The proposed bill aims to update current statutes by introducing the Uniform Special Deposits Act, which establishes a new framework for managing special deposits held by banks. Key updates include the introduction of definitions such as "special deposit," "account agreement," and "beneficiary," which clarify the relationships and obligations among banks, depositors, and beneficiaries. The bill specifies that a special deposit must involve multiple beneficiaries and a permissible purpose, and it outlines the rights of banks regarding payment to beneficiaries, the enforceability of creditor processes, and the limitations on liability. Additionally, it clarifies that banks do not have a fiduciary duty concerning special deposits, establishing a debtor-creditor relationship instead.

The bill also sets a termination period of no more than five years for special deposits unless otherwise specified in an account agreement, and mandates that any remaining balance must be paid to the depositor if a beneficiary cannot be located. It allows for court intervention in cases of potential fraud and applies the new regulations to both new and existing account agreements with mutual consent for amendments. Overall, these updates aim to enhance clarity and uniformity in the management of special deposits within Arizona's banking system.