A. Obligations of a custodial trustee, including the obligation to follow directions of the beneficiary, arise under the Uniform Custodial Trust Act [45-7-501 to 45-7-522 NMSA 1978] upon the custodial trustee's acceptance, express or implied, of the custodial trust property.
B. The custodial trustee's acceptance may be evidenced by writing stating in substance:
"CUSTODIAL TRUSTEE'S RECEIPT AND ACCEPTANCE
I, __________ (name of custodial trustee) acknowledge receipt of the custodial trust property described below or in the attached instrument and accept the custodial trust as custodial trustee for __________ (name of beneficiary) under the Uniform Custodial Trust Act. I undertake to administer and distribute the custodial trust property pursuant to the Uniform Custodial Trust Act. My obligations as custodial trustee are subject to the directions of the beneficiary unless the beneficiary is designated as, is or becomes incapacitated. The custodial trust property consists of __________.
(Dated:)________________________________________
________________________________________________________________________ ".
(Signature of Custodial Trustee)
C. Upon accepting custodial trust property, a person designated as custodial trustee under the Uniform Custodial Trust Act is subject to personal jurisdiction of the court with respect to any matter relating to the custodial trust.
History: 1978 Comp., § 45-7-505, enacted by Laws 1992, ch. 66, § 52.
Structure New Mexico Statutes
Chapter 45 - Uniform Probate Code
Article 7 - Trust Administration
Section 45-7-501 - Short title.
Section 45-7-502 - Definitions.
Section 45-7-503 - Custodial trust; general.
Section 45-7-504 - Custodial trustee for future payment or transfer.
Section 45-7-505 - Form and effect of receipt and acceptance by custodial trustee; jurisdiction.
Section 45-7-506 - Transfer to custodial trustee by fiduciary or obligor; facility of payment.
Section 45-7-507 - Multiple beneficiaries; separate custodial trusts; survivorship.
Section 45-7-508 - General duties of custodial trustee.
Section 45-7-509 - General powers of custodial trustee.
Section 45-7-510 - Use of custodial trust property.
Section 45-7-511 - Determination of incapacity; effect.
Section 45-7-512 - Exemption of third person from liability.
Section 45-7-513 - Liability to third person.
Section 45-7-515 - Expenses, compensation and bond of custodial trustee.
Section 45-7-517 - Limitations of action against custodial trustee.
Section 45-7-518 - Distribution on termination.
Section 45-7-519 - Methods and forms for creating custodial trusts.
Section 45-7-520 - Applicable law.
Section 45-7-521 - Uniformity of application and construction.