Section 44-5-119. Creation and transfer of custodial property

   (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 Georgia 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 to a trust company as custodian, accompanied by an instrument in substantially the form set forth in subsection (b) of this Code 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 Georgia 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 Georgia 
Transfers to Minors Act'"; or
 
         (B) Assigned in a writing delivered to an adult other than the 
transferor or to a trust company whose name in the assignment is followed in 
substance by the words: "as custodian for              (name of minor) under 
'The Georgia 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 payor, 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 in substance by the 
words: "as custodian for              (name of minor) under 'The Georgia 
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 Georgia 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 Georgia Transfers to 
Minors Act'"; or
 
         (B) Delivered to an adult other than the transferor or to a trust 
company, endorsed to that person, followed in substance by the words: "as 
custodian for              (name of minor) under 'The Georgia Transfers to 
Minors Act'";

   (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 Code section.

(b) An instrument in the following form satisfies the requirements of subparagraph (B) of paragraph (1) and paragraph (7) of subsection (a) of this Code section:
 
 
                          "TRANSFER UNDER THE GEORGIA                          
 
 
                            TRANSFERS TO MINORS ACT                            

      I,              (name of transferor or name and representative capacity 
   if a fiduciary) transfer to              (name of custodian), as custodian 
   for              (name of minor) under 'The Georgia 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 Georgia 
   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.

Code 1981, § 44-5-119, enacted by Ga. L. 1990, p. 667, § 1.