1. Subject to subsections 2 and 3, a person not subject to section 565B.5 or 565B.6 who holds property of, or owes a liquidated debt to, a minor not having a conservator, may make an irrevocable transfer to a custodian for the benefit of the minor pursuant to section 565B.9.
2. If a person having the right to do so under section 565B.3 has nominated a custodian under that section to receive the custodial property, the transfer must be made to that person.
3. If a custodian has not been nominated under section 565B.3, or all persons so nominated as custodian die before the transfer or are unable, decline, or are ineligible to serve, a transfer under this section may be made to an adult member of the minor’s family or to a trust company unless the property exceeds twenty-five thousand dollars in value.
4. A person making a distribution under this section is relieved of all accountability with respect to the property once the property has been distributed.
5. This section does not apply to any amounts due a minor for services rendered by the minor.
86 Acts, ch 1035, §7; 87 Acts, ch 87, §2; 2005 Acts, ch 14, §5