§ 33B-8 – General powers of custodial trustee.
33B-8. General powers of custodial trustee. (a) A custodial trustee, acting in a fiduciary capacity, has all the rights and powers over custodial trust property which an unmarried adult owner has over individually owned property, but a custodial trustee may exercise those rights and powers in a fiduciary capacity only. (b) This section does not […]
§ 33B-9 – Use of custodial trust property.
33B-9. Use of custodial trust property. (a) A custodial trustee shall pay to the beneficiary or expend for the beneficiary’s use and benefit so much or all of the custodial trust property as the beneficiary while not incapacitated may direct from time to time. (b) If the beneficiary is incapacitated, the custodial trustee shall expend […]
§ 33B-10 – Determination of incapacity; effect.
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.
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.
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.
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.
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-1 – Definitions.
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-2 – Custodial trust; general.
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-3 – Custodial trust to begin in the future.
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; […]