Utah Code 53B-8a-109. Repayment and ownership of funds in the account

(1)

Account agreement: means an agreement between an account owner and the Utah Educational Savings Plan entered into under this chapter. See Utah Code 53B-8a-102
Account owner: means a person, estate, or trust, if that person, estate, or trust has entered into an account agreement under this chapter to save for the higher education costs on behalf of a beneficiary. See Utah Code 53B-8a-102
Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. ^{Source: OCC}
Beneficiary: means the individual designated in an account agreement to benefit from the amount saved for higher education costs. See Utah Code 53B-8a-102
Board: means the board of directors of the Utah Educational Savings Plan, which is the Utah Board of Higher Education acting in the Utah Board of Higher Education's capacity as the Utah Higher Education Assistance Authority under Title 53B, Chapter 12, Higher Education Assistance Authority. See Utah Code 53B-8a-102.5
Higher education costs: means qualified higher education expenses as defined in Section 529(e)(3), Internal Revenue Code. See Utah Code 53B-8a-102.5
Person: means :Utah Code 68-3-12.5
Plan: means the Utah Educational Savings Plan created in Section 53B-8a-103. See Utah Code 53B-8a-102
Property: includes both real and personal property. See Utah Code 68-3-12.5

(a)

The account owner retains ownership of funds in the account until:

(i)	funds are used to pay higher education costs for the beneficiary;

(ii)	funds are otherwise disbursed;

(iii)

funds are transferred for administrative costs; or

(iv)	the account is closed.

(b)	Funds in the account shall be considered to be held in trust for the benefit of the beneficiary.

(2)	Any amounts that may be paid pursuant to the plan that are not listed in this section are owned by the plan.

(3)

(a)	An account owner may transfer ownership rights to another eligible person.

(b)	The transfer shall be affected and the property distributed in accordance with administrative regulations promulgated by the board or the terms of the account agreement.

Amended by Chapter 6, 2010 General Session

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