55-34.7 - General duties of custodial trustee.
§ 55-34.7. General duties of custodial trustee.
If appropriate, a custodial trustee shall register or record the instrumentvesting title to custodial trust property. If the beneficiary is notincapacitated, a custodial trustee shall follow the directions of thebeneficiary in the management, control, investment, or retention of thecustodial trust property. In the absence of effective contrary direction bythe beneficiary while not incapacitated, the custodial trustee shall observethe standard of care set forth in the Uniform Prudent Investor Act (§ 26-45.3et seq.), except to the extent provided by § 26-40.01. However, a custodialtrustee, in the custodial trustee's discretion, may retain any custodialtrust property received from the transferor. Subject to this paragraph, acustodial trustee shall take control of and collect, hold, manage, invest,and reinvest custodial trust property.
A custodial trustee at all times shall keep custodial trust property of whichthe custodial trustee has control, separate from all other property in amanner sufficient to identify it clearly as custodial trust property of thebeneficiary. Custodial trust property, the title to which is subject torecordation, is so identified if an appropriate instrument so identifying theproperty is recorded, and custodial trust property subject to registration isso identified if it is registered, or held in an account in the name of thecustodial trustee, designated in substance: "as custodial trustee for ...............................(name of beneficiary) under the VirginiaUniform Custodial Trust Act."
A custodial trustee shall keep records of all transactions with respect tocustodial trust property, including information necessary for the preparationof tax returns, and shall make the records and information available atreasonable times to the beneficiary or legal representative of thebeneficiary.
An agent under a power of attorney for an incapacitated beneficiary may notterminate or direct the administration of a custodial trust.
(1990, c. 264; 2007, c. 517; 2010, cc. 455, 632.)