USA Statutes : nevada
Title : Title 13 - GUARDIANSHIPS; CONSERVATORSHIPS; TRUSTS
Chapter : CHAPTER 167 - TRANSFERS TO MINORS (UNIFORM ACT)
This chapter may be cited as Nevada’s
Uniform Act on Transfers to Minors.
(Added to NRS by 1957, 21; A 1967, 370; 1985, 69)
In this chapter, unless the context
otherwise requires:
1. “Adult” means a person who has attained the age of 18 years.
2. “Benefit plan” means an employer’s plan for the benefit of an
employee or partner.
3. “Broker” means a person lawfully engaged in the business of
effecting transactions in securities or commodities for his own account
or for the account of others.
4. “Conservator” means a person appointed or qualified by a court
to act as general, limited or temporary guardian of a minor’s property or
any other person legally authorized to perform substantially the same
functions.
5. “Court” means the district court.
6. “Custodial property” means:
(a) Any interest in property transferred to a custodian in a manner
prescribed in this chapter; and
(b) The income from and the proceeds of that interest in property.
7. “Custodian” means a person so designated in a manner prescribed
in this chapter. The term includes a successor or substitute custodian.
8. “Financial institution” means a bank, trust company, savings
institution or credit union chartered and supervised under federal law or
the laws of a state.
9. “Legal representative” means a personal representative or
conservator.
10. “Member of a minor’s family” means a minor’s parent,
stepparent, spouse, grandparent, brother, sister, uncle or aunt, whether
of the whole blood or the half blood, or by or through legal adoption.
11. “Minor” means a person who has not attained the age of 18
years.
12. “Person” means any natural person, corporation, organization
or other legal entity.
13. “Personal representative” means an executor, administrator,
successor personal representative or special administrator of a
decedent’s estate or any other person legally authorized to perform
substantially the same functions.
14. “State” means any state of the United States, the District of
Columbia, the Commonwealth of Puerto Rico or any territory or possession
subject to the legislative authority of the United States.
15. “Transfer” means a transaction which creates custodial
property in a manner prescribed in this chapter.
16. “Transferor” means a person who makes a transfer in a manner
prescribed in this chapter.
17. “Trust company” means a financial institution, corporation or
other legal entity authorized to exercise general trust powers.
(Added to NRS by 1957, 21; A 1965, 1013; 1967, 371; 1977, 1024;
1983, 9; 1985, 69)
1. This chapter applies to a transfer that refers to Nevada’s
Uniform Act on Transfers to Minors in the designation under subsection 1
of NRS 167.030 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 so created remains subject to
the provisions of this chapter despite a subsequent change in the
residence of the transferor, the minor or the custodian, or the removal
of the custodial property from this state.
2. A person designated as a custodian under this chapter is
subject to personal jurisdiction in this state with respect to any matter
relating to the custodianship.
3. A transfer that purports to be made and which 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.
(Added to NRS by 1985, 66)
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 pursuant to the provisions of this chapter.
(Added to NRS by 1985, 67)
1. A personal representative or trustee may make an irrevocable
transfer pursuant to the provisions of this chapter to a custodian for
the benefit of a minor as authorized in the governing will or trust.
2. If the testator or settlor has nominated a custodian to receive
the custodial property, the transfer must be made to that person.
3. If the testator or settlor has not nominated a custodian, or
all persons so nominated as custodian die before the transfer or are
unable, decline or are ineligible to serve, the personal representative
or the trustee shall designate the custodian from among those eligible to
serve as custodian for property of that kind.
(Added to NRS by 1985, 67)
1. A personal representative or trustee may make an irrevocable
transfer to another adult or trust company as custodian for the benefit
of a minor pursuant to the provisions of this chapter, in the absence of
a will or under a will or trust that does not contain an authorization to
do so.
2. A conservator may make an irrevocable transfer to another adult
or trust company as custodian for the benefit of the minor pursuant to
the provisions of this chapter.
3. A transfer made pursuant to this section may be made only if:
(a) The personal representative, trustee or conservator considers
the transfer to be in the best interest of the minor;
(b) The transfer is not prohibited by or inconsistent with the
provisions of the applicable will, trust agreement or other governing
instrument; and
(c) The transfer is authorized by the court if it exceeds $10,000
in value.
(Added to NRS by 1985, 67)
1. A person not subject to NRS 167.025 or 167.027
who holds property of or owes a liquidated debt to a minor not having a
conservator may make an irrevocable transfer to a custodian for the
benefit of the minor pursuant to the provisions of this chapter.
2. If a person has nominated a custodian under NRS 167.033 to receive the custodial property, the
transfer must be made to that person.
3. If no custodian has been nominated, or if all persons so
nominated 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 $10,000 in value.
(Added to NRS by 1985, 67)
1. Custodial property is created and a transfer is made when:
(a) An uncertificated security or a certificated security in
registered form is:
(1) 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 Nevada’s
Uniform Act on Transfers to Minors”; or
(2) Delivered if in certificated form, or any document
necessary for the transfer or 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 2;
(b) Money is paid or delivered 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 Nevada’s
Uniform Act on Transfers to Minors”;
(c) The ownership of a life or endowment insurance policy or
annuity contract is:
(1) 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 Nevada’s Uniform Act on
Transfers to Minors”; or
(2) 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 Nevada’s Uniform Act on Transfers to Minors”;
(d) 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 Nevada’s Uniform Act on
Transfers to Minors”;
(e) An interest in real property is recorded 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 Nevada’s Uniform Act on Transfers to Minors”;
(f) A certificate of title issued by a department or agency of a
state or of the United States which evidences title to tangible personal
property is:
(1) 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 Nevada’s
Uniform Act on Transfers to Minors”; or
(2) Delivered to an adult other than the transferor or to a
trust company, endorsed to that person followed in substance by the
words: “as custodian for................(name of minor) under Nevada’s
Uniform Act on Transfers to Minors”; or
(g) An interest in any property not described in paragraphs (a) to
(f), inclusive, 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 2.
2. An instrument in the following form satisfies the requirements
of subparagraph (2) of paragraph (a) of subsection 1 and paragraph (g) of
subsection 1:
“Transfer Under Nevada’s Uniform Act on Transfers to Minors
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
Nevada’s Uniform Act on Transfers to Minors, 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 Nevada’s
Uniform Act on Transfers to Minors.
Dated:
............................................................... ”
(Signature of Custodian)
3. Any transfer made in a manner prescribed in subsection 1 may be
made to only one minor and only one person may be the custodian. Any
custodial property held by the same custodian for the benefit of the same
minor constitutes a single custodianship.
4. A transferor shall promptly do all things within his power to
put the subject of the transfer in the possession and control of the
custodian.
(Added to NRS by 1957, 22; A 1965, 1014; 1967, 372; 1983, 11; 1985,
71)
1. A person having the right to designate the recipient of
property transferable upon the occurrence of a future event may revocably
nominate a custodian to receive the property for a minor beneficiary upon
the occurrence of the event by naming the custodian followed in substance
by the words: “as custodian for ................ (name of minor) under
Nevada’s Uniform Act on Transfers to Minors.” 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 which is registered with or delivered
to the payor, issuer or other obligor of the contractual rights.
2. A custodian nominated under this section must be a person to
whom a transfer of property of that kind may be made under subsection 1
of NRS 167.030 .
3. 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
the provisions of this chapter. Unless the nomination of a custodian has
been revoked, upon the occurrence of the future event, the custodianship
becomes effective and the custodian shall enforce a transfer of the
custodial property pursuant to the provisions of this chapter.
(Added to NRS by 1985, 66)
1. Subject to the limitations of this section, the time for
transfer to the minor of custodial property transferred under NRS 167.023
, 167.025 or 167.033
may be delayed until a specified time after the time the minor attains 18
years of age. The time must be specified in the transfer made under NRS
167.030 .
2. To specify a delayed time for transfer, the words: “as
custodian for ......................... (name of minor) until he attains
the age of ........ (age at which transfer is to occur) years under
Nevada’s Uniform Act on Transfers to Minors” must be substituted in
substance for the words: “as custodian for .........................
(name of minor) under Nevada’s Uniform Act on Transfers to Minors” in
making the transfer under NRS 167.030 .
3. The time for transfer to the minor of custodial property
transferred under NRS 167.025 or
167.033 may be delayed under this
section only if the governing will, trust or nomination provides in
substance that the custodianship is to continue until the time the minor
attains a specified age, which time may not be later than the time the
minor attains 25 years of age, and in such a case the will, trust or
nomination determines the time to be specified in making the transfer
under NRS 167.030 .
4. The time for transfer to the minor of custodial property
transferred under NRS 167.023 may be
delayed only if the transfer under NRS 167.030 provides in substance that the custodianship
is to continue until the time the minor attains a specified age, which
time may not be later than the time the minor:
(a) Attains 21 years of age, in the case of a transfer by
irrevocable gift under NRS 167.023 ; or
(b) Attains 25 years of age, in the case of a transfer by
irrevocable exercise of a power of appointment under NRS 167.023 .
5. If a transfer under NRS 167.030 provides in substance that the duration of the
custodianship is for a time longer than the maximum time permitted by
this section, the custodianship shall be deemed to continue only until
the time the minor attains the maximum age permitted by this section for
the duration of a custodianship created by that type of transfer.
6. The provisions of this section do not apply to any transfer
made under NRS 167.027 or 167.029
.
(Added to NRS by 1991, 1705)
The validity of a transfer made
in a manner prescribed in this chapter is not affected by:
1. The failure of the transferor to comply with the provisions of
NRS 167.030 concerning possession and
control;
2. The designation of an ineligible custodian, except the
designation of the transferor in the case of property for which the
transferor is ineligible to serve as custodian under subsection 1 of NRS
167.030 ; or
3. The death or incapacity of a person nominated or designated as
custodian or the disclaimer of the office by that person.
(Added to NRS by 1985, 68)
1. A transfer made in a manner prescribed in this chapter is
irrevocable and conveys to the minor indefeasibly vested legal title to
the custodial property, but the custodian has any right, power, duty or
authority provided in this chapter and neither the minor nor the minor’s
legal representative has any right, power, duty or authority with respect
to the custodial property except as provided in this chapter.
2. By making a transfer in a manner prescribed in this chapter,
the transferor incorporates in his disposition all the provisions of this
chapter and grants to the custodian, and to any third person dealing with
a person designated as custodian, the respective powers, rights and
immunities provided in this chapter.
(Added to NRS by 1957, 23; A 1965, 1015; 1967, 373; 1983, 12; 1985,
74)
A
written acknowledgment of delivery by a custodian constitutes a
sufficient receipt and discharge for custodial property transferred to
the custodian pursuant to the provisions of this chapter.
(Added to NRS by 1985, 68)
1. A custodian, acting in a custodial capacity, has all the
rights, powers and authority over custodial property that an unmarried
adult has over his own property, but a custodian may exercise those
rights, powers and authority in that capacity only.
2. This section does not relieve a custodian from liability for
breach of any of the provisions of NRS 167.050 .
(Added to NRS by 1985, 68)
1. The custodian shall:
(a) Take control of the custodial property;
(b) Register or record title to the custodial property, if
appropriate; and
(c) Collect, hold, manage, invest and reinvest the custodial
property.
2. In dealing with custodial property, the 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 the custodian has a special
skill or expertise or is named custodian on the basis of representations
of a special skill or expertise, he shall use that skill or expertise.
However, the custodian, without liability to the minor or the minor’s
estate, may retain any custodial property received from a transferor.
3. The custodian may invest in or pay premiums on life insurance
or endowment policies on the life of:
(a) The minor only if the minor or the minor’s estate is the sole
beneficiary; or
(b) 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 custodian, is the irrevocable beneficiary.
4. The 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
either registered, or held in an account designated, in the name of the
custodian, followed in substance by the words: “as a custodian
for................ (name of minor) under Nevada’s Uniform Act on
Transfers to Minors.”
5. The 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 them available for
inspection at reasonable intervals by a parent or legal representative of
the minor or by the minor, if the minor has attained the age of 14 years.
(Added to NRS by 1957, 23; A 1965, 1015; 1967, 373; 1977, 1025;
1983, 12; 1985, 75)
1. A custodian may deliver or pay to the minor or expend for the
minor’s benefit so 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:
(a) The duty or ability of the custodian personally or of any other
person to support the minor; or
(b) Any other income or property of the minor which may be
applicable or available for that purpose.
2. On petition of an interested person, or the minor if the minor
has attained the age of 14 years, the court may order the custodian to
deliver or pay to the minor or expend for his benefit so much of the
custodial property as the court considers advisable for his use and
benefit.
3. 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 to NRS by 1985, 69)
1. A custodian is entitled to reimbursement from the custodial
property for his reasonable expenses incurred in the performance of his
duties.
2. Unless he is a transferor under NRS 167.023 , a custodian may elect to receive from the
custodial property during each calendar year reasonable compensation for
his services performed during that year.
3. Except as otherwise provided in this chapter, a custodian need
not give a bond for the performance of his duties.
(Added to NRS by 1957, 24; A 1985, 77)
A third
person acting 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 purporting to act in the capacity of a custodian and, without
knowledge, is not responsible for determining:
1. Whether the person designated as custodian or purporting to act
as a custodian has been duly designated;
2. The propriety of, or the authority under this chapter for, any
act of the purported custodian;
3. The validity or propriety under this chapter of any instrument
or instructions executed or given by a person purporting to make a
transfer or by the purported custodian; or
4. The propriety of the application of any property of the minor
delivered to the purported custodian.
(Added to NRS by 1957, 24; A 1965, 1017; 1967, 375; 1985, 77)
1. A person nominated or designated as a custodian may decline to
serve by delivering a valid disclaimer to the person who made the
nomination or to the transferor or the transferor’s legal representative.
If the event giving rise to a transfer has not occurred and no substitute
custodian able, willing and eligible to serve was nominated, the person
who made the nomination may nominate a substitute custodian; 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. The custodian so designated has the rights of a successor
custodian.
2. A custodian at any time may designate a trust company or an
adult other than a transferor as successor custodian 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 resignation of the custodian, the designation
of the successor does not take effect until the custodian resigns, dies,
becomes incapacitated or is removed.
3. A custodian may resign at any time by delivering written notice
to the minor, if the minor has attained the age of 14 years, and to the
successor custodian and by delivering the custodial property to the
successor custodian.
4. If a custodian is ineligible, dies or becomes incapacitated
without having effectively designated a successor and the minor has
attained the age of 14 years, the minor may designate as successor
custodian, in the manner prescribed in subsection 2, an adult member of
the minor’s family, a conservator of the minor or a trust company. If the
minor has not attained the age of 14 years or fails to act within 60 days
after the ineligibility, death or incapacity, the conservator of the
minor becomes successor custodian. If the minor has no conservator or the
conservator 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.
5. A custodian who declines to serve under subsection 1 or resigns
under subsection 3, or the legal representative of a deceased or
incapacitated custodian, as soon as practicable, 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.
6. A transferor, the legal representative of a transferor, an
adult member of the minor’s family, a guardian of the minor, the
conservator of the minor, or the minor if he has attained the age of 14
years may petition the court that, for cause shown in the petition, the
custodian be removed and a successor custodian be designated, other than
a transferor, or, in the alternative, that the custodian be required to
give bond for the performance of his duties.
(Added to NRS by 1957, 25; A 1967, 375; 1977, 1027; 1983, 14; 1985,
78)
1. A claim based on:
(a) A contract entered into by a custodian acting in a custodial
capacity;
(b) An obligation arising from the ownership or control of
custodial property; or
(c) A tort committed during the custodianship,
Ê may be asserted against the custodial property by proceeding against
the custodian in his custodial capacity, whether or not the custodian or
the minor is personally liable therefor.
2. A custodian is not personally liable:
(a) On a contract properly entered into in his custodial capacity
unless he fails to reveal that capacity and to identify the custodianship
in the contract; or
(b) For an obligation arising from control of custodial property or
for a tort committed during the custodianship unless he is personally at
fault.
3. A minor is not personally liable for an obligation arising from
ownership of custodial property or for a tort committed during the
custodianship unless he is personally at fault.
(Added to NRS by 1985, 68)
1. The minor, if he has attained the age of 14 years, or the
guardian or legal representative of the minor, an adult member of the
minor’s family, or a transferor or his legal representative may petition
the court for:
(a) An accounting by the custodian or his legal representative; or
(b) 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
pursuant to NRS 167.085 to which the
minor or his legal representative was a party.
2. A successor custodian may petition the court for an accounting
by the predecessor custodian.
3. The court, in a proceeding under this chapter or otherwise, may
require or permit the custodian or his legal representative to account
and, if the custodian is removed, shall so require and order delivery of
all custodial property and records to the successor custodian and the
execution of all instruments required for the transfer of the custodial
property.
(Added to NRS by 1957, 25; A 1985, 80)
The custodian shall
transfer in an appropriate manner the custodial property to the minor or
to the minor’s estate upon the earlier of:
1. The minor’s attainment of 18 years of age with respect to
custodial property transferred under NRS 167.023 , 167.025 ,
167.027 or 167.029 , or the age provided for under NRS 167.034
, whichever is later; or
2. The minor’s death.
(Added to NRS by 1985, 68; A 1991, 1706)
This chapter must be so applied and
construed as to effectuate its general purpose to make uniform the law of
those states which enact it.
(Added to NRS by 1957, 26; A 1985, 81)
