The Uniform Gift to Minors Act (UGMA) was created to provide a means by which title to property could be passed to minors by use of a custodian. The nature of property which could be transferred under the UGMA was limited to securities, cash or other personal property. The UGMA directed that the minor child would possess legal ownership at the time of the conveyance, but would not possess the right to liquidate the property until the age of majority set by state law is attained.

The Uniform Transfers to Minors Act (UTMA) was introduced as a successor to the UGMA. The UTMA incorporated the provisions of the UGMA and expanded the nature of property which could be gifted or transferred to minors through custodianship. Under the UTMA, any kind of property, real or personal, tangible or intangible can be transferred to a custodian for the benefit of a minor.

All states in Region IX have repealed the UGMA and adopted the UTMA: Arizona effective 09/30/88, California effective 01/01/85, Hawaii effective 07/01/85, and Nevada effective 07/01/85.

The age of majority for UTMA purposes for each state in Region IX is:

(1)

The effective date for the change in the general age of majority for Arizona is 9/30/88. The prior age of majority was age 18.

(2)

For CA and NV, the age of majority is 18 unless a delayed time is specified in the transfer document(s) with the following words:

CA – “as custodian for (name of minor) until age (age for delivery of property to minor) under the California Uniform Transfer to Minors Act”.

NV – “as custodian for (name of minor) until the minor attains the age of (age for delivery of property to minor) years under Nevada's Uniform Transfer to Minors Act”.

EXAMPLE: Under the California UTMA, a grandparent transferred an irrevocable gift of stocks to a minor grandchild. The full control of the stocks passes to the minor when the minor attains age 18, unless the document specifies a different age up to the attainment of age 21.