Title EPT, Estates, Powers & Trusts

§ 7-1.9 Revocation of trusts (a) Upon the written consent, acknowledged or proved in the manner required by the laws of this state for the recording of a conveyance of real property, of all the persons beneficially interested in a trust of property, heretofore or hereafter create…

§ 7-2.1 Extent of trustee's estate (a) Except as otherwise provided in this article, an express trust vests in the trustee the legal estate, subject only to the execution of the trust, and the beneficiary does not take any legal estate in the property but may enforce the trust. (…

§ 7-2.2 When estate of trustee ceases When the purpose for which an express trust is created ceases, the estate of the trustee also ceases.

§ 7-2.3 Trust estate not to descend on death of trustee; appointment, duties and rights of successor trustee (a) On the death of the sole surviving trustee of an express trust, the trust estate does not vest in his personal representative or pass to his distributees or devisees, …

§ 7-2.4 Act of trustee in contravention of trust If the trust is expressed in the instrument creating the estate of the trustee, every sale, conveyance or other act of the trustee in contravention of the trust, except as authorized by this article and by any other provision of la…

§ 7-2.5 Suspension of powers of trustee in war service (a) Whenever a trustee of an express trust is engaged in war service, as defined in this section, such trustee or any other person interested in the trust estate may present a petition to the supreme court or the surrogate's …

§ 7-2.6 Resignation, suspension or removal of trustee (a) Subject to the relevant provisions of the civil practice law and rules, the supreme court has power: (1) On the application of a trustee, to accept his resignation and to discharge him on such terms as it deems proper. (2)…

§ 7-2.7 Accounting by trustee in supreme court (a) Any proceeding for an accounting or other relief brought by a trustee or by a substituted or successor trustee may be commenced by such notice to the beneficiaries of the trust as the supreme court may direct. (b) In case of the …

§ 7-2.8 Commissions of trustee to sell real property for benefit of creditors A trustee of a trust to sell real property for the benefit of creditors is entitled to the same commissions as an assignee for the benefit of creditors.

§ 7-3.1 Disposition in trust for creator void as against creditors (a) A disposition in trust for the use of the creator is void as against the existing or subsequent creditors of the creator. (b) (1) For purposes of paragraph (a) of this section, all trusts, custodial accounts, …

§ 7-3.2 Bona fide purchasers and creditors protected An express trust not declared in the disposition to the trustee or an implied or resulting trust does not defeat the title of a purchaser from the trustee for value and without notice of the trust, or the rights of a creditor w…

§ 7-3.3 Person paying money to the trustee protected A person who in good faith transfers money or property to a trustee is not responsible for the proper application of such money or property; and any right or title derived by him from the trustee in consideration of such transf…

§ 7-3.4 Excess income from trust property subject to creditors' claims Where a trust is created to receive the income from property and no valid direction for accumulation is given, the income in excess of the sum necessary for the education and support of the beneficiary is subj…

§ 7-3.5 Rights of creditors to obtain information concerning beneficiaries (a) Any person who has furnished necessaries to a beneficiary of any trust may apply to the court having jurisdiction of the trust for an order directing the trustee thereof to furnish to the applicant the…

§ 7-5.1 Definitions (a) A "beneficiary" is a person who is described by a depositor as a person for whom a trust account is established or maintained. (b) A "depositor" is a person in whose name a trust account subject to this part is established or maintained. (c) A "financial i…

§ 7-5.2 Terms of a trust account The funds in a trust account, which shall include any dividends or interest thereon, shall be trust funds subject to the following terms: (1) The trust can be revoked, terminated or modified by the depositor during his lifetime only by means of, a…

§ 7-5.3 Payment to beneficiary (a) If the beneficiary survives the depositor under the circumstances provided in paragraph four of section 7-5.2, the funds shall be paid to the beneficiary upon his order, if, at the time of his demand for payment of all or part of the funds, he i…

§ 7-5.4 Effect of payment A financial institution which, upon the death of a depositor and prior to service upon it of a restraining order, injunction or other appropriate process from a court of competent jurisdiction prohibiting payment, makes payment to a beneficiary or if the…

§ 7-5.5 Rights not affected This part does not affect: (1) The rights of creditors of the depositor or his estate, (2) The rights of fiduciaries of the estate of the depositor, or (3) The rights of the surviving spouse of the depositor.

§ 7-5.6 Joint depositors If a trust account is established in the names of more than one depositor, in form to be paid or delivered to any, or the survivor of them, in trust for another, such account shall be subject to the terms of this part, except that the title to the funds o…

§ 7-5.7 Multiple beneficiaries (a) Whenever any proceeds of a trust account would pass pursuant to section 7-5.2 to two or more beneficiaries, such proceeds shall pass to such beneficiaries in equal proportions, unless the terms of the trust provide otherwise. (b) Whenever any pr…

§ 7-5.8 Application This part shall apply to all funds in trust accounts, as defined in paragraph (d) of section 7-5.1, which are in existence on its effective date, except that its provisions shall not impair or defeat any rights which have accrued prior to such date.

§ 7-6.1 Definitions In this part: (a) "Adult" means an individual who has attained the age of twenty-one years. (b) "Benefit plan" means an employer's plan for the benefit of an employee or partner or an individual retirement account. (c) "Broker" means a person lawfully engaged …

§ 7-6.10 Single custodianship A transfer may be made only for one minor, and only one person may be the custodian. All custodial property held under this part by the same custodian for the benefit of the same minor constitutes a single custodianship.

§ 7-6.11 Validity and effect of transfer (a) The validity of a transfer made in a manner prescribed in this part is not affected by: (1) The failure of the transferor to comply with paragraph (c) of 7-6.9 concerning possession and control; (2) designation of an ineligible custodi…

§ 7-6.12 Care of custodial property (a) A custodian shall: (1) take control of custodial property; (2) register or record title to custodial property if appropriate; and (3) collect, hold, manage, invest, and reinvest custodial property. (b) In dealing with custodial property, a…

§ 7-6.13 Powers of custodian (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 capac…

§ 7-6.14 Use of custodial property (a) A custodian may deliver or pay to the minor or expend for the minor's benefit so 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 (1) the duty…

§ 7-6.15 Custodian's expenses, compensation, and bond (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 one who is a transferor under 7-6.4, a custodian has an electio…

§ 7-6.16 Exemption of third person from liability A third person in good faith and without court order may act on the instructions of or otherwise deal with any person purporting to make a transfer or purporting to act in the capacity of a custodian and, in the absence of knowled…

§ 7-6.17 Liability to third persons (a) A claim based on (1) a contract entered into by a custodian acting in a custodial capacity, (2) an obligation arising from the ownership or control of custodial property, or (3) a tort committed during the custodianship, may be asserted aga…

§ 7-6.18 Renunciation, resignation, death, or removal of custodian; designation of successor custodian (a) A person nominated under 7-6.3 or designated under 7-6.9 as custodian may decline to serve by delivering a valid disclaimer to the person who made the nomination or to the …

§ 7-6.19 Accounting by and determination of liability of custodian (a) A minor who has attained the age of fourteen years, the minor's guardian or legal representative, an adult member of the minor's family, a transferor, or a transferor's legal representative may petition the co…

§ 7-6.2 Scope and jurisdiction (a) This part applies to a transfer that refers to this part in the designation under paragraph (a) of 7-6.9 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…

§ 7-6.20 Termination of custodianship The custodian shall transfer in an appropriate manner the custodial property to the minor or to the minor's estate upon the earlier of: (a) the minor's attainment of twenty-one years of age with respect to custodial property transferred under…

§ 7-6.21 Age eighteen election Notwithstanding the foregoing sections of this part, if with respect to any gift made pursuant to 7-6.9, the designations of the custodian contains, in substance, the phrase, "until age eighteen", then all records of the custodian with respect to su…

§ 7-6.22 Effect on existing custodianships (a) Any transfer of custodial property made before January first, nineteen hundred ninety-seven is validated notwithstanding that there was no specific authority in part 4 of this article for the coverage of custodial property of that ki…

§ 7-6.23 Applicability This part applies to a transfer within the scope of 7-6.2 made on or after January first, nineteen hundred ninety-seven if: (a) the transfer purports to have been made under the New York Uniform Gifts to Minor Act; or (b) the instrument by which the transfe…

§ 7-6.24 Uniformity of application and construction This part shall be applied and construed to effectuate its general purpose to make uniform the law with respect to the subject of this part among states enacting it.

§ 7-6.25 Short title This part may be cited as "The New York Uniform Transfers to Minors Act."

§ 7-6.26 Severability If any provisions of this part or its application to any person or circumstances is held invalid, the invalidity does not affect other provisions or applications of this part which can be given effect without the invalid provision or application, and to this…

§ 7-6.3 Nomination of custodian (a) A person having the right to designate the recipient of property transferable upon the occurrence of a future event may revocably nominate a custodian to receive the property for a minor beneficiary upon the occurrence of the event by naming th…

§ 7-6.4 Transfer by gift or exercise of power of appointment 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 7-6.9.

§ 7-6.5 Transfer authorized by will or trust (a) A personal representative or trustee may make an irrevocable transfer pursuant to 7-6.9 to a custodian for the benefit of a minor as authorized in the governing will or trust. (b) If the testator or settler has nominated a custodia…

§ 7-6.6 Other transfer by fiduciary (a) Subject to paragraph (c), 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 7-6.9, in the absence of a will or under a will or trust t…

§ 7-6.7 Transfer by obligor (a) Subject to paragraphs (b) and (c), a person not subject to 7-6.5 or 7-6.6 who holds property of or owes a liquidated debt to a minor not having a guardian may make an irrevocable transfer to a custodian for the benefit of the minor pursuant to 7-6.…

§ 7-6.8 Receipt for custodial property A written acknowledgement of delivery by a custodian constitutes a sufficient receipt and discharge for custodial property transferred to a custodian pursuant to this part.

§ 7-6.9 Manner of creating custodial property and effecting transfer; designation of initial custodian; control (a) Custodial property is created and a transfer is made whenever: (1) an uncertificated security or certificated security in registered form is either: (i) registered …

§ 7-7.1 Child performer trust account\n 1. Scope. This section applies to contracts pursuant to which a child\nperformer:\n (a) is employed or agrees to render artistic or creative services for\na fee, either directly or through a third-party individual or personal\nservices corp…

§ 7-8.1 Trusts for pets (a) A trust for the care of a designated domestic or pet animal is valid. The intended use of the principal or income may be enforced by an individual designated for that purpose in the trust instrument or, if none, by an individual appointed by a court u…