                                 CODE OF VIRGINIA

DECLINATION, RESIGNATION, INCAPACITY, DEATH, OR REMOVAL OF CUSTODIAL TRUSTEE;
DESIGNATION OF SUCCESSOR (§ 64.2-912)

A. Before accepting the custodial trust property, a person designated as
custodial trustee may decline to serve by notifying the person who made the
designation, the transferor, or the transferor&#8217;s legal representative. If
an event giving rise to a transfer has not occurred, the substitute custodial
trustee designated under &#xA7; 64.2-902 becomes the custodial trustee, or, if a
substitute custodial trustee has not been designated, the person who made the
designation may designate a substitute custodial trustee pursuant to &#xA7;
64.2-902. In other cases, the transferor or the transferor&#8217;s legal
representative may designate a substitute custodial trustee.

B. A custodial trustee who has accepted the custodial trust property may resign
by (i) delivering written notice to a successor custodial trustee, if any, the
beneficiary, and, if the beneficiary is incapacitated, to the
beneficiary&#8217;s conservator, if any, and (ii) transferring or registering,
or recording an appropriate instrument relating to, the custodial trust
property, in the name of, and delivering the records to, the successor custodial
trustee.

C. If a custodial trustee or successor custodial trustee is ineligible, resigns,
dies, or becomes incapacitated, the successor designated in accordance with the
trust instrument or in accordance with &#xA7; 64.2-902 becomes custodial
trustee. If there is no effective provision for a successor, the beneficiary, if
not incapacitated, may designate a successor custodial trustee. If the
beneficiary is incapacitated, or fails to act within 90 days after the
ineligibility, resignation, death, or incapacity of the custodial trustee, the
beneficiary&#8217;s conservator becomes successor custodial trustee. If the
beneficiary does not have a conservator or the conservator fails to act, the
resigning custodial trustee may designate a successor custodial trustee.

D. If a successor custodial trustee is not designated as provided in this
section, the transferor, the legal representative of the transferor or of the
custodial trustee, an adult member of the beneficiary&#8217;s family, the
guardian or conservator of the beneficiary, a person interested in the custodial
trust property, or a person interested in the welfare of the beneficiary may
petition the court to designate a successor custodial trustee.

E. A custodial trustee who declines to serve or resigns, or the legal
representative of a deceased or incapacitated custodial trustee, as soon as
practicable, shall put the custodial trust property and records in the
possession and control of the successor custodial trustee. The successor
custodial trustee may enforce the obligation to deliver custodial trust property
and records and becomes responsible for each item as received.

F. A beneficiary, the beneficiary&#8217;s conservator, an adult member of the
beneficiary&#8217;s family, a guardian of the beneficiary, a person interested
in the custodial trust property, or a person interested in the welfare of the
beneficiary may petition the court to remove the custodial trustee for cause and
designate a successor custodial trustee, to require the custodial trustee to
furnish a bond or other security for the faithful performance of fiduciary
duties, or for other appropriate relief.

HISTORY: 1990, c. 264, § 55-34.13; 1997, c. 80; 2012, c. 614.