§ 6.2-1059. (Effective October 1, 2010) Substitution of subsidiary bank undercommon ownership as fiduciary.
A. Upon obtaining permission to engage in the trust business, a subsidiarybank may file an application in the circuit court of the jurisdiction inwhich its main office is located requesting that it be substituted, except asmay be specified in such application, in every fiduciary capacity for a bankunder common ownership.
B. Upon a finding that (i) the subsidiary bank has been granted suchpermission to engage in the trust business by the Commission or theComptroller of the Currency and (ii) the unimpaired capital and surplus ofsuch subsidiary bank is sufficient as prescribed in § 6.2-1003, or bond withcorporate surety has been posted for any excess, or has been validly waived,the court shall enter an order substituting the subsidiary bank in everyfiduciary capacity for each of the specified banks under common ownership,except as may be otherwise specified in the application.
C. Upon entry of such order, such subsidiary bank shall, without further act,be substituted in every such fiduciary capacity. The substitution shall beevidenced by filing a copy of the order with the clerk of any circuit courtin the Commonwealth. The order shall be indexed in each index in the recordsof such court in which substitutions of fiduciaries are otherwise indexed.The application may be made ex parte and need not list the fiduciarycapacities in which substitution is made. If a bank under common ownershipwith the subsidiary bank shall already have qualified in any fiduciarycapacity and given bond, without surety, then if the order of substitutionshall so provide, which it may provide only if the fiduciary for which thereis to be substitution consents, the predecessor fiduciary shall remain liableon its bond for the acts of its named successor, and no security or corporatesurety shall be required of the successor fiduciary on its bond.
D. Any bond, with corporate surety, posted under this section or under §6.2-1056 may be a blanket bond conditioned as otherwise contemplated by law.
E. Each designation in a will or other instrument heretofore or hereafterexecuted of a bank as fiduciary shall be deemed a designation of thesubsidiary bank under common ownership substituted for such bank pursuant tothis section except when the instrument is executed after such substitutionand expressly negates the application of this section. No waiver of suretywith respect to any fiduciary bond shall be effective except in such casewhen the bond would be otherwise sufficient as contemplated by § 6.2-1056 orthis section. Any grant in such an instrument of any discretionary powershall be deemed conferred upon the fiduciary deemed to have been nominatedhereunder.
F. A bank shall account jointly with the subsidiary bank that has beensubstituted as fiduciary for such bank pursuant to this section for theaccounting period during which the subsidiary bank is initially sosubstituted. Upon substitution pursuant to this section, the bank shalldeliver to the substituted subsidiary bank under common ownership all assetsheld by the bank as fiduciary, except assets held for accounts to which therehas been no substitution. Upon such substitution, all such assets shallbecome the property of the subsidiary bank as fiduciary without the necessityof any instrument of transfer or conveyance.
(1974, c. 286, § 6.1-32.9; 1987, c. 352; 1991, c. 282; 2010, c. 794.)
§ 6.2-1059. (Effective October 1, 2010) Substitution of subsidiary bank undercommon ownership as fiduciary.
A. Upon obtaining permission to engage in the trust business, a subsidiarybank may file an application in the circuit court of the jurisdiction inwhich its main office is located requesting that it be substituted, except asmay be specified in such application, in every fiduciary capacity for a bankunder common ownership.
B. Upon a finding that (i) the subsidiary bank has been granted suchpermission to engage in the trust business by the Commission or theComptroller of the Currency and (ii) the unimpaired capital and surplus ofsuch subsidiary bank is sufficient as prescribed in § 6.2-1003, or bond withcorporate surety has been posted for any excess, or has been validly waived,the court shall enter an order substituting the subsidiary bank in everyfiduciary capacity for each of the specified banks under common ownership,except as may be otherwise specified in the application.
C. Upon entry of such order, such subsidiary bank shall, without further act,be substituted in every such fiduciary capacity. The substitution shall beevidenced by filing a copy of the order with the clerk of any circuit courtin the Commonwealth. The order shall be indexed in each index in the recordsof such court in which substitutions of fiduciaries are otherwise indexed.The application may be made ex parte and need not list the fiduciarycapacities in which substitution is made. If a bank under common ownershipwith the subsidiary bank shall already have qualified in any fiduciarycapacity and given bond, without surety, then if the order of substitutionshall so provide, which it may provide only if the fiduciary for which thereis to be substitution consents, the predecessor fiduciary shall remain liableon its bond for the acts of its named successor, and no security or corporatesurety shall be required of the successor fiduciary on its bond.
D. Any bond, with corporate surety, posted under this section or under §6.2-1056 may be a blanket bond conditioned as otherwise contemplated by law.
E. Each designation in a will or other instrument heretofore or hereafterexecuted of a bank as fiduciary shall be deemed a designation of thesubsidiary bank under common ownership substituted for such bank pursuant tothis section except when the instrument is executed after such substitutionand expressly negates the application of this section. No waiver of suretywith respect to any fiduciary bond shall be effective except in such casewhen the bond would be otherwise sufficient as contemplated by § 6.2-1056 orthis section. Any grant in such an instrument of any discretionary powershall be deemed conferred upon the fiduciary deemed to have been nominatedhereunder.
F. A bank shall account jointly with the subsidiary bank that has beensubstituted as fiduciary for such bank pursuant to this section for theaccounting period during which the subsidiary bank is initially sosubstituted. Upon substitution pursuant to this section, the bank shalldeliver to the substituted subsidiary bank under common ownership all assetsheld by the bank as fiduciary, except assets held for accounts to which therehas been no substitution. Upon such substitution, all such assets shallbecome the property of the subsidiary bank as fiduciary without the necessityof any instrument of transfer or conveyance.
(1974, c. 286, § 6.1-32.9; 1987, c. 352; 1991, c. 282; 2010, c. 794.)
§ 6.2-1059. (Effective October 1, 2010) Substitution of subsidiary bank undercommon ownership as fiduciary.
A. Upon obtaining permission to engage in the trust business, a subsidiarybank may file an application in the circuit court of the jurisdiction inwhich its main office is located requesting that it be substituted, except asmay be specified in such application, in every fiduciary capacity for a bankunder common ownership.
B. Upon a finding that (i) the subsidiary bank has been granted suchpermission to engage in the trust business by the Commission or theComptroller of the Currency and (ii) the unimpaired capital and surplus ofsuch subsidiary bank is sufficient as prescribed in § 6.2-1003, or bond withcorporate surety has been posted for any excess, or has been validly waived,the court shall enter an order substituting the subsidiary bank in everyfiduciary capacity for each of the specified banks under common ownership,except as may be otherwise specified in the application.
C. Upon entry of such order, such subsidiary bank shall, without further act,be substituted in every such fiduciary capacity. The substitution shall beevidenced by filing a copy of the order with the clerk of any circuit courtin the Commonwealth. The order shall be indexed in each index in the recordsof such court in which substitutions of fiduciaries are otherwise indexed.The application may be made ex parte and need not list the fiduciarycapacities in which substitution is made. If a bank under common ownershipwith the subsidiary bank shall already have qualified in any fiduciarycapacity and given bond, without surety, then if the order of substitutionshall so provide, which it may provide only if the fiduciary for which thereis to be substitution consents, the predecessor fiduciary shall remain liableon its bond for the acts of its named successor, and no security or corporatesurety shall be required of the successor fiduciary on its bond.
D. Any bond, with corporate surety, posted under this section or under §6.2-1056 may be a blanket bond conditioned as otherwise contemplated by law.
E. Each designation in a will or other instrument heretofore or hereafterexecuted of a bank as fiduciary shall be deemed a designation of thesubsidiary bank under common ownership substituted for such bank pursuant tothis section except when the instrument is executed after such substitutionand expressly negates the application of this section. No waiver of suretywith respect to any fiduciary bond shall be effective except in such casewhen the bond would be otherwise sufficient as contemplated by § 6.2-1056 orthis section. Any grant in such an instrument of any discretionary powershall be deemed conferred upon the fiduciary deemed to have been nominatedhereunder.
F. A bank shall account jointly with the subsidiary bank that has beensubstituted as fiduciary for such bank pursuant to this section for theaccounting period during which the subsidiary bank is initially sosubstituted. Upon substitution pursuant to this section, the bank shalldeliver to the substituted subsidiary bank under common ownership all assetsheld by the bank as fiduciary, except assets held for accounts to which therehas been no substitution. Upon such substitution, all such assets shallbecome the property of the subsidiary bank as fiduciary without the necessityof any instrument of transfer or conveyance.
(1974, c. 286, § 6.1-32.9; 1987, c. 352; 1991, c. 282; 2010, c. 794.)
