S.B. 727

VETOES

REGISTRATION, (II) ON THIS TITLE, AND (III) ON INFORMATION PROVIDED TO IT BY
AFFIDAVIT OF THE PERSONAL REPRESENTATIVE OF THE DECEASED OWNER, OR BY
THE SURVIVING BENEFICIARY OR BY THE SURVIVING BENEFICIARY'S
REPRESENTATIVES, OR OTHER INFORMATION AVAILABLE TO THE REGISTERING
ENTITY. THE PROTECTIONS OF THIS TITLE DO NOT EXTEND TO A REREGISTRATION
OR PAYMENT MADE AFTER A REGISTERING ENTITY HAS RECEIVED WRITTEN
NOTICE FROM ANY CLAIMANT TO ANY INTEREST IN THE SECURITY OBJECTING TO
IMPLEMENTATION OF A REGISTRATION IN BENEFICIARY FORM. NO OTHER NOTICE
OR OTHER INFORMATION AVAILABLE TO THE REGISTERING ENTITY AFFECTS ITS
RIGHT TO PROTECTION UNDER THIS TITLE.

(D) THE PROTECTION PROVIDED BY THIS TITLE TO THE REGISTERING
ENTITY OF A SECURITY DOES NOT AFFECT THE RIGHTS OF BENEFICIARIES IN
DISPUTES BETWEEN THEMSELVES AND OTHER CLAIMANTS TO OWNERSHIP OF THE
SECURITY TRANSFERRED OR ITS VALUE OR PROCEEDS.

16-109. NONTESTAMENTARY TRANSFER ON DEATH.

(A)     A TRANSFER-ON-DEATH RESULTING FROM A REGISTRATION IN
BENEFICIARY FORM IS EFFECTIVE BY REASON OF THE CONTRACT REGARDING THE
REGISTRATION BETWEEN THE OWNER AND THE REGISTERING ENTITY AND THIS
TITLE AND IS NOT TESTAMENTARY.

(B)     THIS TITLE DOES NOT LIMIT THE RIGHTS OF CREDITORS OF SECURITY
OWNERS AGAINST BENEFICIARIES AND OTHER TRANSFEREES UNDER OTHER LAWS
OF THIS STATE.

16-110. TERMS, CONDITIONS, AND FORMS FOR REGISTRATION.

(A) A REGISTERING ENTITY OFFERING TO ACCEPT REGISTRATIONS IN
BENEFICIARY FORM MAY ESTABLISH THE TERMS AND CONDITIONS UNDER WHICH
IT WILL RECEIVE REQUEST (I) FOR REGISTRATIONS IN BENEFICIARY FORM, AND (II)
FOR IMPLEMENTATION OF REGISTRATIONS IN BENEFICIARY FORM, INCLUDING
REQUESTS FOR CANCELLATION OF PREVIOUSLY REGISTERED TOD BENEFICIARY
DESIGNATIONS AND REQUESTS FOR REREGISTRATION TO EFFECT A CHANGE OF
BENEFICIARY. THE TERMS AND CONDITIONS ESTABLISHED UNDER THIS
SUBSECTION MAY PROVIDE FOR PROVING DEATH, AVOIDING OR RESOLVING ANY
PROBLEMS CONCERNING FRACTIONAL SHARES, DESIGNATING PRIMARY AND
CONTINGENT BENEFICIARIES, AND SUBSTITUTING A NAMED BENEFICIARY'S
DESCENDANTS TO TAKE IN THE PLACE OF THE NAMED BENEFICIARY IN THE EVENT
OF THE BENEFICIARY'S DEATH. SUBSTITUTION MAY BE INDICATED BY APPENDING
TO THE NAME OF THE PRIMARY BENEFICIARY THE LETTERS LDPS, STANDING FOR
"LINEAL DESCENDANTS PER STIRPES." THIS DESIGNATION SUBSTITUTES A
DECEASED BENEFICIARY'S DESCENDANTS WHO SURVIVE THE OWNER FOR A
BENEFICIARY WHO FAILS TO SO SURVIVE, THE DESCENDANTS TO BE IDENTIFIED
AND TO SHARE IN ACCORDANCE WITH THE LAW OF THE BENEFICIARY'S DOMICILE
AT THE OWNER'S DEATH GOVERNING INHERITANCE BY DESCENDANTS OF AN
INTESTATE. OTHER FORMS OF IDENTIFYING BENEFICIARIES WHO ARE TO TAKE ON
ONE OR MORE CONTINGENCIES, AND RULES FOR PROVIDING PROOFS AND
ASSURANCES NEEDED TO SATISFY REASONABLE CONCERNS BY REGISTERING

- 3754 -