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Can you summarize OHRC Section 1109.06?
State Banks - Powers > Designating on signature card deposit is in trust for another.
Short Summary
This legal provision, found in the Ohio Revised Code under the section governing State Banks - Powers, pertains to depositors who open or modify the ownership of a deposit account by designating it in trust for another. If the depositor does not provide any further written notice of the existence and terms of the trust to the bank, the designation on the signature card serves as clear and convincing evidence of the depositor-trustee’s intent to create a revocable trust for the benefit of the designated person. One of the terms of the trust is that upon the death of the depositor-trustee, the balance of the deposit account belongs to the designated person. No additional written instrument is required to establish the trust. Upon the death of the depositor-trustee, the account balance does not pass to the depositor-trustee’s estate unless the estate is the designated person. The bank may pay all or part of the account balance to the person designated on the signature card, and the receipt or acquittance of that person is sufficient to release and discharge the bank for any payments made from the account to them.
Whom does it apply to?
Depositors who open or modify the ownership of a deposit account by designating it in trust for another
What does it govern?
Designation of deposit accounts in trust for another
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Ohio