{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/6.2-1059.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/6.2-1059.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/6.2-1059.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/6.2-1059.html"}],"law_id":65923,"edition_id":1,"section_id":65923,"structure_id":13108,"section_number":"6.2-1059","catch_line":"Substitution of subsidiary bank as fiduciary","history":"1974, c. 286, \u00a7 6.1-32.9; 1987, c. 352; 1991, c. 282; 2010, c. 794; 2020, c. 239.","full_text":"A\n\nUpon obtaining permission to engage in the trust business, a subsidiary bank may file an application in the circuit court of the jurisdiction in which its main office is located requesting that it be substituted, except as may be specified in such application, in every fiduciary capacity for a bank under common ownership or a trust subsidiary under common ownership.B\n\nUpon a finding that (i) the subsidiary bank has been granted such permission to engage in the trust business by the Commission or the Comptroller of the Currency and (ii) the unimpaired capital and surplus of such subsidiary bank is sufficient as prescribed in § 6.2-1003, or bond with corporate surety has been posted for any excess, or has been validly waived, the court shall enter an order substituting the subsidiary bank in every fiduciary capacity for each of the specified banks or trust subsidiaries under common ownership, except as may be otherwise specified in the application.C\n\nUpon entry of such order, such subsidiary bank shall, without further act, be substituted in every such fiduciary capacity. The substitution shall be evidenced by filing a copy of the order with the clerk of any circuit court in the Commonwealth. The order shall be indexed in each index in the records of such court in which substitutions of fiduciaries are otherwise indexed. The application may be made ex parte and need not list the fiduciary capacities in which substitution is made. If a bank or trust subsidiary under common ownership with the subsidiary bank shall already have qualified in any fiduciary capacity and given bond, without surety, then if the order of substitution shall so provide, which it may provide only if the fiduciary for which there is to be substitution consents, the predecessor fiduciary shall remain liable on its bond for the acts of its named successor, and no security or corporate surety shall be required of the successor fiduciary on its bond.D\n\nAny bond, with corporate surety, posted under this section or under § 6.2-1056 may be a blanket bond conditioned as otherwise contemplated by law.E\n\nEach designation in a will or other instrument heretofore or hereafter executed of a bank or trust subsidiary as fiduciary shall be deemed a designation of the subsidiary bank substituted for such bank or trust subsidiary pursuant to this section except when the instrument is executed after such substitution and expressly negates the application of this section. No waiver of surety with respect to any fiduciary bond shall be effective except in such case when the bond would be otherwise sufficient as contemplated by § 6.2-1056 or this section. Any grant in such an instrument of any discretionary power shall be deemed conferred upon the fiduciary deemed to have been nominated hereunder.F\n\nA bank or trust subsidiary shall account jointly with the subsidiary bank that has been substituted as fiduciary for such bank or trust subsidiary pursuant to this section for the accounting period during which the subsidiary bank is initially so substituted. Upon substitution pursuant to this section, the bank or trust subsidiary shall deliver to the substituted subsidiary bank all assets held by the bank or trust subsidiary as fiduciary, except assets held for accounts to which there has been no substitution. Upon such substitution, all such assets shall become the property of the subsidiary bank as fiduciary without the necessity of any instrument of transfer or conveyance.","order_by":null,"text":{"0":{"id":239566,"text":"Upon obtaining permission to engage in the trust business, a subsidiary bank may file an application in the circuit court of the jurisdiction in which its main office is located requesting that it be substituted, except as may be specified in such application, in every fiduciary capacity for a bank under common ownership or a trust subsidiary under common ownership.","type":"section","prefixes":["A"],"prefix":"A","entire_prefix":"A","prefix_anchor":"A","level":1,"next_prefix":"B"},"1":{"id":239567,"text":"Upon a finding that (i) the subsidiary bank has been granted such permission to engage in the trust business by the Commission or the Comptroller of the Currency and (ii) the unimpaired capital and surplus of such subsidiary bank is sufficient as prescribed in § 6.2-1003, or bond with corporate surety has been posted for any excess, or has been validly waived, the court shall enter an order substituting the subsidiary bank in every fiduciary capacity for each of the specified banks or trust subsidiaries under common ownership, except as may be otherwise specified in the application.","type":"section","prefixes":["B"],"prefix":"B","entire_prefix":"B","prefix_anchor":"B","level":1,"prior_prefix":"A","next_prefix":"C"},"2":{"id":239568,"text":"Upon entry of such order, such subsidiary bank shall, without further act, be substituted in every such fiduciary capacity. The substitution shall be evidenced by filing a copy of the order with the clerk of any circuit court in the Commonwealth. The order shall be indexed in each index in the records of such court in which substitutions of fiduciaries are otherwise indexed. The application may be made ex parte and need not list the fiduciary capacities in which substitution is made. If a bank or trust subsidiary under common ownership with the subsidiary bank shall already have qualified in any fiduciary capacity and given bond, without surety, then if the order of substitution shall so provide, which it may provide only if the fiduciary for which there is to be substitution consents, the predecessor fiduciary shall remain liable on its bond for the acts of its named successor, and no security or corporate surety shall be required of the successor fiduciary on its bond.","type":"section","prefixes":["C"],"prefix":"C","entire_prefix":"C","prefix_anchor":"C","level":1,"prior_prefix":"B","next_prefix":"D"},"3":{"id":239569,"text":"Any bond, with corporate surety, posted under this section or under § 6.2-1056 may be a blanket bond conditioned as otherwise contemplated by law.","type":"section","prefixes":["D"],"prefix":"D","entire_prefix":"D","prefix_anchor":"D","level":1,"prior_prefix":"C","next_prefix":"E"},"4":{"id":239570,"text":"Each designation in a will or other instrument heretofore or hereafter executed of a bank or trust subsidiary as fiduciary shall be deemed a designation of the subsidiary bank substituted for such bank or trust subsidiary pursuant to this section except when the instrument is executed after such substitution and expressly negates the application of this section. No waiver of surety with respect to any fiduciary bond shall be effective except in such case when the bond would be otherwise sufficient as contemplated by § 6.2-1056 or this section. Any grant in such an instrument of any discretionary power shall be deemed conferred upon the fiduciary deemed to have been nominated hereunder.","type":"section","prefixes":["E"],"prefix":"E","entire_prefix":"E","prefix_anchor":"E","level":1,"prior_prefix":"D","next_prefix":"F"},"5":{"id":239571,"text":"A bank or trust subsidiary shall account jointly with the subsidiary bank that has been substituted as fiduciary for such bank or trust subsidiary pursuant to this section for the accounting period during which the subsidiary bank is initially so substituted. Upon substitution pursuant to this section, the bank or trust subsidiary shall deliver to the substituted subsidiary bank all assets held by the bank or trust subsidiary as fiduciary, except assets held for accounts to which there has been no substitution. Upon such substitution, all such assets shall become the property of the subsidiary bank as fiduciary without the necessity of any instrument of transfer or conveyance.","type":"section","prefixes":["F"],"prefix":"F","entire_prefix":"F","prefix_anchor":"F","level":1,"prior_prefix":"E"}},"ancestry":[{"id":13108,"edition_id":1,"name":"Trust Subsidiaries","identifier":"3","label":"article","depth":4,"order_by":1,"parent_id":13001,"metadata":{},"date_created":"2026-06-26 03:44:17","date_modified":"2026-06-26 03:44:17","permalink":{"id":263881,"object_type":"structure","relational_id":13108,"identifier":"3","token":"6.2\/II\/10\/3","url":"\/6.2\/II\/10\/3\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13001,"edition_id":1,"name":"Entities Conducting Trust Business","identifier":"10","label":"chapter","depth":3,"order_by":1,"parent_id":13000,"metadata":{},"date_created":"2026-06-26 03:44:07","date_modified":"2026-06-26 03:44:07","permalink":{"id":263687,"object_type":"structure","relational_id":13001,"identifier":"10","token":"6.2\/II\/10","url":"\/6.2\/II\/10\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13000,"edition_id":1,"name":"Depository Institutions and Trust Organizations","identifier":"II","label":"subtitle","depth":2,"order_by":1,"parent_id":12852,"metadata":{},"date_created":"2026-06-26 03:44:07","date_modified":"2026-06-26 03:44:07","permalink":{"id":263685,"object_type":"structure","relational_id":13000,"identifier":"II","token":"6.2\/II","url":"\/6.2\/II\/","edition_id":1,"permalink":0,"preferred":1}},{"id":12852,"edition_id":1,"name":"Financial Institutions and Services","identifier":"6.2","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:43:56","date_modified":"2026-06-26 03:43:56","permalink":{"id":263249,"object_type":"structure","relational_id":12852,"identifier":"6.2","token":"6.2","url":"\/6.2\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":65489,"structure_id":13108,"section_number":"6.2-1047","catch_line":"Definitions","url":"\/6.2-1047\/","token":"6.2\/II\/10\/3\/6.2-1047","metadata":false},{"id":70269,"structure_id":13108,"section_number":"6.2-1048","catch_line":"Organization of subsidiary trust companies","url":"\/6.2-1048\/","token":"6.2\/II\/10\/3\/6.2-1048","metadata":false},{"id":70720,"structure_id":13108,"section_number":"6.2-1049","catch_line":"Permissible business","url":"\/6.2-1049\/","token":"6.2\/II\/10\/3\/6.2-1049","metadata":false},{"id":80318,"structure_id":13108,"section_number":"6.2-1050","catch_line":"Directors","url":"\/6.2-1050\/","token":"6.2\/II\/10\/3\/6.2-1050","metadata":false},{"id":66973,"structure_id":13108,"section_number":"6.2-1051","catch_line":"Report to Commission of election of director","url":"\/6.2-1051\/","token":"6.2\/II\/10\/3\/6.2-1051","metadata":false},{"id":57130,"structure_id":13108,"section_number":"6.2-1052","catch_line":"Removal of director or officer; appeals; penalty","url":"\/6.2-1052\/","token":"6.2\/II\/10\/3\/6.2-1052","metadata":false},{"id":71808,"structure_id":13108,"section_number":"6.2-1053","catch_line":"Bonds required of officers and employees; blanket bond","url":"\/6.2-1053\/","token":"6.2\/II\/10\/3\/6.2-1053","metadata":false},{"id":59285,"structure_id":13108,"section_number":"6.2-1054","catch_line":"Certificate required","url":"\/6.2-1054\/","token":"6.2\/II\/10\/3\/6.2-1054","metadata":false},{"id":61502,"structure_id":13108,"section_number":"6.2-1055","catch_line":"Trust offices","url":"\/6.2-1055\/","token":"6.2\/II\/10\/3\/6.2-1055","metadata":false},{"id":54145,"structure_id":13108,"section_number":"6.2-1056","catch_line":"When security not required of trust subsidiaries","url":"\/6.2-1056\/","token":"6.2\/II\/10\/3\/6.2-1056","metadata":false},{"id":67776,"structure_id":13108,"section_number":"6.2-1057","catch_line":"Deposits held or received by trust subsidiaries or subsidiary bank with affiliate banks","url":"\/6.2-1057\/","token":"6.2\/II\/10\/3\/6.2-1057","metadata":false},{"id":68595,"structure_id":13108,"section_number":"6.2-1058","catch_line":"Substitution of trust subsidiary as fiduciary","url":"\/6.2-1058\/","token":"6.2\/II\/10\/3\/6.2-1058","metadata":false},{"id":65923,"structure_id":13108,"section_number":"6.2-1059","catch_line":"Substitution of subsidiary bank as fiduciary","url":"\/6.2-1059\/","token":"6.2\/II\/10\/3\/6.2-1059","metadata":false},{"id":58761,"structure_id":13108,"section_number":"6.2-1060","catch_line":"Trust subsidiaries to have same powers and restrictions as bank trust departments","url":"\/6.2-1060\/","token":"6.2\/II\/10\/3\/6.2-1060","metadata":false},{"id":62099,"structure_id":13108,"section_number":"6.2-1061","catch_line":"Reports; investigations and examinations; civil penalties","url":"\/6.2-1061\/","token":"6.2\/II\/10\/3\/6.2-1061","metadata":false},{"id":56552,"structure_id":13108,"section_number":"6.2-1062","catch_line":"Offenses by officer, director, agent or employee of trust subsidiary; penalties","url":"\/6.2-1062\/","token":"6.2\/II\/10\/3\/6.2-1062","metadata":false},{"id":80499,"structure_id":13108,"section_number":"6.2-1063","catch_line":"Officers, directors, agents and employees violating or causing trust subsidiary to violate laws; civil liability not affected","url":"\/6.2-1063\/","token":"6.2\/II\/10\/3\/6.2-1063","metadata":false},{"id":73097,"structure_id":13108,"section_number":"6.2-1064","catch_line":"Civil penalties for violation of Commission's orders","url":"\/6.2-1064\/","token":"6.2\/II\/10\/3\/6.2-1064","metadata":false}],"previous_section":{"id":68595,"structure_id":13108,"section_number":"6.2-1058","catch_line":"Substitution of trust subsidiary as fiduciary","url":"\/6.2-1058\/","token":"6.2\/II\/10\/3\/6.2-1058","metadata":false},"next_section":{"id":58761,"structure_id":13108,"section_number":"6.2-1060","catch_line":"Trust subsidiaries to have same powers and restrictions as bank trust departments","url":"\/6.2-1060\/","token":"6.2\/II\/10\/3\/6.2-1060","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/6.2-1059\/","history_text":"

This law was first created in 1974. The record of its establishment is cataloged in chapter 286 of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. Unfortunately, the 1974 \u201cActs\u201d aren\u2019t available online. It has been modified 4 times. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. Those modifications are as follows: in 1987, chapter 352; in 1991, chapter 282; in 2010, chapter 794<\/a>; in 2020, chapter 239<\/a>.<\/p>","references":[{"id":68595,"section_number":"6.2-1058","catch_line":"Substitution of trust subsidiary as fiduciary","order_by":null,"url":"\/6.2-1058\/"}],"refers_to":[{"id":75287,"section_number":"6.2-1003","catch_line":"When security not required; payment of probate taxes and fees","order_by":null,"url":"\/6.2-1003\/"},{"id":54145,"section_number":"6.2-1056","catch_line":"When security not required of trust subsidiaries","order_by":null,"url":"\/6.2-1056\/"}],"permalink":{"id":263931,"object_type":"law","relational_id":65923,"identifier":"6.2-1059","token":"6.2\/II\/10\/3\/6.2-1059","url":"\/6.2-1059\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/6.2-1059\/","token":"6.2\/II\/10\/3\/6.2-1059","dublin_core":{"Title":"Substitution of subsidiary bank as fiduciary","Type":"Text","Format":"text\/html","Identifier":"\u00a7 6.2-1059","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

A.<\/span> Upon obtaining permission to engage in the trust business<\/span>, a subsidiary bank<\/span> may file an application in the circuit<\/span> court<\/span> of the jurisdiction<\/span> in which its main office is located requesting that it be substituted, except as may be specified in such application, in every fiduciary capacity<\/span> for a bank under common ownership<\/span> or a trust subsidiary under common ownership<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

B.<\/span> Upon a finding<\/span> that (i) the subsidiary bank<\/span> has been granted such permission to engage in the trust business<\/span> by the Commission<\/span> or the Comptroller of the Currency and (ii) the unimpaired capital and surplus of such subsidiary bank<\/span> is sufficient as prescribed in § 6.2-1003<\/a>, or bond<\/span> with corporate surety<\/span> has been posted for any excess, or has been validly waived, the court<\/span> shall enter an order<\/span> substituting the subsidiary bank<\/span> in every fiduciary capacity<\/span> for each of the specified banks or trust subsidiaries under common ownership, except as may be otherwise specified in the application. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

C.<\/span> Upon entry of such order<\/span>, such subsidiary bank<\/span> shall, without further act, be substituted in every such fiduciary capacity<\/span>. The substitution shall be evidenced by filing a copy of the order<\/span> with the clerk of any circuit<\/span> court<\/span> in the Commonwealth. The order<\/span> shall be indexed in each index in the records of such court<\/span> in which substitutions of fiduciaries are otherwise indexed. The application may be made ex parte<\/span> and need not list the fiduciary capacities in which substitution is made. If a bank or trust subsidiary under common ownership<\/span> with the subsidiary bank<\/span> shall already have qualified in any fiduciary capacity<\/span> and given bond<\/span>, without surety<\/span>, then if the order<\/span> of substitution shall so provide, which it may provide only if the fiduciary for which there is to be substitution consents, the predecessor fiduciary shall remain liable on its bond<\/span> for the acts of its named successor, and no security or corporate surety<\/span> shall be required of the successor fiduciary on its bond<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

D.<\/span> Any bond<\/span>, with corporate surety<\/span>, posted under this section or under § 6.2-1056<\/a> may be a blanket bond<\/span> conditioned as otherwise contemplated by law<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

E.<\/span> Each designation in a will or other instrument heretofore or hereafter executed of a bank or trust subsidiary as fiduciary shall be deemed a designation of the subsidiary bank<\/span> substituted for such bank or trust subsidiary pursuant to this section except when the instrument is executed after such substitution and expressly negates the application of this section. No waiver<\/span> of surety<\/span> with respect to any fiduciary bond<\/span> shall be effective except in such case when the bond<\/span> would be otherwise sufficient as contemplated by § 6.2-1056<\/a> or this section. Any grant in such an instrument of any discretionary power shall be deemed conferred upon the fiduciary deemed to have been nominated hereunder. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

F.<\/span> A bank or trust subsidiary shall account jointly with the subsidiary bank<\/span> that has been substituted as fiduciary for such bank or trust subsidiary pursuant to this section for the accounting period during which the subsidiary bank<\/span> is initially so substituted. Upon substitution pursuant to this section, the bank or trust subsidiary shall deliver to the substituted subsidiary bank<\/span> all assets<\/span> held by the bank or trust subsidiary as fiduciary, except assets<\/span> held for accounts to which there has been no substitution. Upon such substitution, all such assets<\/span> shall become the property of the subsidiary bank<\/span> as fiduciary without the necessity of any instrument of transfer or conveyance. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nSUBSTITUTION OF SUBSIDIARY BANK AS FIDUCIARY (\u00a7 6.2-1059)\n\nA. Upon obtaining permission to engage in the trust business, a subsidiary bank\nmay file an application in the circuit court of the jurisdiction in which its\nmain office is located requesting that it be substituted, except as may be\nspecified in such application, in every fiduciary capacity for a bank under\ncommon ownership or a trust subsidiary under common ownership.\n\nB. Upon a finding that (i) the subsidiary bank has been granted such permission\nto engage in the trust business by the Commission or the Comptroller of the\nCurrency and (ii) the unimpaired capital and surplus of such subsidiary bank is\nsufficient as prescribed in § 6.2-1003, or bond with corporate surety has\nbeen posted for any excess, or has been validly waived, the court shall enter an\norder substituting the subsidiary bank in every fiduciary capacity for each of\nthe specified banks or trust subsidiaries under common ownership, except as may\nbe otherwise specified in the application.\n\nC. Upon entry of such order, such subsidiary bank shall, without further act, be\nsubstituted in every such fiduciary capacity. The substitution shall be\nevidenced by filing a copy of the order with the clerk of any circuit court in\nthe Commonwealth. The order shall be indexed in each index in the records of\nsuch court in which substitutions of fiduciaries are otherwise indexed. The\napplication may be made ex parte and need not list the fiduciary capacities in\nwhich substitution is made. If a bank or trust subsidiary under common ownership\nwith the subsidiary bank shall already have qualified in any fiduciary capacity\nand given bond, without surety, then if the order of substitution shall so\nprovide, which it may provide only if the fiduciary for which there is to be\nsubstitution consents, the predecessor fiduciary shall remain liable on its bond\nfor the acts of its named successor, and no security or corporate surety shall\nbe required of the successor fiduciary on its bond.\n\nD. Any bond, with corporate surety, posted under this section or under §\n6.2-1056 may be a blanket bond conditioned as otherwise contemplated by law.\n\nE. Each designation in a will or other instrument heretofore or hereafter\nexecuted of a bank or trust subsidiary as fiduciary shall be deemed a\ndesignation of the subsidiary bank substituted for such bank or trust subsidiary\npursuant to this section except when the instrument is executed after such\nsubstitution and expressly negates the application of this section. No waiver of\nsurety with respect to any fiduciary bond shall be effective except in such case\nwhen the bond would be otherwise sufficient as contemplated by § 6.2-1056\nor this section. Any grant in such an instrument of any discretionary power\nshall be deemed conferred upon the fiduciary deemed to have been nominated\nhereunder.\n\nF. A bank or trust subsidiary shall account jointly with the subsidiary bank\nthat has been substituted as fiduciary for such bank or trust subsidiary\npursuant to this section for the accounting period during which the subsidiary\nbank is initially so substituted. Upon substitution pursuant to this section,\nthe bank or trust subsidiary shall deliver to the substituted subsidiary bank\nall assets held by the bank or trust subsidiary as fiduciary, except assets held\nfor accounts to which there has been no substitution. Upon such substitution,\nall such assets shall become the property of the subsidiary bank as fiduciary\nwithout the necessity of any instrument of transfer or conveyance.\n\nHISTORY: 1974, c. 286, \u00a7 6.1-32.9; 1987, c. 352; 1991, c. 282; 2010, c. 794;\n2020, c. 239.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}