CHAPTER 141

FORMERLY

SENATE BILL NO. 264

AS AMENDED BY SENATE AMENDMENT NO. 1

AN ACT TO AMEND PART IV, TITLE 12 OF THE DELAWARE CODE BY STRIKING THE PRESENT CHAPTER 45 ENTITLED "UNIFORM GIFTS TO MINORS ACT" AND BY SUSTITUTING A NEW CHAPTER 45 ENTITLED "UNIFORM GIFTS TO MINORS ACT" IN LIEU THEREOF.

BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF DELAWARE:

Section I. Amend Part IV, Title 12 of the Delaware Code by striking the present Chapter 45 and by substituting in lieu thereof a new Chapter 45 to read as follows:

"CHAPTER 45. UNIFORM GIFTS TO MINORS ACT

§4501. Definitions

In this Chapter, unless the context otherwise requires:

(a) An "adult" is a person who has attained the age of eighteen years.

(b) A "bank" Is a bank, trust company, national banking association, savings bank, industrial bank, savings and loan association, building and loan association, or credit union.

(c) A "broker" is a person lawfully engaged in the business of effecting transactions in securities for the account of others. The term includes a bank which effects such transactions. The term also includes a person lawfully engaged in buying and selling securities for his own account, through a broker or otherwise, as a part of a regular business.

(d) "Court" means the Court of Chancery.

(e) The "custodial property" includes:

(1) all securities, life or endowment insurance policies, annuity contracts, money, interest in tangible personal property, and interests in real property under the supervision of the same custodian for the same minor as a consequence of a gift or gifts made to the minor in a manner prescribed in this Chapter;

(2) the income from the custodial property; and

(3) the proceeds, immediate and remote, from the sale, exchange, conversion, Investment, reinvestment, surrender or other disposition of such securities, money, life or endowment insurance policies, annuity contracts, interest in tangible personal property, interest in real property and income, and the proceeds from the surrender of or loans upon such insurance policies and annuity contracts.

(f) A "custodian" Is a person so designated in a manner prescribed in this Chapter; the term includes a successor custodian.

(g) A "financial institution" is a bank, a federal savings and loan association, a savings institution chartered and supervised as a savings and loan or similar institution under federal law or the laws of a state, a federal credit union or a credit union chartered and supervised under the laws of a state; an "insured financial institution" is one, deposits (including a savings, share, certificate or deposit account) in which are, In whole or in part,

insured by the Federal Deposit Insurance Corporation, by the Federal Savings and Loan Insurance Corporation, or by a deposit Insurance fund approved by a state.

(h) A "gift" Includes an inter vivos transfer, a distribution pursuant to the terms of a will or trust agreement or a payment pursuant to the terms of a life or endowment Insurance policy or annuity contract; a gift shall be deemed to be made at the time of transfer, distribution or payment.

(1) A "guardian" of a minor means the general guardian, guardian, tutor or curator of his property or estate appointed or qualified by a court of this State or another state.

(j) An "issuer" is a person who places or authorizes the placing of his name on a security (other than as a transfer agent) to evidence that it represents a share, participation or other interest in his property or in an enterprise or to evidence his duty or undertaking to perform an obligation evidenced by the security,or who becomes responsible for or In place of any such person.

(k) A "legal representative" of a person is his executor or the administrator, general guardian, guardian, committee, conservator, tutor or curator of his property or estate.

(1) "Life or endowment insurance policies and annuity contracts" means only life or endowment Insurance policies and annuity contracts on the life of the minor or a member of the minor's family as defined in Subsection (m) of this Section.

(m) A "member" of a "minor's family" means any grandparent or lineal descendant of a grandparent of the minor, whether of the whole blood or the half blood, or by or through legal adoption.

(a) A "minor" is a person who has not attained the age of eighteen years, except that if the donor, pursuant to 54504(d) of this Chapter, shall have directed that the custodianship shall terminate when a person shall attain an age between eighteen and twenty-one years, "minor" shall refer to such person so long as he shall not have attained the age so directed by the donor.

(a) A "security" includes any note, stock, treasury stock, bond, debenture, evidence of indebtedness, certificate of Interest or participation in an oil, gas or mining title or lease or in payments out of production under such a title or lease, certificate or other evidence of a limited partner's interest in a limited partnership, contract to buy or sell commodities, collateral trust certificate, transferable share, voting trust certificate or, in general, any interest or instrument commonly known as a security, or any certificate of Interest or participation in any temporary or interim certificate, receipt or certificate of deposit for, or any warrant or right to subscribe to or purchase, any of the foregoing. The term does not include a security of which the donor is the Issuer. A security In in "registered form" when it specifies a person entitled to it or to the rights it evidences and its transfer may be registered upon books maintained for that purpose by or on behalf of the Issuer.

(a) A "transfer agent" is a person who acts as authenticating trustee, transfer agent, registrar or other agent for an issuer in the registration of transfers of Its securities or in the Issue of new securities or in the cancellation of surrendered securities.

(a) A "trust company" is a bank, corporation or other legal entity authorized to exercise trust powers.

§4502. Manner of Making Gift

(a) An adult person may, during his lifetime, make or provide for a gift of a security, a life or endowment insurance policy or annuity contract, money, an

interest in tangible personal property, or an interest in real property to a person who is a minor on the date of the gift:

(1) if the subject of an inter vivos gift is a security in registered form, by registering it in the name of the donor, another adult person or a trust company, followed, in substance, by the words: "as custodian for (name of minor) under the Delaware Uniform Gifts to Minor Act."

(2) if the subject of an inter vivos gift Is a security not in registered form, by delivering it to an adult other than the donor or to a trust company, accompanied by a statement of gift in the following form, in substance, signed by the donor and the person designated as custodian:

"GIFT UNDER THE DELAWARE UNIFORM GIFTS TO MINORS ACT

I, (name of donor), hereby deliver to (name of custodian), as custodian for (name of minor) under the Delaware Uniform Gifts to Minors Act, the following security(ies): (insert an appropriate description of the security or securities delivered sufficient to identify it or them)

(signature of donor)

"(name of custodian) hereby acknowledges receipt of the above described security(ies) as custodian for the above minor under the Delaware Uniform Gifts to Minors Act.

Dated:

(signature of custodian)."

(1) if the subject of an inter vivos gift is money, by paying or delivering it to a broker or a financial institution for credit to an account in the name of the donor, another adult or a trust company, followed, in substance, by the words: "as custodian for (name of minor) under the Delaware Uniform Gifts to Minors Act."

(1) if the subject of an inter vivos gift is a life or endowment insurance policy or annuity contract, by causing the ownership of the policy or contract to be registered with the issuing life insurance company in the name of the donor, another adult or a trust company, followed, in substance, by the words: "as custodian for (name of minor) under the Delaware Uniform Gifts to Minors Act."

(1) if the subject of an inter vivos gift is a payment pursuant to the terms of a life or endowment insurance policy or annuity contract, by designating, in a writing registered with the issuing life insurance company, the donor, another adult or a trust company as the beneficiary of such insurance policy or contract, followed, in substance, by the words: "as custodian for (name of minor) under the Delaware Uniform Gifts to Minors Act." When the custodian receives any proceeds of such policy or contract, the proceeds shall at that time become custodial property.

(1) if the subject of an inter vivos gift is tangible personal property, or an interest therein, by delivering it to an adult other than the donor or to a trust company, accompanied by a statement of gift in the following form, in substance, signed by the donor and the person designated as custodian:

"GIFT UNDER THE DELAWARE UNIFORM GIFTS TO MINORS ACT

property: (insert an appropriate description of the item or items of tangible personal property delivered sufficient to identify it or them)

(signature of donor)

"(name of custodian) hereby acknowledges receipt of the above described property as custodian for the above minor under the Delaware Uniform Gifts to Minors Act.

Dated:

(signature of custodian)."

(7) if the subject of an inter vivos gift is real property, or an interest therein, by executing and delivering to the custodian (which may be the donor, another adult or a trust company), in the appropriate manner, an acknowledged deed in the form, in substance, prescribed by Section 121 of Title 25, naming the minor as grantee and containing a recital, in substance, that the real property, or the interest therein, transferred is to be "held by (name of custodian), and his successors, as custodian for (name of minor) under the Delaware Uniform Gifts to Minors Act;" but such gift shall not be effective, nor shall title to the real property or interest vest in the minor, unless and until such deed is recorded, in the manner prescribed by Section 151 of Title 25 in the recorder's office for the county wherein such property or interest is situated. The deed may (for the purpose of promoting the efficient research of titles to real property) also recite the date of birth of the minor and the date the minor will attain his majority (or a later date designated by the donor as the date of termination of the custodianship pursuant to §4504(d) of this Chapter), but the failure to do so shall not affect the validity of the gift.

(8) if the gift is distributable by a personal representative pursuant to the terms of a will, by stating in the will, in substance, that the bequest or devise is made "under the Delaware Uniform Gifts to Minors Act." The personal representative shall distribute the subject of the gift by transferring it, in the manner and form prescribed in the preceding paragraphs of this Subsection (a), to an adult or trust company designated as custodian by the testator, or, absent such designation, or if the designated custodian has died or is otherwise unable or unwilling to serve, and subject to any limitations contained in the will, to an adult or trust company designated as custodian by the personal representative in accordance with S4507(g) of this Chapter. The receipt of the custodian for the subject of the gift shall constitute a full release and discharge of the personal representative with respect to the property so transferred.

(9) if the gift is distributable by a trustee pursuant to the terms of a will or trust agreement, by stating in the will or trust agreement, in substance, that the gift is made "under the Delaware Uniform Gifts to Minors Act." The trustee shall distribute the subject of the gift by transferring it, in the manner and form prescribed in the preceding paragraphs of this Subsection (a), to an adult or trust company designated as custodian in the will or trust agreement, or absent such designation, or if the designated custodian has died or is otherwise unable or unwilling to serve, and subject to any limitations contained in the will or trust agreement, to an adult or trust company designated as custodian by the trustee in accordance with 54507(g) of this Chapter. The receipt of the custodian for the subject of the gift shall constitute a full release and discharge of the trustee with respect to the property so transferred.

(b) If, pursuant to the terms of a will or trust agreement, any property of the type described in Subsection (a) is required to be distributed to a minor, or if, pursuant to the terms of a life or endowment insurance policy or annuity contract, a payment is required to be made to a minor, and if the will, trust agreement, insurance policy or contract does not require that such property be distributed to a custodian in accordance with the provisions of this Chapter, the personal representative, trustee or insurance company, may, nevertheless, in his discretion (but subject to any limitations or prohibitions contained in the will, trust

agreement, insurance policy or annuity contract), distribute such property or make such payment in accordance with the provisions of this Chapter by transferring it, in the manner and form prescribed in Subsection (a), to an adult or trust company designated as custodian by the personal representative, trustee or insurance company in accordance with 54507(g) of this Chapter.

(c) Any gift made in a manner prescribed in Subsection (a) may be made to only one minor and only one person may be the custodian, but additional gifts to the same minor using the same or a different custodian may be made.

(d) A donor who makes a gift to a minor in a manner prescribed in Subsection (a), and each legal representative, trustee and insurance company effecting a gift under this Chapter, shall promptly do all things within his power to put the subject of the gift in the possession and control of the custodian, but neither his failure to comply with this Subsection, nor his designation of an ineligible person as custodian, nor the unwillingness or inability to act of the person designated as custodian shall affect the validity of the gift.

(e) A gift (other than a gift of real property, or an interest therein) may be made under this Chapter only if, at the time of the gift (or, in the case of a gift pursuant to the terms of a will, trust agreement, life or endowment insurance policy or annuity contract, at the time of execution of such document), one or more of the donor, the minor or the custodian is a resident of this State. In the case of a gift of real property, or an interest therein, a gift may be made under this Chapter only if such property or interest is located in this State. A gift made under this Chapter shall not be affected by the fact that at some future time none of the donor, the minor or the custodian is a resident of this State, nor shall a gift of real property, or an interest therein, be affected by the fact that at some future time such property or interest is converted into other custodial property not having a situs in this State.

§4503. Effect of Gift

(a) A gift made in a manner prescribed in this Chapter is irrevocable and conveys to the minor indefeasibly vested legal title to the custodial property. No guardian of the minor has any right, power, duty or authority with respect to the custodial property except as provided in this Chapter, and if a guardian of the property of a minor shall become custodian, the custodial property shall be segregated from the guardianship property and shall be held under the provisions of this Chapter.

(b) By. making a gift in a manner prescribed in this Chapter, the donor incorporates in his gift all the provisions of this Chapter and grants to the custodian, and to any issuer, transfer agent, bank, financial institution, life insurance company, broker or third person dealing with a person designated as custodian, the respective powers, rights and immunities provided in this Chapter.

§4504. Duties and Powers of Custodian

(a) The custodian shall collect, hold, manage, invest and reinvest the custodial property.

(b) The custodian shall pay over to the minor for expenditure by him, or expend for the minor's benefit, so much of or all the custodial property as the custodian deems advisable for the support, maintenance, education and benefit of the minor in the manner, at the time or times, and to the extent that the custodian, in his discretion, deems suitable and proper, with or without court order, with or without regard to the duty of himself or of any other person to support the minor or his ability to do so, and with or without regard to any other income or property of the minor which may be applicable or available for any such purpose.

(c) The court, on the petition of a parent or guardian of the minor, or of the minor if he has attained the age of fourteen years, may order the custodian to pay over to the minor for expenditure by him or to expend so much of or all the custodial property as is necessary for the minor's support, maintenance or education.

(d) To the extent that the custodial property is not so expended, the custodian shall deliver or pay it over to the minor on hs attaining the age of eighteen years or, if the minor dies beforr attaing the age of eighteen years, he shall thereupon deliver or pay it over to the estate of the minor; provided, however, that if the donor, in the written instrument making or providing for the gift, shall have so directed, the custodian shall deliver or pay it over to the minor on his attaining any age between eighteen and twenty-one years, or if the minor dies before attaining the age so directed by the donor, the custodian shall thereupon deliver or pay it over the estate of the minor.

(e) The custodian shall invest and reinvest the custodial property in accordance with the fiduciary standards set forth in §3302 of Chapter 33 of this Title, except that he may not acquire as custodial property any property other than securities, life or endowment insurance policies, annuity contracts, money, interests in tangible personal property and interests in real property, and except that he may, in his discretion, and without liability to the minor or his estate, retain a security, a life or endowment insurance policy or annuity contract, an interest in tangible personal property or an interest in real property given to the minor in a manner prescribed in this Chapter, or hold money so given in an account in the financial institution to which it was paid or delivered by the donor, and the custodian may, In his discretion, and without liability to the minor or his estate, invest the custodial property in a life or endowment insurance policy or annuity contract on the life of the minor or of a member of the minor's family in which life the minor has insurable interest.

(f) The custodian may sell, exchange, convert, surrender or otherwise dispose of custodial property in the manner, at the time or times, for the price or prices, and upon the terms he deems advisable; provided, however, that a custodian may not acquire property not authorized to be acquired as custodial property, except that a trust company, in its capacity as custodian, may acquire as custodial property interests in one or more common trust funds established and maintained by the trust company pursuant to Chapter 33 of this Title. He may vote in person or by general or limited proxy a security which is custodial property. He may consent, directly or through a committee or other agent, to the reorganization, consolidation, merger, dissolution or liquidation of an issuer of a security which is custodial property, and to the sale, lease, pledge or mortgage of any property by or to such an issuer, and to any other action by such an issuer. On dissolution or liquidation of an issuer of a security which Is custodial property, the custodian may receive the minor's share of any property resulting from such dissolution or liquidation and retain and manage it as custodial property, except that he may not exchange it for property not authorized to be acquired as custodial property. He may execute and deliver any and all instruments in writing which he deems advisable to carry out any of his powers as custodian.

(g) With respect to any interest in real estate, the custodian may perform the same acts that any adult owner of such interest in real estate could perform, including, but not limited to, the power to buy, sell (including a sale on credit), assign, transfer, convey, dedicate, partition, exchange, mortgage, create or redeem ground rents, grant or exercise options, and effect and keep in force fire, rent, liability, casualty and other insurance; make execute, acknowledge and deliver deeds, conveyances, releases, mortgages and leases, including mortgages and leases extending beyond the minority of the minor; collect rents; improve, subdivide or develop; construct, alter, demolish or repair, settle boundary lines and easements; pay taxes; and protest assessments.

(h) The custodian shall register each security which is custodial property and in registered form in the name of the custodian, followed, in substance, by the words: "as custodian for (name of minor) under the Delaware Uniform Gifts to

Minors Act." The custodian shall hold all money which is custodial property in an account with a broker or in an insured financial institution in the name of the custodian, followed, in substance by the words: "as custodian for (name of minor) under the Delaware Uniform Gifts to Minors Act." The custodian shall keep all other custodial property separate and distinct from his own property in a manner sufficient to identify it clearly as custodial property, except that custodial property, when held by a trust company as custodian, may be held In a common trust fund established and maintained by the trust company pursuant to Chapter 33 of this Title.

(I) The custodian shall keep records of all transactions with respect to the custodial property and make them available for inspection at reasonable intervals by a parent or legal representative of the minor, or by the minor if he has attained the age of fourteen years.

(j) The custodian, in his capacity as custodian, shall have and may exercise all the incidents of ownership in all life and endowment insurance policies and annuity contracts held by him, whether acquired under the provisions of S4502(a)(4) of this Chapter or under Subsection (e) of this Section, to the same extent as if he were the owner thereof, except that if the policy or contract is on the life of the minor, the designated beneficiary thereof shall be the minor's estate, and if the policy or contract is on the life of a person other than the minor, the designated beneficiary thereof shall be the custodian, as custodian for the minor for whom he is acting. The custodian may pay premiums on any such policy or contract held by him out of the custodial property.

(a) The custodian may employ, retain, or consult accountants, agents, attorneys-at-law, investment counsel, and other professional advisors as he, in his discretion, deems advisable in the management of the custodial property, and the reasonable fees and expenses of such services shall be proper charges against the custodial property.

§4505. Custodian's Expenses, Compensation and Bond

(a) A custodian is entitled to reimbursement from the custodial property for his reasonable expenses incurred in the performance of his duties.

(b) A custodian may act without compensation for his services.

(c) Unless he is a donor, a custodian may receive from the custodial property such reasonable compensation for his services as shall be fixed by written direction of the donor at the time the gift is made or provided for.

(d) In the absence of a direction by the donor with respect to compensation, a custodian may receive from the custodial property such compensation as shall be allowed by the rules of the court governing trustees' commissions, as though such rules applied to custodianships under this Chapter; provided, however, that upon the petition of the donor, his legal representative, the minor, his legal representative, an adult member of the minor's family, or the custodian, the court, in its discretion, may, upon such notice and opportunity for a hearing as the court shall direct, allow a greater or lesser amount of compensation.

(e) Except as otherwise provided in this Chapter, a custodian shall not be required to give a bond for the performance of his duties.

§4506. Exemption of Third Persons from Liability

(a) No issuer, transfer agent, bank, life insurance company, broker or other person or financial institution acting on the instructions of or otherwise dealing with any person purporting to act as a donor or in the capacity of a custodian is responsible for determining whether the person designated by the purported donor or purporting to act as a custodian has been duly designated or whether any purchase, sale or transfer to or by (or any other act of) any person purporting to act in the capacity of custodian is in accordance with or authorized by this Chapter, or is obliged to inquire into the validity or propriety under this Chapter of any instrument or instructions executed or given by a person purporting to act

as a donor or in the capacity of a custodian, or is bound to see to the application by any person purporting to act in the capacity of a custodian of any money or other property paid or delivered to him. No issuer, transfer agent, bank, life insurance company, broker or other person or financial institution acting on any instrument of designation of a successor custodian, executed as provided in 54507 of this Chapter, is responsible for determining whether the person designated as successor custodian has been duly designated, or is obliged to inquire into the validity or propriety under this Chapter of the instrument of designation.

(b) Each legal representative, trustee and life insurance company effecting a gift under the provisions of this Chapter and receiving a receipt from the custodian for the custodial property shall be discharged from any further liability or responsibility for the custodial property and shall have no duty, responsibility or right to inquire whether the custodian thereafter acts in conformity with the provisions of this Chapter.

§4507. Resignation, Death or Removal of Custodian; Bond; Designation of Successor Custodian

(a) Any adult or trust company eligible to be designated as original custodian shall be eligible to become successor custodian. A successor custodian has all the rights, powers, duties and immunities of the original custodian.

(b) A donor may, in the written instrument making or providing for the gift, designate one or more successor custodians to serve, in the order specified by the donor, in the event that the custodian originally designated, or a prior successor custodian, resigns, dies, becomes legally incapacitated or is removed.

(c) In the absence of an effective designation of a successor custodian by the donor in the written instrument making or providing for the gift, a vacancy in the custodianship shall be filled, within a reasonable time after the commencement of such vacancy, by the execution (before a subscribing witness other than the successor) of an instrument of designation of successor custodian by one of the following persons, in the order of priority stated:

(1) the donor (provided that the donor may not designate himself as successor custodian);

(2) the custodian;

(3) a parent of the minor; or

(4) the minor, if he has attained the age of fourteen years; provided, however, that any designation of successor custodian by such a minor shall be subject to review by the court upon petition filed by any person listed in Paragraph (1), (2) or (3) or by an adult member of the minor's family.

(d) If a person listed in Subsection (c) has executed more than one instrument of designation of successor custodian, the last such instrument shall take precedence over any previously executed instrument.

(e) The designation of a successor custodian pursuant to Subsection (b) shall not be effective unless and until the designated successor, within sixty days of the date of the resignation, death, legal incapacity or removal of the original custodian or the prior successor custodian, has, on the instrument of designation or another written instrument, indicated his acceptance of the custodianship by signing and dating such instrument of designation or other written instrument, nor shall the designation of a successor custodian pursuant to Subsection (c) be effective unless and until the designated successor, within sixty days of the date of the designation of successor custodian, has indicated his acceptance of the custodianship in a similar manner.

(f) If all persons designated as custodian or as successor custodian as provided in this Section are not eligible, die, become legally incapacitated or are removed before the minor attains the age when he is entitled to have the custodial property delivered or paid over to him, the guardian of the property of the minor

shall be the successor custodian. If there be no such guardian, the legal representative of the donor or of the custodian or an adult member of the minor's family may petition the court for the designation of a successor custodian, and in the case of a gift pursuant to the terms of a will, trust agreement, life or endowment insurance policy or annuity contract, the legal representative, trustee or life insurance company involved may petition the court for the designation of a successor custodian.

(g) Nothing in this Section shall be deemed to affect the authority of a personal representative, trustee or life insurance company to designate an original custodian (pursuant to, and subject to the conditions stated in, S4502(a)(8), 4502(a)(9) or 4502(b) of this Chapter), but the designation of such original custodian shall be accomplished by the execution of a designation of custodian by such personal representative, trustee, or life insurance company in accordance with the procedure specified in this Section in the same manner as if a successor custodian were being designated.

(h) The designation of a successor custodian as provided in this Section takes effect as to each item of the custodial property when the custodian resigns, dies, becomes legally incapacitated or is removed and the custodian or his legal representative:

(1) causes the item, if it is a security in registered form or a life or endowment insurance policy or annuity contract, to be registered, with the issuing life insurance company in the case of an insurance policy or annuity contract, in the name of the successor custodian followed, in substance, by the words: "as custodian for (name of minor) under the Delaware Uniform Gifts to Minors Act;"

(2) if the item is a payment pursuant to the terms of a life or endowment insurance policy or annuity contract, causes the successor custodian to be designated, in a writing registered with the issuing life insurance company, as the beneficiary thereof, followed, in substance, by the words: "as custodian for (name of minor) under the Delaware Uniform Gifts to Minors Act;"

(3) if the item is real property, or an interest therein, causes to be recorded in the Miscellaneous Index in the recorder's office for the county wherein such property or interest is situated the instrument of designation of successor custodian, acknowledged in the manner prescribed in Title 25 for the acknowledgement of deeds; and

(4) delivers or causes to be delivered to the successor custodian any other item of the custodial property, together with the instrument of designation of successor custodian or a true copy thereof and any additional instruments required for the transfer thereof to the successor custodian.

(i) A custodian who resigns or is removed, or the legal representative of a custodian who dies or becomes legally incapacitated, shall promptly do all things within his power to put each item of the custodial property in the possession and control of the successor custodian.

(j) A donor, the legal representative of a donor, a successor custodian, an adult member of the minor's family, a guardian of the property of a minor or the minor, if he has attained the age of fourteen years, may petition the court, for cause shown in the petition, that the custodian be removed and a successor custodian, determined in accordance with the provisons of this Section, be designated or, in the alternative, that the custodian be required to give bond for the performance of his duties.

(k) Upon the filing of a petition as provided in this Section, the court shall grant an order, directed to the persons and returnable on such notice as the court may require, to show cause why the relief prayed for in the petition should not be granted and, in due course, shall grant such relief as the court finds to be in the best interests of the minor.

§4508. Accounting by Custodian

(a) The minor, if he has attained the age of fourteen years, or the legal representative of the minor, an adult member of the minor's family, or a donor or his legal representative may petition the court for an accounting by the custodian or his legal representative, but such right to petition shall terminate two years after (1) the minor has attained the age when he is entitled to have the custodial property delivered or paid over to him, or (2) the minor has died before attaining the age when he was entitled to have the custodial property delivered or paid over to him.

(b) The court, in a proceeding under this Chapter or otherwise, may require or permit the custodian or his legal representative to account and, if the custodian is removed, shall so require and shall order delivery of all custodial property to the successor custodian and the execution of all instruments required for the transfer thereof.

§4509. Construction of Chapter

(a) Except to the extent inconsistent with the express provisions of this Chapter, this Chapter shall be so construed as to effectuate its general purpose to make uniform the law of those states which enact it.

(a) This Chapter shall not be construed as providing an exclusive method for making gifts to minors.

§4510. Short Title

This Chapter may be cited as the Delaware Uniform Gifts to Minors Act."

Section 2. If any provision of this Act, or the application thereof to any person or circumstance, is held invalid, the invalidity shall not affect other provisions or applications of this Act which can be given effect without the invalid provision or application, and to this end the provisions of this Act are severable.

Section 3. The provisions of present Chapter 45 of this Title are hereby repealed, effective on the date specified in Section 4 of this Act, but the repeal does not affect gifts made in a manner prescribed therein nor the powers, duties, and immunities conferred by gifts made in such manner upon custodians and persons dealing with custodians. The provisions of this Act shall apply, however, from and after the date specified in Section 4 of this Act, to all gifts made in a manner and form prescribed in the said Chapter 45 of this Title hereby repealed, except insofar as such application impairs constitutionally vested rights. The provisions of this Act shall be construed as a continuation of the provisions of the said Chapter 45 of this Title hereby repealed, modified or amended according to the language employed, and not as a new enactment.

Section 4. The provisions of this Act shall become effective on the first day of the second successive month following the date of enactment.

Approved July 12, 1979