Multiple beneficiaries
Sec. 26. (a) Beneficial interests in a custodial trust created for
multiple beneficiaries are considered to be separate custodial trusts
of equal undivided interests for each beneficiary. Except in a transfer
or declaration for use and benefit of husband and wife, for whom
survivorship is presumed, a right of survivorship does not exist
unless the instrument creating the custodial trust specifically
provides for survivorship.
(b) Custodial trust property held under this chapter by the same
custodial trustee for the use and benefit of the same beneficiary may
be administered as a single custodial trust.
(c) A custodial trustee of custodial trust property held for at least
two (2) beneficiaries shall separately account to each beneficiary
under sections 27 and 35 of this chapter for the administration of the
custodial trust.
(d) The custodial trust property or the income from the custodial
trust property may not be subject to:
(1) anticipation;
(2) alienation;
(3) assignment;
(4) pledge;
(5) appointment; or
(6) any other voluntary or involuntary transfer;
before distribution by the custodial trustee. The custodial trustee may
disregard and defeat an attempt to violate the requirements of this
subsection.
As added by P.L.3-2003, SEC.1.
Last modified: May 27, 2006