only be placed on an account record,
security certificate or instrument evidencing ownership of property by
the transferring entity or a person authorized by the transferring entity.

4. A transfer on death direction transfers the owner's interest in the
property to the designated beneficiary, effective on the owner's death,
if the property is registered in beneficiary form prior to the death of
the owner, or if the request to make the transfer on death direction is
delivered in proper form to the transferring entity prior to the owner's
death.

5. An account record, security certificate or instrument evidencing
ownership of property that contains a transfer on death direction written
as part of the name in which the property is held or registered, is
conclusive evidence in the absence of fraud, duress, undue influence or
evidence of clerical mistake by the transferring entity that the
direction was regularly made by the owner and accepted by the
transferring entity, and was not revoked or changed prior to the death
giving rise to the transfer; and the transferring entity shall have no
obligation to retain the original writing, if any, by which the owner
caused the property to be registered in beneficiary form, more than six
months after the transferring entity has mailed or delivered to the
owner, at the address shown on the registration, an account statement,
certificate or instrument that shows the manner in which the property is
held or registered in beneficiary form. (L. 1989 H.B. 145 § 26, A.L. 1995
S.B. 116)

1. Prior to the death of the owner, a beneficiary shall have no
rights in the property by reason of the beneficiary designation and the
signature or agreement of the beneficiary shall not be required for any
transaction respecting the property.

2. On death of one of two or more joint owners, property with respect to
which a beneficiary designation has been made belongs to the surviving
joint owner or owners, and the right of survivorship continues as between
two or more surviving joint owners.

3. On death of the owner, property passes by operation of law to the
beneficiary.

4. If two or more beneficiaries survive, there is no right of
survivorship among the beneficiaries in the event of death of a
beneficiary thereafter unless the beneficiary designation expressly
provides for survivorship among them, and, unless so expressly provided,
surviving beneficiaries hold their separate interests in the property as
tenants in common. The share of any subsequently deceased beneficiary
belongs to that beneficiary's estate.

5. If no beneficiary survives the owner, the property belongs to the
estate of the owner. (L. 1989 H.B. 145 § 27, A.L. 1995 S.B. 116)

1. A beneficiary designation may be revoked or changed in whole
or in part during the lifetime of the owner. A revocation or change of a
beneficiary designation involving property of joint owners may only be
made with the agreement of all owners then living.

2. A subsequent beneficiary designation revokes a prior beneficiary
designation unless the subsequent beneficiary designation expressly
provides otherwise.

3. A revocation or change in a beneficiary designation shall comply with
the terms of the governing instrument, the rules of the transferring
entity and the applicable law.

4. A beneficiary designation may not be revoked or changed by the
provisions of a will unless the beneficiary designation expressly grants
the owner the right to revoke or change a beneficiary designation by will.

5. A transfer during the owner's lifetime of the owner's interest in
property, with or without consideration, terminates the beneficiary
designation with respect to the property transferred.

6. The effective date of a revocation or change in a beneficiary
designation shall be determined in the same manner as the effective date
of a beneficiary designation. (L. 1989 H.B. 145 § 28, A.L. 1995 S.B. 116)

1. An attorney in fact, custodian, conservator or other agent
may not make, revoke or change a beneficiary designation unless the
document establishing the agent's right to act, or a court order,
expressly authorizes such action and such action complies with the terms
of the governing instrument, the rules of the transferring entity and
applicable law.

2. This section shall not prohibit the authorized withdrawal, sale,
pledge or other present transfer of the property by an attorney in fact,
custodian, conservator or other agent notwithstanding the fact that the
effect of the transaction may be to extinguish a beneficiary's right to
receive a transfer of the property at the death of the owner. (L. 1995
S.B. 116)

In the event property subject to a beneficiary designation is
lost, destroyed, damaged or involuntarily converted during the owner's
lifetime, the beneficiary succeeds to any right with respect to the loss,
destruction, damage or involuntary conversion which the owner would have
had if the owner had survived, but has no interest in any payment or
substitute property received by the owner during the owner's lifetime.
(L. 1995 S.B. 116)

1. A beneficiary of a nonprobate transfer takes the owner's
interest in the property at death subject to all conveyances,
assignments, contracts, setoffs, licenses, easements, liens and security
interests made by the owner or to which the owner was subject during the
owner's lifetime.

2. A beneficiary of a nonprobate transfer of an account with a bank,
savings and loan association, credit union, broker or mutual fund takes
the owner's interest in the property at death subject to all requests for
payment of money issued by the owner prior to death, whether paid by the
transferring entity before or after death, or unpaid. The beneficiary is
liable to the payee of an unsatisfied request for payment, to the extent
that it represents an obligation that was enforceable against the owner
during the owner's lifetime. To the extent that a claim properly paid by
the personal representative of the owner's estate includes the amount of
an unsatisfied request for payment to the claimant, the personal
representative shall be subrogated to the rights of the claimant as
payee. Each beneficiary's liability with respect to an unsatisfied
request for payment is limited to the same proportionate share of the
request for payment as the beneficiary's proportionate share of the
account under the beneficiary designation. Beneficiaries shall have the
right of contribution among themselves with respect to requests for
payment which are satisfied after the owner's death, to the extent the
requests for payment would have been enforceable by the payees. In no
event shall a beneficiary's liability to payees, the owner's estate and
other beneficiaries under this section and section 461.300 with respect
to all requests for payment exceed the value of the account received by
the beneficiary. If a request for payment which would not have been
enforceable under this section is satisfied from a beneficiary's share of
the account, the beneficiary shall not be liable to any other payee or
the owner's estate under this section or section 461.300 for the amount
so paid, but the beneficiary shall have no right of contribution against
other beneficiaries with respect to that amount. (L. 1989 H.B. 145 § 30,
A.L. 1995 S.B. 116)

1. An individual who is a beneficiary of a nonprobate transfer
shall not be entitled to a transfer unless the individual survives the
owner by one hundred twenty hours.

2. If an owner provides and the transferring entity accepts, or if a
governing instrument or applicable law provides, a period of survival
different than one hundred twenty hours, the period designated shall
determine the survival requirement of beneficiaries under this section.
An owner and transferring entity may agree that certain circumstances
raise a different presumption of survival or nonsurvival.

3. This section does not apply to survivorship rights of joint owners.
(L. 1989 H.B. 145 § 31, A.L. 1995 S.B. 116)

1. A beneficiary designation designating a trustee under a trust
established or to be established by the owner or some other person,
including a funded or unfunded trust, shall not be invalid because the
trust is amendable or revocable or both or because the trust was amended
after the designation.

2. Unless a beneficiary designation provides otherwise, a trust that was
revoked or terminated before the death of the owner shall be deemed not
to have survived the owner.

3. Unless a beneficiary designation provides otherwise, a legal entity or
trust that does not exist or come into existence at the time of the
owner's death shall be deemed not to have survived the owner. (L. 1995
S.B. 116)

1. Whenever a person designated as beneficiary of a nonprobate
transfer is a lineal descendant of the owner, and the beneficiary is
deceased at the time the beneficiary designation is made or does not
survive the owner, or is treated as not surviving the owner, the
nonsurviving beneficiary's share shall belong to that beneficiary's
lineal descendants per stirpes who survive the owner, to take in place of
and in substitution for the nonsurviving beneficiary, the same as the
beneficiary would have taken if the beneficiary had survived. This
subsection shall not apply to a beneficiary designation with the notation
"no LDPS" after a beneficiary's name or other words negating an intention
to direct the transfer to the lineal descendant substitutes of a
nonsurviving beneficiary.

2. A beneficiary designation may provide that the share of any
beneficiary not related to the owner as provided in subsection 1 of this
section, and who does not survive the owner, shall belong to that
beneficiary's lineal descendants per stirpes who survive the owner, by
including after the name of the beneficiary the words "and lineal
descendants per stirpes" or the abbreviation "LDPS".

3. Lineal descendants, taking as substitutes for a beneficiary of a
nonprobate transfer, if they are of the same degree of kinship to the
nonsurviving beneficiary, share equally, but if they are of unequal
degree, then those of more remote degree take the share of their parent
by representation.

4. Whenever a nonprobate transfer is to be made to a beneficiary's lineal
descendants per stirpes, the property shall belong to such lineal
descendants of the beneficiary who survive the owner, and in such
proportions, as would result if the survivors were inheriting personal
property of the beneficiary under the laws of Missouri and the
beneficiary had died at the time of the owner's death, intestate,
unmarried, domiciled in Missouri and possessed of such property.

5. Whenever a beneficiary of a nonprobate transfer does not survive the
owner and the beneficiary is a person for whom the beneficiary's
surviving lineal descendants take as substitutes under subsection 1 or 2
of this section, if there are no lineal descendants of the beneficiary
who survive the owner, the beneficiary's share shall belong to the
surviving beneficiaries, or to the owner's estate, as would be the case
if transfer to the beneficiary's lineal descendants were not required to
be considered. (L. 1989 H.B. 145 § 32, A.L. 1995 S.B. 116)

If a beneficiary of a nonprobate transfer disclaims in whole or
in part the nonprobate transfer in the manner provided by law, then with
respect to the disclaimed transfer, the disclaimant is treated as having
predeceased the owner unless the beneficiary designation provides
otherwise; but the possibility that a beneficiary or descendant may
disclaim a transfer shall not require any transferring entity to withhold
making the transfer in the normal course of business. (L. 1989 H.B. 145 §
33, A.L. 1995 S.B. 116)

1. If, after an owner makes a beneficiary designation, the
owner's marriage is dissolved or annulled, any provision of the
beneficiary designation in favor of the owner's former spouse or a
relative of the owner's former spouse is revoked on the date the marriage
is dissolved or annulled, whether or not the beneficiary designation
refers to marital status. The beneficiary designation shall be given
effect as if the former spouse or relative of the former spouse had
disclaimed the revoked provision.

2. Subsection 1 of this section does not apply to a provision of a
beneficiary designation that has been made irrevocable, or revocable only
with the spouse's consent, or that is made after the marriage was
dissolved, or that expressly states that marriage dissolution shall not
affect the designation of a spouse or relative of a spouse as beneficiary.

3. Any provision of a beneficiary designation revoked solely by this
section is revived by the owner's remarriage to the former spouse or by a
nullification of the marriage dissolution or annulment.

4. In this section, "a relative of the owner's former spouse" means an
individual who is related to the owner's former spouse by blood, adoption
or affinity and who, after the divorce or annulment, is not related to
the owner by blood, adoption or affinity. (L. 1989 H.B. 145 § 34, A.L.
1995 S.B. 116)

(2001) State statute providing that designation of spouse as beneficiary
of a nonprobate asset was automatically revoked upon divorce held to be
invalid as preempted by Employee Retirement Income Security Act (ERISA).
Egelhoff v. Egelhoff ex rel. Breiner, 121 S.Ct. 1322, 149 L.Ed.2d 264.

1. A beneficiary designation or a revocation of a beneficiary
designation that is procured by fraud, duress or undue influence is void.

2. A beneficiary who willfully and unlawfully causes or participates with
another in causing the death of the owner, or the insured individual
under a life insurance policy or certificate, is disqualified from
receiving any benefit of a nonprobate transfer from the owner or any
proceeds payable as a result of the death of an individual insured under
a life insurance policy or certificate. The beneficiary designation shall
be given effect as if the disqualified beneficiary had disclaimed it. The
fact that a beneficiary willfully and unlawfully caused or participated
with another in causing the death of the owner may be established by a
criminal conviction or guilty plea, after the right of direct appeal has
been exhausted, or determined in a proceeding pursuant to subsection 3 of
this section using a preponderance of the evidence standard.

3. On petition of any interested person or the transferring entity, the
trier of fact shall determine whether a beneficiary designation or a
revocation of a beneficiary designation is void by reason of subsection 1
of this section or whether subsection 2 of this section applies to
prevent any person from receiving any benefit of the nonprobate transfer.
The trier of fact may mitigate the effect of subsection 1 or 2 on any
person as the trier of fact determines justice requires. Any party may
demand a jury trial. (L. 1989 H.B. 145 § 35, A.L. 1995 S.B. 116)

(1998) Statute does not provide for reformation of beneficiary deed due
to unilateral mistake. Groh v. Ballard, 965 S.W.2d 872 (Mo.App. W.D.)

1. No law intended to protect a spouse or child from
unintentional disinheritance by the will of a testator shall apply to a
nonprobate transfer.

2. A beneficiary designation designating the children of the owner or any
other person as a class and not by name shall include all children of the
person, whether born or adopted before or after the beneficiary
designation is made.

3. If a beneficiary designation names an individual who is a child of the
owner, and if the owner has a child born or adopted after the owner makes
the beneficiary designation, the after-born or after-adopted child shall
be entitled to receive a fractional share of any property otherwise
transferable to any child of the owner who is named in the beneficiary
designation, computed as follows: the numerator of the fraction shall be
one, and the denominator shall be the total number of the owner's
children, whether born or adopted before or after the beneficiary
designation was made and whether named or not in the beneficiary
designation. The property otherwise transferable to the owner's children
named in the beneficiary designation shall be reduced in the proportion
that their shares bear to each other. If there is no share designated for
any child of the owner an after-born or after-adopted child shall receive
no share of the property subject to the nonprobate transfer.

4. A beneficiary designation, a governing instrument or the rules of any
transferring entity may provide that the after-born child rule does not
apply, in which case after-born and after-adopted children of the owner
shall receive no share of property designated for named children of the
owner.

5. A transferring entity shall have no obligation to apply subsection 3
of this section in making distribution with respect to property
registered in beneficiary form. This exception for the transferring
entity shall not affect the ownership interest of the after-born or
after-adopted child. (L. 1989 H.B. 145 § 36, A.L. 1995 S.B. 116)

1. The rights and obligations of the owner, beneficiary and
transferring entity shall be governed by the nonprobate transfers law of
Missouri.

2. When provision for a nonprobate transfer is a matter of agreement
between the owner and the transferring entity pursuant to section
461.012, a transferring entity may adopt rules for the making,
revocation, acceptance and execution of beneficiary designations and a
transferring entity may adopt the rules in subdivisions (1) to (15) of
subsection 3 of this section in whole or in part by incorporation by
reference.

3. The following rules in subdivisions (1) to (15) of this subsection
shall apply to all beneficiary designations except as otherwise provided
by any governing instrument, the rules of any transferring entity,
applicable law or the beneficiary designation:

(1) A beneficiary designation or a request for registration of property
in beneficiary form shall be made in writing, signed by the owner and
dated, except as provided in subdivision (2) of this subsection;

(2) A security that is not presently registered in the name of the owner
may be registered in beneficiary form on instructions given by a broker
or a person delivering the security;

(3) A beneficiary designation may designate one or more primary
beneficiaries and one or more contingent beneficiaries;

(4) On property registered in beneficiary form, primary beneficiaries are
the persons shown immediately following the transfer on death direction.
Words indicating that the persons shown are primary beneficiaries are not
required. If contingent beneficiaries are designated, their names in the
registration shall be preceded by the words "contingent beneficiaries",
or an abbreviation thereof, or words of similar meaning;

(5) Unless a different percentage or fractional share is stated for each
beneficiary, surviving multiple primary beneficiaries or multiple
contingent beneficiaries share equally. When a percentage or fractional
share is designated for multiple beneficiaries, either primary or
contingent, surviving beneficiaries share in the proportion that their
designated shares bear to each other;

(6) Provision for a transfer of unequal shares to multiple beneficiaries
for property registered in beneficiary form may be expressed in the
registration by a number preceding the name of each beneficiary that
represents a percentage share of the property to be transferred to that
beneficiary. The number representing a percentage share need not be
followed by the word "percent" or a percent sign;

(7) A nonprobate transfer of property also transfers any interest, rent,
royalties, earnings, dividends or credits earned or declared on the
property, but not paid or credited before the owner's death;

(8) If a distribution by a transferring entity pursuant to a nonprobate
transfer results in fractional shares in a security or other property
that is not divisible, the transferring entity may distribute the
fractional shares in the name of all beneficiaries as tenants in common
or as the beneficiaries may direct, or the transferring entity may sell
the property, that is not divisible and distribute the proceeds to the
beneficiaries in the proportions to which they are entitled;

(9) On death of the owner, the property, less a setoff for all amounts
and charges owing by the owner to the transferring entity, shall belong
to the surviving beneficiaries, and their lineal descendants when
required as substitutes, as follows:

(a) If a multiple primary beneficiary does not survive and has no
surviving lineal descendant substitutes, the nonsurviving primary
beneficiary's share shall belong to the surviving primary beneficiaries
in the proportion that their shares bear to each other;

(b) If no primary beneficiary or lineal descendant substitute survives,
the property shall belong to the surviving contingent beneficiaries in
equal shares or in the percentage or fractional share stated;

(c) If a multiple contingent beneficiary does not survive and has no
lineal descendant substitutes, the nonsurviving contingent beneficiary's
share shall belong to the surviving contingent beneficiaries in the
proportion that their shares bear to each other;

(d) If no beneficiary survives the owner, the property shall belong to
the owner's estate;

(10) If a trustee designated as a beneficiary does not survive the owner,
resigns or is unable or unwilling to execute the trust as trustee, and,
if within one year of the owner's death no successor trustee has been
appointed or has undertaken to act, or if a trustee is designated as
beneficiary and no trust instrument or probated will creating an express
trust has been presented to the transferring entity, the transferring
entity may in its discretion make the distribution as it would be made if
the trust did not survive the owner;

(11) If, within six months of the owner's death, the transferring entity
has not been presented evidence that a nonsurviving beneficiary for whom
LDPS distribution applies had lineal descendants who survived the owner,
the transferring entity may in its discretion make the transfer as if the
beneficiary's descendants, if any, did not survive the owner;

(12) If a beneficiary cannot be located at the time the transfer is made
to located beneficiaries, the transferring entity shall hold the missing
beneficiary's share. If the missing beneficiary's share is not claimed by
the beneficiary or the beneficiary's personal representative or
successors within one year of the owner's death, the transferring entity
shall transfer the share as if the beneficiary did not survive the owner.
The transferring entity shall have no obligation to attempt to locate a
missing beneficiary, to pay interest on the share held for a missing
beneficiary or to invest the missing beneficiary's share in any different
property. Cash, interest, rent, royalties, earnings or dividends payable
to the missing beneficiary may be held by the transferring entity at
interest or reinvested by the transferring entity in the account or in a
dividend reinvestment account associated with a security held for the
missing beneficiary;

(13) If a transferring entity is required to make a nonprobate transfer
to a minor or a disabled adult the transfer may be made pursuant to the
Missouri transfers to minors law, chapter 404, RSMo, the Missouri
personal custodian law, chapter 404, RSMo, or a similar law of another
state;

(14) A written request for execution of a nonprobate transfer may be made
by any beneficiary, a beneficiary's legal representative or attorney in
fact, or the owner's personal representative. The request shall be under
oath or affirmation, subscribed before a notary public or other person
authorized to administer oaths, and shall include the following:

(a) The full name, address and tax identification number of each
beneficiary;

(b) The percentage or fractional share to be distributed to each
beneficiary;

(c) The manner in which percentage or fractional shares in nondivisible
property or the proceeds therefrom are to be distributed;

(d) A statement that there are no known disputes as to the persons
entitled to a distribution under the nonprobate transfer or the amounts
to be distributed to each person, and no known claims that would affect
the distribution requested;

(e) Such other information as the transferring entity may require;

(15) A written request pursuant to subdivision (14) of this subsection
shall be accompanied by the following:

(a) Any certificate or instrument evidencing ownership of the contract,
account, security or property;

(b) Proof of death of the owner and any nonsurviving beneficiary;

(c) An inheritance tax waiver from states that require it;

(d) Where the request is made by a legal representative, a certified copy
of the court order appointing the legal representative; and

(e) Such other proof of entitlement as the transferring entity may
require. (L. 1989 H.B. 145 § 37, A.L. 1995 S.B. 116)

1. The owner in making provision for a nonprobate transfer under
sections 461.003 to 461.081 gives to the transferring entity the
protections provided in this section for executing the owner's
beneficiary designation.

2. The transferring entity may execute a nonprobate transfer with or
without a written request.

3. The transferring entity may rely and act on:

(1) A certified or authenticated copy of a death certificate issued by an
official or agency of the place where the death occurred as showing the
fact, place, date, time of death and the identity of the decedent; or

(2) A certified or authenticated copy of any report or record of a
governmental agency, domestic or foreign, that a person is missing,
detained, dead or alive and the dates, circumstances and places disclosed
by the record or report.

4. The transferring entity may rely and act on, and shall have no duty to
verify, information in a written request made by a person specified in
subdivision (14) of subsection 3 of section 461.062, under oath or
affirmation, subscribed before a notary public or other person authorized
to administer oaths, for execution of the beneficiary designation.

5. The transferring entity shall have no duty:

(1) To give notice to any person of the date, manner and persons to whom
transfer will be made under the beneficiary designation, except as
provided in subsection 6 of this section;

(2) To attempt to locate any beneficiary or lineal descendant substitute,
or determine whether a nonsurviving beneficiary or descendant had lineal
descendants who survived the owner;

(3) To locate a trustee or custodian, obtain appointment of a successor
trustee or custodian, or discover the existence of a trust instrument or
will that creates an express trust; or

(4) To determine any fact or law that would cause the beneficiary
designation to be revoked in whole or in part as to any person because of
change in marital status or other reason, or that would qualify or
disqualify any person to receive a share under the nonprobate transfer,
or that would vary the distribution provided in the beneficiary
designation.

6. (1) The transferring entity shall have no duty to withhold making a
transfer based on knowledge of any fact or claim adverse to the transfer
to be made unless, prior to the transfer, the transferring entity has
received written notice at a place and time and in a manner which affords
a reasonable opportunity to act on it before the transfer is made, that:

(a) Asserts a claim of beneficial interest in the transfer adverse to the
transfer to be made;

(b) Gives the name of the claimant and an address for communications
directed to the claimant;

(c) Identifies the deceased owner and the property to which the claim
applies; and

(d) States the amount and nature of the claim as it affects the transfer.

(2) If a notice as provided in subdivision (1) of this subsection is
received by the transferring entity, the transferring entity may
discharge any duty to the claimant by delivering a notice or sending a
notice by certified mail to the claimant at the address given in the
notice of claim advising that a transfer adverse to the claimant's
asserted claim may be made in thirty days from the date of delivery or
mailing unless the transfer is restrained by a court order. If the
transferring entity so delivers or mails such a notice it shall withhold
making the transfer for thirty days after the date of delivery or mailing
and may then make the transfer unless restrained by a court order.

(3) No other notice or other information shown to have been available to
the transferring entity, its transfer agent and their employees, shall
affect the right to the protections provided in sections 461.003 to
461.081.

7. The transferring entity shall have no responsibility for the
application or use of property transferred to a fiduciary which the
fiduciary as such is entitled to receive.

8. Notwithstanding the protections provided the transferring entity in
sections 461.003 to 461.081, in the event the transferring entity is
uncertain as to the beneficiary entitled to receive a transfer or the
beneficiary's proper share, or in the event of a dispute as to the proper
transfer, the transferring entity may require the parties to adjudicate
their respective rights or to furnish an indemnity bond protecting the
transferring entity.

9. A transfer by the transferring entity in accordance with sections
461.003 to 461.081 and pursuant to the beneficiary designation in good
faith and in reliance on information the transferring entity reasonably
believes to be accurate, discharges the transferring entity from all
claims for the amounts paid and the property transferred.

10. The protections provided a transferring entity in sections 461.003 to
461.081 are in addition to protections provided by chapters 400, 403, 404
and 456, RSMo. (L. 1989 H.B. 145 § 38, A.L. 1995 S.B. 116)

1. Any protection provided to a transferring entity or to a
purchaser or lender for value under sections 461.003 to 461.081 shall
have no bearing on the rights of beneficiaries or others in disputes
among themselves concerning the ownership of the property.

2. Unless the payment or transfer can no longer be questioned because of
adjudication, estoppel or limitations, a transferee of money or property
pursuant to a nonprobate transfer that was improperly distributed or
paid, is liable to return to the transferring entity or deliver to the
rightful transferees the money or property improperly received and the
income earned thereon by the transferee. If the transferee does not have
the property, then the transferee is liable to return the value of the
property as of the date of disposition, and the income and gain received
by the transferee from the property and its proceeds. If the transferee
has encumbered the property, the transferee shall satisfy any debt
incurred that imposes an encumbrance on the property, sufficient to
release any security interest, lien or other encumbrance on the property.

3. A purchaser for value of property or a lender who acquires a security
interest in the property from a beneficiary of a nonprobate transfer
after the death of the owner, in good faith, takes the property free of
any claims of or liability to the owner's estate, creditors of the
owner's estate, persons claiming rights as beneficiaries under the
nonprobate transfer or heirs of the owner's estate, in absence of actual
knowledge that the transfer was improper or that the information in an
affidavit, if any, provided pursuant to subdivision (14) of subsection 3
of section 461.062 is not true; and, a purchaser or lender for value
shall have no duty to verify sworn information relating to the nonprobate
transfer. The protection provided by this subsection applies to
information that relates to the ownership interest of the beneficiary in
the property and the beneficiary's right to sell, encumber and transfer
good title to a purchaser or lender and does not relieve a purchaser or
lender from the notice imparted by instruments of record respecting the
property.

4. A nonprobate transfer that is improper because of the application of
sections 461.045 to 461.059 shall impose no liability on the transferring
entity if made honestly in good faith, regardless of any negligence in
determining the proper transferees. The remedy of the rightful
transferees shall be limited to an action against the improper
transferees. (L. 1989 H.B. 145 § 39, A.L. 1995 S.B. 116)

A deceased owner's creditors, surviving spouse and unmarried
minor children shall have the rights set forth in section 461.300 with
respect to the value of property passing by nonprobate transfer. (L. 1989
H.B. 145 § 40, A.L. 1995 S.B. 116)

1. Subject to the provisions of section 461.079, sections
461.003 to 461.081 apply to a nonprobate transfer on death if at the time
the owner designated the beneficiary:

(1) The owner was a resident of this state;

(2) The obligation to pay or deliver arose in this state or the property
was situated in this state; or

(3) The transferring entity was a resident of this state or had a place
of business in this state or the obligation to make the transfer was
accepted in this state.

2. The direction for a nonprobate transfer on death of the owner and the
obligation to execute the nonprobate transfer remain subject to the
provisions of sections 461.003 to 461.081 despite a subsequent change in
the beneficiary, in the rules of the transferring entity under which the
transfer is to be executed, in the residence of the owner, in the
residence or place of business of the transferring entity or in the
location of the property.

3. Sections 461.003 to 461.045 and 461.059 to 461.065 do not apply to
accounts or deposits in financial institutions unless the provisions of
sections 461.003 to 461.081 are incorporated into the certificate,
account or deposit agreement in whole or in part by express reference.

4. Sections 461.003 to 461.081 apply to transfer on death directions
given to a personal custodian under the Missouri personal custodian law
to the extent that they do not conflict with section 404.560, RSMo.

5. Sections 461.003 to 461.045 and 461.059 to 461.065 do not apply to
certificates of ownership or title issued by the director of revenue.

6. Sections 461.003 to 461.045, 461.051 and 461.059 to 461.081 do not
apply to property, money or benefits paid or transferred at death
pursuant to a life or accidental death insurance policy, annuity,
contract, plan or other product sold or issued by a life insurance
company unless the provisions of sections 461.003 to 461.081 are
incorporated into the policy or beneficiary designation in whole or in
part by express reference.

7. Sections 461.003 to 461.045 and 461.059 to 461.065 do not apply to any
nonprobate transfer where the governing instrument or law expressly
provides that the nonprobate transfers law of Missouri shall not apply.

8. Section 461.051 shall not apply to any employee benefit plan governed
by 29 U.S.C. Section 1001 et seq. (L. 1989 H.B. 145 § 41, A.L. 1995 S.B.
116, A.L. 2001 H.B. 644 merged with S.B. 227)

The probate division of the circuit court may hear and determine
questions and issue appropriate orders concerning the determination of
the beneficiary who is entitled to receive a nonprobate transfer, the
proper share of each beneficiary and any action to obtain the return of
any money or property, or its value and earnings, improperly distributed
to any person. (L. 1989 H.B. 145 § 42, A.L. 1995 S.B. 116)

1. A beneficiary designation that purports to have been made and
which is valid under the Uniform Probate Code, Uniform TOD Security
Registration Law or similar law of another state is governed by the law
of that state and the nonprobate transfer may be executed and enforced in
this state.

2. The meaning and legal effect of a nonprobate transfer shall be
determined by the local law of the particular state selected in a
governing instrument or beneficiary designation.

3. The provisions of this chapter shall be applied and construed to
effectuate their general purpose to make uniform the law with respect to
the subject of this chapter among states enacting a similar law. (L. 1995
S.B. 116)

1. Sections 461.003 to 461.081 shall apply to beneficiary
designations for nonprobate transfers made on and after August 28, 1989.
Sections 461.003 to 461.081 shall apply to all nonprobate transfers
occurring on and after January 1, 1990.

2. Any provision for a nonprobate transfer of money, benefits or property
at death as now permitted in sections 461.003 to 461.081, purported to
have been made before August 28, 1989, is validated notwithstanding that
there was no specific statutory authority for making the nonprobate
transfer in that manner at the time provision for the nonprobate transfer
was made. (L. 1989 H.B. 145 § 43)

1. Each recipient of a recoverable transfer of a decedent's
property shall be liable to account for a pro rata share of the value of
all such property received, to the extent necessary to discharge the
statutory allowances to the decedent's surviving spouse and dependent
children, and claims remaining unpaid after application of the decedent's
estate, including expenses of administration and costs as provided in
subsection 3 of this section, and including estate or inheritance or
other transfer taxes imposed by reason of the decedent's death only where
payment of those taxes is a prerequisite to satisfying unpaid claims
which have a lower level of priority. No proceeding may be brought under
this section when the deficiency described in this subsection is solely
attributable to costs and expenses of administration.

2. The obligation of a recipient of a recoverable transfer may be
enforced by an action for accounting commenced within eighteen months
following the decedent's death by the decedent's personal representative
or a qualified claimant, but no action for accounting under this section
shall be commenced by any qualified claimant unless the personal
representative has received a written demand therefor by a qualified
claimant, within sixteen months following the decedent's death. If the
personal representative fails to commence an action within thirty days of
the receipt of a written demand to do so, any qualified claimant may
commence such action. If the personal representative fails to commence
the action, the personal representative shall disclose to the qualified
claimant or qualified claimants who made such written demand all material
knowledge within the possession of the personal representative reasonably
relating to the identity of any recipient of a recoverable transfer made
by the decedent. In the event the personal representative fails to
provide such information with respect to any recoverable transfer of the
decedent's property to the personal representative, the eighteen-month
limitation is tolled for such recoverable transfer until such time as the
personal representative provides such information. In the event the
personal representative is alleged in a verified pleading to be a
recipient of a recoverable transfer from the decedent, the court may
appoint an administrator ad litem to represent the estate in any
proceeding brought pursuant to this section. Sums recovered in an action
for accounting under this section shall be administered by the personal
representative as part of the decedent's estate.

3. The judgment in a proceeding authorized by this section shall take
into account the expenses of administration of the estate including the
cost of administering the additional assets obtained in the proceeding,
and the costs of the proceeding to the extent authorized by this
subsection. The court may order the costs of the proceeding, including
attorney fees, to be treated as expenses of administration of the estate.

4. If an action for accounting has been commenced under this section
within eighteen months following the decedent's death, then any party to
the proceeding may join and bring into the action for accounting any
other recipient of a recoverable transfer of the decedent's property even
if the other recipient is not joined until more than eighteen months
following the decedent's death. If an action for accounting has been
commenced under this section more than eighteen months following the
decedent's death pursuant to the tolling provisions of subsection 2 of
this section, then the personal representative, or former personal
representative, who received a recoverable transfer of the decedent's
property shall be liable to account under the provisions of subsection 1
of this section for the value of all such property received by such
personal representative, or former personal representative, and no other
recipient of a recoverable transfer of the decedent's property may be
joined or brought into the action, and in such case, full recovery,
rather than pro rata recovery, may be had from the recoverable property
received by such personal representative or former personal
representative.

5. This section shall not affect the right of any transferring entity, as
defined in section 461.005, to execute a direction of the decedent to
make a payment or to make a recoverable transfer on death of the
decedent, or make the transferring entity liable to the decedent's
estate, unless before the payment or transfer is made the transferring
entity has been served with process in a proceeding brought under this
section and the transferring entity has had a reasonable time to act on
it.

6. This section does not create a lien on any property that is the
subject of a recoverable transfer, except as a lien may be perfected by
the way of attachment, garnishment, or judgment in an accounting
proceeding authorized by this section.

7. An action for accounting under the provisions of this section may be
filed in the probate division of the circuit court, and the probate
division of the circuit court may hear and determine questions and issue
appropriate orders in an action for accounting under this section. Any
proceeding under this section and any statements by a personal
representative in connection with any recoverable transfer shall be
deemed to be proceedings or statements under the probate code that are
subject to section 472.013, RSMo.

8. The recipient of any property held in trust that was subject to the
satisfaction of the decedent's debts immediately prior to the decedent's
death, and the recipient of any property held in joint tenancy with right
of survivorship that was subject to the satisfaction of the decedent's
debts immediately prior to the decedent's death, are subject to this
section, but only to the extent of the decedent's contribution to the
value of the property.

9. The provisions of this section shall apply to all actions commenced
after August 28, 1995, except that with respect to decedents dying prior
to August 28, 1995, an action for accounting under this section may be
commenced within two years following the decedent's death.

10. As used in this section, the following terms mean:

(1) "Creditor", any person to whom the decedent is liable, which
liability survives whether arising in contract, tort, or otherwise, and
any person to whom the decedent's estate is liable for funeral expenses
and the reasonable cost of a tombstone;

(2) "Dependent child", the decedent's minor children whom the decedent
was obligated to support and the children who were in fact being
supported by the decedent;

(3) "Qualified claimant", a creditor, surviving spouse, dependent child,
or a person acting for a dependent child of the decedent;

(4) "Recoverable transfer", a nonprobate transfer of a decedent's
property under sections 461.003 to 461.081 and any other transfer of a
decedent's property other than from the administration of the decedent's
probate estate that was subject to satisfaction of the decedent's debts
immediately prior to the decedent's death, but only to the extent of the
decedent's contribution to the value of such property. (L. 1995 S.B. 116,
A.L. 2004 H.B. 1511)

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