Old Man Rip You Off?

The Michigan Court of appeals recently upheld the right of children to sue their father where he pulled money out of accounts established for their benefit. The accounts (commonly called “UGMA” accounts because of their legislative name, “Uniform Gift or Transfer to Minor) are commonly set up as savings for college or other expenses. A parent is named as the account holder and has access to the funds because of this.
In the case before the court, father pulled money out of the accounts after a bitter divorce fight. A lower court found that because father was the holder of the account there had not been a wrongful withdrawal and told the kids, in effect, “tough luck.”
The Court of Appeals reversed, holding that the intent of the accounts was to benefit the children and that the money father withdrew was used to benefit him alone. It was a rip off.
If you have UGMA accounts or are the beneficiary of such an account and have questions about it, give one of our lawyers a call and we will be pleased to answer your questions.

Cunningham Dalman, PC publishes this web site and its component parts to inform users about our firm, our attorneys and general new developments in the law. The web site and blogs are not intended as legal advice on any matter. There are many factors that may affect your situation. You should not act or refrain from acting because of information found here without first seeking appropriate legal or other professional advice from someone who is familiar with your particular circumstances.

In the operation of this web site and our blogs, we do not intend to create an attorney-client relationship with you and no such relationship shall be created by your use of this web site. Such a relationship can only be established to the extent an attorney at Cunningham Dalman, PC expressly agrees to undertake the relationship. Please do not communicate to us any information you regard as confidential unless and until we have established a formal attorney-client relationship with you. Any information you send to us before we establish an attorney client relationship may not be privileged or confidential. Information you send to us over the Internet may not be secure.