72-26-801. Renunciation, resignation, death, or removal of custodian — designation of successor custodian. (1) A person nominated under 72-26-601 or designated under 72-26-603 as 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 under 72-26-601, the person who made the nomination may nominate a substitute custodian under 72-26-601; 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 under 72-26-603(1). The custodian so designated has the rights of a successor custodian.

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Terms Used In Montana Code 72-26-801

  • Adult: means an individual who has attained the age of 21 years. See Montana Code 72-26-502
  • Conservator: means a person appointed or qualified by a court to act as general, limited, or temporary guardian of a minor's property or a person legally authorized to perform substantially the same functions. See Montana Code 72-26-502
  • Court: means district court. See Montana Code 72-26-502
  • Custodial property: means :

    (a)any interest in property transferred to a custodian under this chapter; and

    (b)the income from and proceeds of that interest in property. See Montana Code 72-26-502

  • Custodian: means a person so designated under 72-26-603 or a successor or substitute custodian designated under 72-26-801. See Montana Code 72-26-502
  • Guardian: A person legally empowered and charged with the duty of taking care of and managing the property of another person who because of age, intellect, or health, is incapable of managing his (her) own affairs.
  • Legal representative: means an individual's personal representative or conservator. See Montana Code 72-26-502
  • Minor: means an individual who has not attained the age of 21 years. See Montana Code 72-26-502
  • Obligation: An order placed, contract awarded, service received, or similar transaction during a given period that will require payments during the same or a future period.
  • Person: means an individual, corporation, organization, or other legal entity. See Montana Code 72-26-502
  • Property: means real and personal property. See Montana Code 1-1-205
  • Subscribing witness: means a person who sees a writing executed or hears it acknowledged and at the request of the party signs the person's name as a witness. See Montana Code 1-1-203
  • Transfer: means a transaction that creates custodial property under 72-26-603. See Montana Code 72-26-502
  • Transferor: means a person who makes a transfer under this chapter. See Montana Code 72-26-502
  • Trust company: means a financial institution, corporation, or other legal entity authorized to exercise general trust powers. See Montana Code 72-26-502

(2)A custodian at any time may designate a trust company or an adult other than a transferor under 72-26-604 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 person of the minor, the conservator of the minor, or the minor if the minor has attained the age of 14 years may petition the court to remove the custodian for cause and to designate a successor custodian other than a transferor under 72-26-604 or to require the custodian to give appropriate bond.