33B-1. Definitions. As used in this act: (1) "Adult" means an individual who is at least 21 years of age. (2) "Beneficiary" means an individual for whom property has been transferred to or held under a declaration of trust by a custodial trustee for the individual’s use and benefit under this act. (3) "Guardian of […]
33B-10. Determination of incapacity; effect. (a) The custodial trustee shall administer the custodial trust as for an incapacitated beneficiary if (i) the custodial trust was created under G.S. 33B-5, (ii) the transferor has so directed in the instrument creating the custodial trust, (iii) a determination that a beneficiary is an incompetent adult has been made […]
33B-11. Third-party transactions. A third person in good faith and without a court order may act on instructions of, or otherwise deal with, a person purporting to make a transfer as, or to act in the capacity of, a custodial trustee. In the absence of actual knowledge to the contrary, the third person is not […]
33B-12. Liability to the third person. (a) A claim based on (i) a contract entered into by a custodial trustee acting in a fiduciary capacity, (ii) an obligation arising from the ownership or control of custodial trust property, (iii) a tort committed in the course of administering the custodial trust, may be asserted by a […]
33B-13. Declination, resignation, incapacity, death, or removal of custodial trustee; designation of successor custodial trustee. (a) Before accepting the custodial trust property, a person designated as custodial trustee may decline to serve by notifying the person who made the designation, the transferor, or the transferor’s legal representative. In such case, the transferor or the transferor’s […]
33B-14. Expenses, compensation, and bond of custodial trustee. Except as otherwise provided in the instrument creating the custodial trust, in an agreement with the beneficiary, or by court order, a custodial trustee: (1) Is entitled to reimbursement from custodial trust property for reasonable expenses incurred in the performance of fiduciary services; (2) May charge, no […]
33B-15. Reporting and accounting by custodial trustee; determination of liability of custodial trustee. (a) Upon the acceptance of custodial trust property, the custodial trustee shall provide a written statement that the custodial trust property is held pursuant to this act and describing the custodial trust property. The custodial trustee shall thereafter provide a written statement […]
33B-16. Limitations of action against custodial trustee. (a) Except as provided in subsections (b) and (c) of this section, a claim for relief against a custodial trustee for accounting or breach of duty is barred as to a beneficiary, a person to whom custodial trust property is to be paid or delivered, or the legal […]
33B-17. Distribution on termination. (a) Upon termination of a custodial trust, the custodial trustee shall transfer the unexpended custodial trust property: (1) To the beneficiary, if not incapacitated or deceased; (2) To the guardian of the estate or other recipient designated by the court for an incapacitated beneficiary; or (3) Upon the beneficiary’s death, in […]
33B-18. Methods and forms of creating custodial trusts. (a) If a transaction (including a declaration with respect to or a transfer of specific property) otherwise satisfies applicable law, the criteria of G.S. 33B-2 are satisfied by: (1) The execution and either delivery to the custodial trustee or recording of an instrument in substantially the following […]
33B-19. Applicable law. (a) This act applies to a transfer or declaration creating a custodial trust that refers to this act if, at the time of the transfer or declaration, the transferor, beneficiary, or custodial trustee is a resident of or has its principal place of business in this State or the custodial trust property […]
33B-2. Custodial trust; general. (a) A person may create a custodial trust of property by a written transfer of the property to a trust company or an adult other than the transferor executed in any lawful manner, naming as beneficiary an individual, who may be the transferor, in which the transferee is designated, in substance, […]
33B-20. Uniformity of application and construction. This act shall be applied and construed to effectuate its general purpose to make uniform the law with respect to the subject of this act among states enacting it. (1995, c. 486, s. 1.)
33B-21. Short title. This act may be cited as the "North Carolina Uniform Custodial Trust Act". (1995, c. 486, s. 1.)
33B-22. Limitation on value of custodial trust property. Transfers or declarations of property to the corpus of a custodial trust under this act shall not exceed in the aggregate one hundred thousand dollars ($100,000) in value, exclusive of the value of the transferor’s or declarant’s personal residence. This limitation shall not apply to any appreciation […]
33B-3. Custodial trust to begin in the future. (a) A person may create a custodial trust to begin in the future by designating the transferee in substance "as custodial trustee for ____________ (name of beneficiary) under the North Carolina Uniform Custodial Trust Act". A designation under this section may be made in: (1) A will; […]
33B-4. Form and effect of receipt and acceptance by custodial trustee; jurisdiction. (a) Obligations of a custodial trustee, including the obligation to follow directions of the beneficiary, arise under this act upon the custodial trustee’s acceptance, express or implied, of the custodial trust property. (b) The custodial trustee’s acceptance may be evidenced by a writing […]
33B-5. Transfer to custodial trustee by fiduciary or obligor; facility of payment. (a) A person, including a fiduciary other than a custodial trustee, who holds property of or owes a debt to an incapacitated individual not having a guardian of the estate may make a transfer to an adult member of the beneficiary’s family or […]
33B-6. Single beneficiaries; separate custodial trusts. (a) Beneficial interests in a custodial trust may not be created for multiple beneficiaries. (b) All custodial trust property held under this act by the same custodial trustee for the use and benefit of a single beneficiary may be administered as a single custodial trust. (1995, c. 486, s. […]
33B-7. General duties of custodial trustee. (a) If appropriate, a custodial trustee shall register or record the instrument vesting title to custodial trust property. (b) If the beneficiary is not incapacitated, a custodial trustee shall follow the directions of the beneficiary in the management, control, investment, or retention of the custodial trust property. If the […]
