The proposed bill seeks to incorporate the Uniform Special Deposits Act into Minnesota law, specifically within chapter 47 of the Minnesota Statutes. It establishes a detailed framework for special deposits, defining essential terms such as "account agreement," "bank," "beneficiary," and "special deposit." The legislation outlines the requirements for creating a special deposit, including the need for a permissible purpose and multiple beneficiaries. It clarifies the obligations of banks regarding payments to beneficiaries, the rights of depositors and beneficiaries, and the enforceability of creditor processes against banks holding special deposits. Notably, the bill states that neither depositors nor beneficiaries possess a property interest in the special deposit itself, but rather in the right to receive payment from the bank.

Additionally, the bill introduces new sections, including [47.98], which emphasizes the importance of uniformity in the application of the act across jurisdictions, and [47.985], which specifies that the new regulations will apply to special deposits made under account agreements executed on or after August 1, 2025. It allows for existing agreements to transition to the new framework if all parties consent to amendments and the deposits meet the requirements outlined in section 47.92. This approach aims to facilitate a smooth transition to the new legal standards while ensuring consistency in the handling of special deposits across different jurisdictions.