New Mexico § 46-7-20 - Manner of creating custodial property and effecting transfer; designation of initial custodian; control

§ 46-7-20. 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 a certificated security in registered form is either: (a) registered in the name of the transferor, an adult other than the transferor or

a trust company, followed in substance by the words: “as custodian for __________ (name of minor) under the Uniform Transfers to Minors Act”; or (b) delivered if in certificated form, or any document necessary for the transfer

of an uncertificated security is delivered, together with any necessary endorsement

to an adult other than the transferor or a trust company as custodian, accompanied

by an instrument in substantially the form set forth in Subsection B of this section; (2) money is paid or delivered to a broker or financial institution for credit to

an account in the name of the transferor, an adult other than the transferor or a

trust company, followed in substance by the words: “as custodian for __________ (name of minor) under the Uniform Transfers to Minors Act”; (3) the ownership of a life or endowment insurance policy or annuity contract is either: (a) registered with the issuer in the name of the transferor, an adult other than

the transferor or a trust company, followed in substance by the words: “as custodian

for __________ (name of minor) under the Uniform Transfers to Minors Act”; or (b) assigned in a writing delivered to an adult other than the transferor or a trust

company whose name in the assignment is followed in substance by the words: “as custodian

for __________ (name of minor) under the Uniform Transfers to Minors Act”; (4) an irrevocable exercise of a power of appointment or an irrevocable present right

to future payment under a contract is the subject of a written notification delivered

to the payer, issuer or other obligor that the right is transferred to the transferor,

an adult other than the transferor or a trust company, whose name in the notification

is followed by the words: “as custodian for __________ (name of minor) under the Uniform Transfers to Minors Act”; (5) an interest in real property is recorded in the name of the transferor, an adult

other than the transferor or a trust company, followed in substance by the words:

“as custodian for __________ (name of minor) under the Uniform Transfers to Minors Act”; (6) a certificate of title issued by a department or agency of a state or of the United

States which evidences title to tangible personal property is either: (a) issued in the name of the transferor, an adult other than the transferor or a

trust company, followed in substance by the words: “as custodian for __________ (name of minor) under the Uniform Transfers to Minors Act”; or (b) delivered to an adult other than the transferor or a trust company, endorsed to

that person followed in substance by the words: “as custodian for __________ (name of minor) under the Uniform Transfers to Minors Act”; or (7) an interest in any property not described in Paragraphs (1) through (6) of this

subsection is transferred to an adult other than the transferor or to a trust company

by a written instrument in substantially the form set forth in Subsection B of this

section. B. An instrument in the following form satisfies the requirements of Paragraphs (1)

and (7) of Subsection A of this section: “TRANSFER UNDER THE UNIFORM TRANSFERS TO MINORS ACT I, __________ (name of the transferor or name and representative capacity if a fiduciary) hereby

transfer to __________ (name of custodian), as custodian for __________ (name of minor) under the Uniform Transfers to Minors Act, the following: (insert

a description of the custodial property sufficient to identify it). Dated: __________ _________________________________________________ (Signature) __________ (name of custodian) acknowledges receipt of the property described above as custodian

for the minor named above under the Uniform Transfers to Minors Act. Dated: __________ _____________________________________”. (Signature of Custodian) C. A transferor shall place the custodian in control of the custodial property as

soon as practicable.