Title 5 — Banking

§ 3204. Exempt from licensing. (a) No license as a transporter shall be required of any of the following: (1) Banks, trust companies, building and loan associations, organized under the laws of this State or authorized to do business in this State while transporting their own pro…

§ 3205. Qualifications. To qualify for a license hereunder an applicant shall meet the following requirements: (1) The applicant shall have a net worth of at least $50,000, computed according to generally accepted accounting principles. (2) The financial responsibility, financial…

§ 3206. Applications. Each application for a license shall be made in writing and under oath to the Commissioner in such form and containing such information as the Commissioner may prescribe including the name and business and residence address: (1) Of the proprietor, if the app…

§ 3207. Accompanying fees and statements. Each application for a license shall be accompanied by: (1) An investigation fee of $250, which shall not be subject to refund; (2) The annual license fee as specified in § 3210 of this title; (3) Financial statements reasonably satisfact…

§ 3208. Action by the Commissioner; conditional approval. Upon the filing of the application and the payment of the investigation fee and the annual license fee, the Commissioner shall, to the extent the Commissioner deems advisable, investigate the financial responsibility, fina…

§ 3209. License; bond; insurance. (a) Within 30 days after the applicant receives written notice of the conditional approval by the Commissioner of an application for original license as provided in § 3208 hereof, or within such longer period as the Commissioner may authorize, th…

§ 3210. Renewal of license; annual license fee. Every holder of a license or a renewal thereof, as provided for in this section, desiring to continue the transaction of business as provided for in this chapter, shall at least 30 days prior to the expiration of such license or ren…

§ 3211. Agents. A licensee may conduct the licensee’s business at one or more locations within the State and through or by means of such agents as the licensee may from time to time designate or appoint. No license under this chapter shall be required of any agent of a licensee. …

§ 3212. Liability of licensee. (a) Each licensee shall be absolutely liable for any loss, damage, destruction or impairment of the money or valuables placed in the licensee’s possession in addition to whatever additional liability shall be imposed upon the licensee by reason of c…

§ 3213. Suspension, revocation or surrender of license. (a) The Commissioner may revoke any license issued hereunder upon finding that: (1) The licensee has violated any provision of this chapter or any rule or regulation made by the Commissioner under and within the authority of…

§§ 3214, 3215. Hearings; appeal from Commissioner [Repealed]. Repealed by 73 Del. Laws, c. 24, §§ 17, 18, eff. April 17, 2001. For present law see § 3213 of this title.

§ 3216. Penalties. Any person who violates this chapter shall be fined not less than $100 nor more than $1,000, imprisoned for not more than 5 years, or both, for each such offense.5 Del. C. 1953, § 3216; 58 Del. Laws, c. 423.;

§ 3217. Rules and regulations. The Commissioner may adopt such rules and regulations as are necessary for the proper administration of this chapter.5 Del. C. 1953, § 3217; 58 Del. Laws, c. 423.;

§ 3218. Limitation on construction of chapter. This chapter shall not be construed as permitting any corporation, domestic or foreign, to transact in this State the business of a state bank and trust company, savings bank, industrial bank, private bank or building or savings and …

§ 3219. State government contracts. No contract shall be awarded by the State for the transportation, handling or storage of moneys, including lawful currency and coin, negotiable and nonnegotiable securities, stocks, bonds, coupons and things of unusual value, in the absence of …

§ 3220. Supervision and examination of business by the Commissioner. (a) Every person or combination of persons licensed as a transporter under this chapter shall be subject to the supervision and examination of the State Bank Commissioner and shall be examined by the Commissione…

§ 3221. Cease and desist orders. (a) The Commissioner shall have the power and authority to issue and serve an order upon a person to cease and desist from any violation or practice if, in the opinion of the Commissioner, a transporter subject to this chapter is engaging in, or h…

§ 3401. Definitions. As used in this chapter, unless the context requires otherwise: (1) “Commissioner” means the State Bank Commissioner. (2) “Insured institution” means an insured depository institution (as defined in the Federal Deposit Insurance Act at 12 U.S.C. § 1813(c)(2))…

§ 3402. Preneed payments and increment as trust funds; disbursement of funds; exceptions. (a) All payments of money made to any person, partnership, association or corporation upon any agreement or contract, or any series or combination of agreements or contract, but not includin…

§ 3403. Revocable trust accounts; refund to persons making payments. (a) Except as provided in § 3404 of this title, upon the giving of 15 days’ written notice, any person, partnership or corporation who has paid funds for a preneed funeral service may demand a refund of the enti…

§ 3404. Irrevocable trust accounts. (a) Any person, partnership or corporation who enters into a preneed funeral contract has the option, at any time, to establish an irrevocable trust for all funds or any portion of payments made or to be made under the agreement, contract or pl…

§ 3405. Trust funds; how kept and deposited. All trust funds mentioned in this chapter shall be deposited in the name of the trustee, as trustee, within 30 days after receipt thereof, with an insured institution and shall be held together with the interest, dividends or accretion…

§ 3406. License to accept preneed contract required; fees. (a) No person, firm, partnership, association or corporation may, without first securing from the Commissioner a license, accept or hold payments made on preneed burial contracts, except insured institutions as defined in…

§ 3407. Records of licensee; requirements; inspection. The licensee shall keep accurate accounts, books and records in this State of all transactions, copies of all agreements, dates and amounts of payments made and accepted thereon, the names and addresses of the contracting par…

§ 3408. Periodic report requirements. A licensee shall file with the Commissioner such reports at such time as the Commissioner may require. Any reports required by the Commissioner under this section shall be in such form and shall contain such information as the Commissioner ma…

§ 3409. State Bank Commissioner to enforce law and establish rules and regulations. The Commissioner shall enforce this chapter and has the power to make investigations, subpoena witnesses, require audits and reports and conduct hearings as to violations of any provision, and to …

§ 3410. Penalty. Any person wilfully violating this chapter shall be fined not less than $500 nor more than $1,000.24 Del. C. 1953, § 3126; 58 Del. Laws, c. 415, § 2; 63 Del. Laws, c. 145, § 1; 68 Del. Laws, c. 303, § 10; 68 Del. Laws, c. 389, § 5; 71 Del. Laws, c. 19, § 10;

§ 3411. Surety bonds and irrevocable letters of credit. (a) Surety bonds. — (1) Every person licensed under this chapter shall file with the Commissioner, in a form satisfactory to the Commissioner, an original corporate surety bond with surety provided by a corporation authorize…

§ 5001. “Payment network” defined. The term “payment network” as used in this chapter means a nonstock member corporation incorporated under Title 8 which has 50 percent or more of its members organized as: (1) Banks, thrifts, credit unions or other financial institutions, under …

§ 5002. Voting rights of members and selection of governing body. Notwithstanding any other provision of the laws of this State contained in Title 8 or elsewhere: (1) Unless otherwise provided in the certificate of incorporation of a payment network, or, if the certificate of inc…

§ 5003. Regulatory authority not created. This chapter shall not subject a payment network not otherwise regulated by the State Bank Commissioner to any regulation by the State Bank Commissioner.75 Del. Laws, c. 233, § 1;

§ 5101. Title. This chapter may be cited as the “Uniform Special Deposits Act.”84 Del. Laws, c. 465, § 1;

§ 5102. Definitions. In this chapter: (1) “Account agreement” means an agreement that: a. Is in a record between a bank and 1 or more depositors; b. May have 1 or more beneficiaries as additional parties; and c. States the intention of the parties to establish a special deposit g…

§ 5103. Scope; choice of law; forum. (a) This chapter applies to a special deposit under an account agreement that states the intention of the parties to establish a special deposit governed by this chapter, regardless of whether a party to the account agreement or a transaction …

§ 5104. Variation by agreement or amendment. (a) The effect of §§ 5102 through 5106, §§ 5108 through 5111, and § 5114 of this title may not be varied by agreement, except as provided in those sections. Subject to subsection (b) of this section, the effect of §§ 5107, 5112, and 51…

§ 5105. Requirements for special deposit. A deposit is a special deposit if it is: (1) A deposit of funds in a bank under an account agreement; (2) For the benefit of at least 2 beneficiaries, 1 or more of which may be a depositor; (3) Denominated in a medium of exchange that is …

§ 5106. Permissible purpose. (a) A special deposit must serve at least 1 permissible purpose stated in the account agreement from the time the special deposit is created in the account agreement until termination of the special deposit. (b) If, before termination of the special d…

§ 5107. Payment to beneficiary by bank. (a) Unless the account agreement provides otherwise, the bank is obligated to pay a beneficiary if there are sufficient actually and finally collected funds in the balance of the special deposit. (b) Except as provided in subsection (c) of …

§ 5108. Property interest of depositor or beneficiary. (a) Neither a depositor nor a beneficiary has a property interest in a special deposit. (b) Any property interest with respect to a special deposit is only in the right to receive payment if the bank is obligated to pay a ben…

§ 5109. When creditor process enforceable against bank. (a) Subject to subsection (b) of this section, creditor process with respect to a special deposit is not enforceable against the bank holding the special deposit. (b) Creditor process is enforceable against the bank holding …

§ 5110. Injunction or similar relief. A court may enjoin, or grant similar relief that would have the effect of enjoining, a bank from paying a depositor or beneficiary only if payment would constitute a material fraud or facilitate a material fraud with respect to a special depo…

§ 5111. Recoupment or set off. (a) Except as provided in subsection (b) or (c) of this section, a bank may not exercise a right of recoupment or set off against a special deposit. (b) An account agreement may authorize the bank to debit the special deposit: (1) When the bank beco…

§ 5112. Duties and liability of bank. (a) A bank does not have a fiduciary duty to any person with respect to a special deposit. (b) When the bank holding a special deposit becomes obligated to pay a beneficiary, a debtor-creditor relationship arises between the bank and benefici…

§ 5113. Term and termination. (a) Unless otherwise provided in the account agreement, a special deposit terminates 5 years after the date the special deposit was first funded. (b) Unless otherwise provided in the account agreement, if the bank cannot identify or locate a benefici…

§ 5114. Principles of law and equity. The Uniform Commercial Code (Subtitle I of Title 6), consumer protection law, law governing deposits generally, law related to escheat and abandoned or unclaimed property, and the principles of law and equity, including law related to capacit…

§ 5115. Uniformity of application and construction. In applying and construing this chapter, a court shall consider the promotion of uniformity of the law among jurisdictions that enact it.84 Del. Laws, c. 465, § 1;

§ 5116. Transitional provision. This chapter applies to: (1) A special deposit made under an account agreement executed on or after January 1, 2025; and (2) A deposit made under an agreement executed before January 1, 2025, if: a. All parties entitled to amend the agreement agree…