[Code of Federal Regulations]
[Title 31, Volume 2]
[Revised as of July 1, 2007]
From the U.S. Government Printing Office via GPO Access
[CITE: 31CFR306.65]

[Page 173-175]
 
                  TITLE 31--MONEY AND FINANCE: TREASURY
 
         CHAPTER II--FISCAL SERVICE, DEPARTMENT OF THE TREASURY
 
PART 306_GENERAL REGULATIONS GOVERNING U.S. SECURITIES--Table of Contents
 
      Subpart H_Assignments in Behalf of Estates of Deceased Owners
 
Sec.  306.65  Decedent's estate.


    (a) Estate is being administered. (1) A legal representative of a 
deceased owner's estate may request payment of matured securities to the 
estate, or may assign securities to or for the benefit of the persons 
entitled.
    (2) Appropriate proof of appointment for the legal representative of 
the estate is required. Letters of appointment must be dated not more 
than one year prior to the date of submission of the letters of 
appointment.
    (b) Estate has been settled previously. If the estate has been 
settled previously through judicial proceedings, the persons entitled 
may request payment of matured securities, or may request assignment of 
unmatured securities. A certified copy of the court-approved final 
accounting for the estate, the court's decree of distribution, or other 
appropriate evidence is required.
    (c) Special provisions under the law of the jurisdiction of the 
decedent's domicile. If there is no formal or regular administration and 
no representative of the

[[Page 174]]

estate is to be appointed, the person appointed to receive or distribute 
the assets of a decedent's estate without regular administration under 
summary or small estates procedures under applicable local law may 
request payment of matured securities, or may request assignment of the 
securities. Appropriate evidence is required.
    (d) When administration is required. If the total redemption value 
of the Treasury securities and undelivered payments, if any, held 
directly on our records that are the property of the decedent's estate 
is greater than $100,000, administration of the decedent's estate will 
be required. The redemption value of savings bonds and the principal 
amount of marketable securities will be used to determine the value of 
securities, and will be determined as of the date of death. 
Administration may also be required at the discretion of the Department 
for any case.
    (e) Voluntary representative for small estates that are not being 
otherwise administered--(1) General. A voluntary representative is a 
person qualified according to paragraph (e)(3) of this section, to 
request payment of a decedent's matured securities or to make an 
assignment of a decedent's unmatured securities. The voluntary 
representative procedures are for the convenience of the Department; 
entitlement to the decedent's securities and held payments, if any, is 
determined by the law of the jurisdiction in which the decedent was 
domiciled at the date of death. Voluntary representative procedures may 
be used only if:
    (i) There has been no administration, no administration is 
contemplated, and no summary or small estate procedures under applicable 
local law have been used;
    (ii) The total redemption value of the Treasury securities and held 
payments, if any, held directly on our records that are the property of 
the decedent's estate is $100,000 or less as of the date of death; and
    (iii) There is a person eligible to serve as the voluntary 
representative according to paragraph (e)(3) of this section.
    (2) Authority of voluntary representative. A voluntary 
representative may:
    (i) Request payment of the decedent's matured securities on behalf 
of the persons entitled by the law of the jurisdiction in which the 
decedent was domiciled at the date of death;
    (ii) Assign the decedent's securities to the persons entitled by the 
law of the jurisdiction in which the decedent was domiciled at the date 
of death.
    (3) Order of precedence for voluntary representative. An individual 
eighteen years of age or older may act as a voluntary representative 
according to the following order of precedence: a surviving spouse; if 
there is no surviving spouse, then a child of the decedent; if there are 
none of the above, then a descendant of a deceased child of the 
decedent; if there are none of the above, then a parent of the decedent; 
if there are none of the above, then a brother or sister of the 
decedent; if there are none of the above, then a descendant of a 
deceased brother or sister of the decedent; if there are none of the 
above, then a next of kin of the decedent, as determined by the law of 
the jurisdiction in which the decedent was domiciled at the date of 
death. As used in this order of precedence, child means a natural or 
adopted child of the decedent.
    (4) Liability. By serving, the voluntary representative warrants 
that the distribution of payments or securities is to or on behalf of 
the persons entitled by the law of the jurisdiction in which the 
decedent was domiciled at the date of death. The United States is not 
liable to any person for the improper distribution of payments or 
securities. Upon payment or assignment of the securities at the request 
of the voluntary representative, the United States is released to the 
same extent as if it had paid or delivered to a representative of the 
estate appointed pursuant to the law of the jurisdiction in which the 
decedent was domiciled at the date of death. The voluntary 
representative shall indemnify and hold harmless the United States and 
all creditors and persons entitled to the estate of the decedent. The 
amount of the indemnification is limited to an amount no greater than 
the value received by the voluntary representative.

[[Page 175]]

    (f) Creditor. If there has been no administration, no administration 
is contemplated, no summary or small estate procedures under applicable 
local law have been used, and there is no person eligible to serve as a 
voluntary representative pursuant to paragraph (e) of this section, then 
a creditor may make a claim for the amount of the debt, providing the 
debt has not been barred by applicable local law. The claim may only be 
satisfied by the proceeds of matured securities.

[70 FR 57429, Sept. 30, 2005]