633F.13 Declination, resignation, incapacity, death, or removal of custodial trustee — designation of successor custodial trustee. 1. 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 thetransferor’s legal representative. If an event giving rise to a transfer has not occurred, thesubstitute custodial trustee designated under section 633F.3 becomes the custodial trustee, or,if a substitute custodial trustee has not been designated, the person who made the designationmay designate a substitute custodial trustee pursuant to section 633F.3. In other cases, thetransferor or the transferor’s legal representative may designate a substitute custodial trustee. 2. A custodial trustee who has accepted the custodial trust property may resign by doing all of the following: a. Delivering written notice to a successor custodial trustee, if any, the beneficiary and, if the beneficiary is incapacitated, to the beneficiary’s legal representative, if any. b. Transferring or registering, or recording an appropriate instrument relating to, the custodial trust property, in the neficiary is incapacitated, to the beneficiary’s legal representative, if any. b. Transferring or registering, or recording an appropriate instrument relating to, the custodial trust property, in the name of, and delivering the records to, the successor custodialtrustee identified under subsection 3. 3. If a custodial trustee or successor custodial trustee is ineligible, resigns, dies, or becomes incapacitated, the successor designated under section 633F.2, subsection 7, orsection 633F.3 becomes custodial trustee. If there is no effective provision for a successor, thebeneficiary if not incapacitated, or the legal representative of an incapacitated beneficiary,may designate a successor custodial trustee. If the beneficiary is not incapacitated, butfails to act within ninety days after the ineligibility, resignation, death, or incapacity ofthe custodial trustee, or if the beneficiary is incapacitated and the beneficiary’s legalrepresentative fails to act within ninety days after the ineligibility, resignation, death, orincapacity of the custodial trustee, then the beneficiary’s legal representative becomessuccessor custodial trustee. ive fails to act within ninety days after the ineligibility, resignation, death, orincapacity of the custodial trustee, then the beneficiary’s legal representative becomessuccessor custodial trustee. If the beneficiary does not have a legal representative or thelegal representative fails to act, the resigning custodial trustee may designate a successorcustodial trustee. 4. If a successor custodial trustee is not designated pursuant to subsection 3, the transferor, the legal representative of the transferor or of the custodial trustee, a beneficiary’slegal representative and if none, a member of the beneficiary’s family, a person interested inthe custodial trust property may petition the court to designate a successor custodial trustee. 5. A custodial trustee who declines to serve or resigns, or the legal representative of a deceased or incapacitated custodial trustee, as soon as practicable, shall put the custodialtrust property and records in the possession and control of the successor custodial trustee.The successor custodial trustee may enforce the obligation to deliver custodial trust propertyand records and becomes responsible for each item as received. 6. trol of the successor custodial trustee.The successor custodial trustee may enforce the obligation to deliver custodial trust propertyand records and becomes responsible for each item as received. 6. A substitute custodial trustee designated under section 633F.3, the beneficiary, the beneficiary’s legal representative and if none, a member of the beneficiary’s family, a personinterested in the custodial trust property, may petition the court to remove the custodialtrustee for cause and designate a successor custodial trustee, to require the custodial trusteeto furnish a bond or other security for the faithful performance of fiduciary duties, or forother appropriate relief. 2021 Acts, ch 8, §13 Sat Dec 23 12:17:52 2023 Iowa Code 2024, Section 633F.13 (2, 0)
Iowa Legal Code