2005 Idaho Code - 68-812 — CARE OF CUSTODIAL PROPERTY

                                  TITLE  68
                            TRUSTS AND FIDUCIARIES
                                  CHAPTER 8
                             TRANSFERS TO MINORS
    68-812.  CARE OF CUSTODIAL PROPERTY. (1) A custodian shall:
    (a)  Take control of custodial property;
    (b)  Register or record title to custodial property if appropriate; and
    (c)  Collect, hold, manage, invest, and reinvest custodial property.
    (2)  In dealing with custodial property, a custodian shall observe the
standard of care that would be observed by a prudent person dealing with
property of another and is not limited by any other statute restricting
investments by fiduciaries. If a custodian has a special skill or expertise or
is named custodian on the basis of representations of a special skill or
expertise, the custodian shall use that skill or expertise. However, a
custodian, in the custodian's discretion and without liability to the minor or
the minor's estate, may retain any custodial property received from a
transferor.
    (3)  A custodian may invest in or pay premiums on life insurance or
endowment policies on (i) the life of the minor only, if the minor or the
minor's estate is the sole beneficiary, or (ii) the life of another person in
whom the minor has an insurable interest only to the extent that the minor,
the minor's estate, or the custodian in the capacity of custodian, is the
irrevocable beneficiary.
    (4)  A custodian at all times shall keep custodial property separate and
distinct from all other property in a manner sufficient to identify it clearly
as custodial property of the minor. Custodial property consisting of an
undivided interest is so identified if the minor's interest is held as a
tenant in common and is fixed. Custodial property subject to recordation is so
identified if it is recorded, and custodial property subject to registration
is so identified if it is either registered, or held in an account designated,
in the name of the custodian, followed in substance by the words: "as a
custodian for     (name of minor)     under the Idaho Uniform Transfers to
Minors Act."
    (5)  A custodian shall keep records of all transactions with respect to
custodial property, including information necessary for the preparation of the
minor's tax returns, and shall make them available for inspection at
reasonable intervals by a parent or legal representative of the minor or by
the minor, if the minor has attained the age of fourteen (14) years.