South Dakota § 29A-6-101 - Definition of terms.

§ 29A-6-101. Definition of terms.

Terms used in §§ 29A-6-101 to 29A-6-114, inclusive, mean:

(1)    "Account," any contract of deposit of funds between a depositor and a financial institution, and includes any checking account, savings account, certificate of deposit, share account, and other like arrangement;

(2)    "Beneficiary," any person named in a trust account as one for whom a party to the account is named as trustee;

(3)    "Financial institution," any organization authorized to do business under state or federal laws relating to financial institutions, including banks and trust companies, savings banks, building and loan associations, savings and loan companies or associations, credit unions, and any organization described in § 501(c)(3) of the Internal Revenue Code;

(4)    "Joint account," any account payable on request to one or more of two or more parties whether or not mention is made of any right of survivorship;

(5)    "Multiple-party account," any joint account, a P.O.D. account or any trust account. The term does not include accounts established for deposit of funds of a partnership, limited liability company, joint venture, or other association for business purposes, or accounts controlled by one or more persons as the duly authorized agent or trustee for a corporation, unincorporated association, charitable or civic organization, or a regular fiduciary or trust account if the relationship is established other than by deposit agreement;

(6)    "Net contribution of a party to a joint account," is, as of any given time, the sum of all deposits thereto made by or for the party, less all withdrawals made by or for the party which have not been paid to or applied to the use of any other party, plus a pro rata share of any interest or dividends included in the current balance. The term includes any proceeds of deposit life insurance added to the account by reason of the death of the party whose net contribution is in question;

(7)    "Party," any person who, by the terms of the account, has a present right, subject to request, to payment from a multiple-party account. A P.O.D. payee or beneficiary of a trust account is a party only after the account becomes payable to the party by reason of the party's surviving the original payee or trustee. Unless the context otherwise requires, it includes a guardian, conservator, personal representative, or assignee, including an attaching creditor, of a party. It also includes any person identified as a trustee of an account for another whether or not a beneficiary is named, but it does not include any named beneficiary unless he has a present right of withdrawal. It also includes any minor even though the account may have been started by an adult, and even though the minor's signature may have been executed or subscribed by an adult, and not the named minor;

(8)    "Payment," payment of sums on deposit includes withdrawal, payment on check or other directive of a party, and any pledge of sums on deposit by a party and any setoff, or reduction or other disposition of all or part of an account pursuant to a pledge;

(9)    "P.O.D. account," an account payable on request to one person during that person's lifetime and on that person's death to one or more P.O.D. payees, or to one or more persons during their lifetimes and on the death of all of them to one or more P.O.D. payees;

(10)    "P.O.D. payee," a person designated on a P.O.D. account as one to whom the account is payable on request after the death of one or more persons;

(11)    "Proof of death," a death certificate or record or report which is prima facie proof of death under § 29A-1-107;

(12)    "Request," a proper request for withdrawal, or a check or order for payment, which complies with all conditions of the account, including special requirements concerning necessary signatures and regulations of the financial institution; but if the financial institution conditions withdrawal or payment on advance notice, for purposes of this part the request for withdrawal or payment is treated as immediately effective and a notice of intent to withdraw is treated as a request for withdrawal;

(13)    "Sums on deposit," any balance payable on a multiple-party account including interest, dividends, and in addition any deposit life insurance proceeds added to the account by reason of the death of a party;

(14)    "Trust account," any account in the name of one or more parties as trustee for one or more beneficiaries where the relationship is established by the form of the account and the deposit agreement with the financial institution and there is no subject of the trust other than the sums on deposit in the account; it is not essential that payment to the beneficiary be mentioned in the deposit agreement. A trust account does not include a regular trust account under a testamentary trust or a trust agreement which has significance apart from the account, or a fiduciary account arising from a fiduciary relation such as attorney-client;

(15)    "Withdrawal," payment to a third person pursuant to check or other directive of a party.

Source: SL 1987, ch 208, § 1; SL 1991, ch 215, § 1; SL 1991, ch 230, § 1A; SL 1994, ch 351, § 49; SDCL 30-23-43; SL 1995, ch 167, §§ 170, 172; SL 1997, ch 174, § 1.