6.2-616 - (Effective October 1, 2010) Discharge of financial institution upon payment.
§ 6.2-616. (Effective October 1, 2010) Discharge of financial institutionupon payment.
A. Payment made pursuant to §§ 6.2-612 through 6.2-615 discharges thefinancial institution from all claims for amounts so paid whether or not thepayment is consistent with the beneficial ownership of the account as betweenparties, P.O.D. payees, or beneficiaries, or their successors.
B. The discharge provided by subsection A does not extend to payments madeafter a financial institution has received written notice from any party ableto request present payment to the effect that withdrawals in accordance withthe terms of the account should not be permitted. Unless the notice iswithdrawn by the person giving it, or the successor of any deceased party hasconcurred in any demand for withdrawal, a discharge provided by subsection Ashall not apply to withdrawals permitted by the financial institution.
C. No other notice or any other information shown to have been available to afinancial institution shall affect its right to the discharge provided bysubsection A. The discharge provided by subsection A shall have no bearing onthe rights of parties in disputes between themselves or their successorsconcerning the beneficial ownership of funds in, or withdrawn from,multiple-party accounts.
D. If any party, or the personal representative of any party, notifies thefinancial institution in writing not to permit withdrawals by any party, thefinancial institution may refuse, without liability, to allow any withdrawalpending the determination of the rights of the parties.
(1979, c. 407, § 6.1-125.13; 2010, c. 794.)