Title 14 — Trusts, Estates and Protective Proceedings

A. To the extent that a trustee accounts for receipts from the sale of timber and related products pursuant to this section, the trustee shall allocate the net receipts: 1. To income to the extent that the amount of timber removed from the land does not exceed the rate of growth …

A. If a marital deduction is allowed for all or part of a trust whose assets consist substantially of property that does not provide the spouse with sufficient income from or use of the trust assets, and if the amounts that the trustee transfers from principal to income under sec…

A. To the extent that a trustee does not account under section 14-7412 for transactions in derivatives, the trustee shall allocate to principal receipts from and disbursements made in connection with those transactions. B. If a trustee grants an option to buy property from the tr…

A. If a trust receives a payment from interest or other current return and from other proceeds of the collateral financial assets, the trustee shall allocate to income the portion of the payment that the payer identifies as being from interest or other current return and shall al…

A trustee shall make the following disbursements from income to the extent that they are not disbursements to which section 14-7405, paragraph 2, subdivision (b) or (c) applies: 1. One-half of the regular compensation of the trustee and of any person providing investment advisory…

A. A trustee shall make the following disbursements from principal: 1. The remaining one-half of the disbursements described in section 14-7425, paragraphs 1 and 2. 2. All of the trustee's compensation calculated on principal as a fee for acceptance, distribution or termination a…

A. A trustee may transfer to principal a reasonable amount of the net cash receipts from a principal asset that is subject to depreciation but may not transfer any amount for depreciation: 1. Of that portion of real property used or available for use by a beneficiary as a residen…

A. If a trustee makes or expects to make a principal disbursement described in this section, the trustee may transfer an appropriate amount from income to principal in one or more accounting periods to reimburse principal or to provide a reserve for future principal disbursements…

A. A tax required to be paid by a trustee based on receipts allocated to income must be paid from income. B. A tax required to be paid by a trustee based on receipts allocated to principal must be paid from principal, even if the tax is called an income tax by the taxing authorit…

A. A fiduciary may make adjustments between principal and income to offset the shifting of economic interests or tax benefits between income beneficiaries and remainder beneficiaries that arise from: 1. Elections and decisions, other than those described in subsection B, that the…

A. A trustee may, but is not required to, give notice of a proposed action regarding a matter governed by this article as provided in this section. B. The trustee shall mail notice of a proposed action, by certified, registered or ordinary first class mail, to all beneficiaries w…

A. In this article, unless the context otherwise requires: 1. "Bank" includes commercial banks, savings banks, trust companies, and any person or association of persons, whether incorporated or not, carrying on the business of banking. 2. "Fiduciary" includes a trustee under any …

A person who in good faith pays or transfers to a fiduciary any money or other property which the fiduciary as such is authorized to receive, is not responsible for the proper application thereof by the fiduciary; and any right or title acquired from the fiduciary in consideratio…

If any negotiable instrument payable or endorsed to a fiduciary as such is endorsed by the fiduciary, or if any negotiable instrument payable or endorsed to his principal is endorsed by a fiduciary empowered to endorse such instrument on behalf of his principal, the endorsee is n…

If a check or other bill of exchange is drawn by a fiduciary as such, or in the name of his principal by a fiduciary empowered to draw such instrument in the name of his principal, the payee is not bound to inquire whether the fiduciary is committing a breach of his obligation as…

If a check or other bill of exchange is drawn by a fiduciary as such or in the name of his principal by a fiduciary empowered to draw such instrument in the name of his principal, payable to the fiduciary personally, or payable to a third person and by him transferred to the fidu…

If a deposit is made in a bank to the credit of a fiduciary as such, the bank is authorized to pay the amount of the deposit or any part thereof upon the check of the fiduciary, signed with the name in which such deposit is entered, without being liable to the principal, unless t…

If a check is drawn upon the account of his principal in a bank by a fiduciary who is empowered to draw checks upon his principal's account, the bank is authorized to pay such check without being liable to the principal, unless the bank pays the check with actual knowledge that t…

If a fiduciary makes a deposit in a bank to his personal credit of checks drawn by him upon an account in his own name as fiduciary, or of checks payable to him as fiduciary, or of checks drawn by him upon an account in the name of his principal if he is empowered to draw checks …

When a deposit is made in a bank in the name of two or more persons as trustees and a check is drawn upon the trust account by any trustee or trustees authorized by the other trustee or trustees to draw checks upon the trust account, neither the payee nor other holder nor the ban…

In any case not provided for in this article the rules of law and equity, including the law merchant and those rules of law and equity relating to trusts, agency, negotiable instruments and banking, shall continue to apply.

This article shall be so interpreted and construed as to effectuate its general purpose to make uniform the law of those states which enact it.

This article may be cited as the uniform fiduciaries act.

In this article, unless the context otherwise requires: 1. "Adult" means a person who is at least twenty-one years of age. 2. "Benefit plan" means an employer's plan for the benefit of an employee or partner. 3. "Broker" means a person lawfully engaged in the business of effectin…

A. This article applies to a transfer that refers to this article in the designation made pursuant to section 14-7659 by which the transfer is made, if at the time of the transfer the transferor, the minor or the custodian is a resident of this state or the custodial property is …

A. A person having the right to designate the recipient of property transferable on the occurrence of a future event may revocably nominate a custodian to receive the property for a minor beneficiary on the occurrence of the event by naming the custodian followed in substance by …

A person may make a transfer by irrevocable gift to, or the irrevocable exercise of a power of appointment in favor of, a custodian for the benefit of a minor pursuant to section 14-7659.

A. A personal representative or trustee may make an irrevocable transfer pursuant to section 14-7659 to a custodian for the benefit of a minor as authorized in the governing will or trust. B. If the testator or settlor has nominated a custodian pursuant to section 14-7653 to rece…

A. Pursuant to subsection C of this section, a personal representative or trustee may make an irrevocable transfer to another adult or trust company as custodian for the benefit of a minor pursuant to section 14-7659 in the absence of a will or under a will or trust that does not…

A. Pursuant to subsections B and C of this section, a person who is not subject to section 14-7655 or 14-7656 and who holds property of or owes a liquidated debt to a minor who does not have a conservator may make an irrevocable transfer to a custodian for the benefit of the mino…

A written acknowledgement of delivery by a custodian constitutes a sufficient receipt and discharge for custodial property transferred to the custodian pursuant to this article.

A. Custodial property is created and a transfer is made if: 1. An uncertificated security or a certificated security in registered form is either registered in the name of the transferor, an adult other than the transferor or a trust company, followed in substance by the words, "…

A transfer may be made only for one minor and only one person may be the custodian. All custodial property held under this article by the same custodian for the benefit of the same minor constitutes a single custodianship.

A. The validity of a transfer made in a manner prescribed in this article is not affected by any of the following: 1. Failure of the transferor to comply with section 14-7659, subsection C concerning possession and control. 2. Designation of an ineligible custodian, except design…

A. A custodian shall: 1. Take control of custodial property. 2. Register or record title to custodial property if appropriate. 3. Collect, hold, manage, invest and reinvest custodial property. B. In dealing with custodial property, a custodian shall observe the standard of care t…

A. A custodian, acting in a custodial capacity, has all the rights, powers and authority over custodial property that unmarried adult owners have over their own property, but a custodian may exercise those rights, powers and authority in that capacity only. B. This section does n…

A. A custodian may deliver or pay to the minor or expend for the minor's benefit as much of the custodial property as the custodian considers advisable for the use and benefit of the minor, without court order and without regard to either the duty or ability of the custodian pers…

A. A custodian is entitled to reimbursement from custodial property for reasonable expenses incurred in the performance of the custodian's duties. B. Except for a person who is a transferor pursuant to section 14-7654, a custodian has a noncumulative election during each calendar…

A third person in good faith and without court order may act on the instructions of or otherwise deal with a person purporting to make a transfer or purporting to act in the capacity of a custodian and, in the absence of knowledge, is not responsible for determining: 1. The valid…

A. A claim based on a contract entered into by a custodian acting in a custodial capacity, an obligation arising from the ownership or control of custodial property or a tort committed during the custodianship may be asserted against the custodial property by proceeding against t…

A. A person nominated pursuant to section 14-7653 or designated pursuant to section 14-7659 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 …

A. A minor who is at least fourteen years of age, the minor's guardian of the person or legal representative, an adult member of the minor's family, a transferor or a transferor's legal representative may petition the court for an accounting by the custodian or the custodian's le…

The custodian shall transfer in an appropriate manner the custodial property to the minor or the minor's estate on the earlier of: 1. The minor's twenty-first birthday with respect to custodial property transferred pursuant to section 14-7654 or 14-7655. 2. The minor's eighteenth…

This article applies to a transfer within the scope of section 14-7652 made after its effective date if either of the following is true: 1. The transfer purports to have been made under the Arizona uniform gifts to minors act. 2. The instrument by which the transfer purports to h…

A. Any adult person may adopt either another adult person who is at least eighteen years of age and not more than twenty-one years of age and who consents to the adoption or another adult person who is a current or previous stepchild or a niece, nephew, cousin or grandchild of th…

In this title, unless the context otherwise requires: 1. "Beneficiary" means an individual for whom property has been transferred to, or held under a declaration of trust by, a custodial trustee for the individual's use and benefit under this chapter. 2. "Conservator" means a per…

A. A person may create a custodial trust of property by a written transfer of the property to another person that is evidenced by registration or by another instrument of transfer, that is executed in any lawful manner, that names as beneficiary an individual who may be the trans…

A. A person having the right to designate the recipient of property payable or transferable on a future event may create a custodial trust on the occurrence of the future event by designating in writing the recipient, followed in substance by: "as custodial trustee for __________…

A. Obligations of a custodial trustee, including the obligation to follow directions of the beneficiary, arise under this chapter on the custodial trustee's acceptance, express or implied, of the custodial trust property. B. The custodial trustee's acceptance may be evidenced by …

A. Unless otherwise directed by an instrument designating a custodial trustee pursuant to section 14-9103, a person, including a fiduciary other than a custodial trustee, who holds property of or owes a debt to an incapacitated individual not having a conservator may make a trans…