The proposed bill introduces the Uniform Special Deposits Act into the Code of West Virginia, establishing a structured framework for special deposits held by banks. It defines key terms such as "account agreement," "bank," "beneficiary," and "special deposit," and outlines the requirements for creating a special deposit, which must benefit at least two beneficiaries. The bill details the conditions under which banks are obligated to pay beneficiaries, the rights of depositors and beneficiaries, and the enforceability of creditor processes against banks. It also prohibits banks from recouping or setting off against special deposits and clarifies the duties and liabilities of banks, including the conditions for terminating a special deposit.

Key provisions include a stipulation that a special deposit will terminate five years after it is funded unless specified otherwise in the account agreement. If a bank cannot identify or locate a beneficiary at the time of termination, it must pay the remaining balance to the depositor(s) as beneficiaries, relieving the bank of further obligations. The bill emphasizes the importance of uniformity in the application of these regulations across jurisdictions and includes transitional provisions for special deposits made under both new and prior agreements, provided all parties consent to amend the agreements to comply with the new regulations.

Statutes affected:
Introduced Version: 31A-9-1, 31A-9-2, 31A-9-3, 31A-9-4, 31A-9-5, 31A-9-6, 31A-9-7, 31A-9-8, 31A-9-9, 31A-9-10, 31A-9-11, 31A-9-12, 31A-9-13, 31A-9-14, 31A-9-15, 31A-9-16