Transfer on Death Deed

Law & Legal
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I have read previous posts regarding this subject. I am still unsure as to what I should do. I live in TX and have mineral rights in Oklahoma. Should I use Oklahoma forms for transfer? I imagine it would be filed in Oklahoma. What about transferring this to a minor; is that possible?

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2

This is not legal advice, but you should use Oklahoma forms if the minerals are in Oklahoma. And yes, you can convey to a minor. You need to name a Custodian (can be anyone) and show the transfer as a Uniform Gift to Minors Act. A good lawyer can help you get what you need to accomplish your wishes.

3

You would use the Oklahoma transfer on death deed. It would be filed in the county where the minerals are located. These can be tricky, for instance:

  • The Oklahoma statute does not provide for contingent beneficiaries

  • If two or more beneficiaries are listed and predecease the owner, the remainder beneficiary or beneficiaries receive the deceased beneficiary’s share

  • The beneficiary must file an acceptance affidavit along with an official death certificate within 9 months of death, otherwise the property reverts to the decedent’s estate. (

  • If a Will conflicts with the TOD, then the TOD prevails.

  • A few other tidbits to consider.

If an individual has a trust, it is usually better to use that vehicle as it avoids many of the problems outlined above.

This post is not legal, investment or tax advice, it is for discussion purposes only. Reading or responding to this post does not create an attorney-client relationship.

4

I appreciate you guys responding! Thank you!

5

What type of interest is being transferred will govern the instrument utilized. Intentionally transferring interest to a minor is a very stupid idea and generally implies fraud!

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Fraud? How can it imply fraud?

7

A minor can own real estate. For example, a parent dies while the child is a minor and thus inherits. This is basically what happens with a transfer on death deed. If the child is a minor, he/she can still be a beneficiary of a TODD. I don’t see how this could be fraud. However, there are legitimate concerns about whether the child can timely file an acceptance of the TODD within 9 months after death or to be able to manage the property. That is why a trust or mineral trust might be a better solution because an adult trustee can hold/manage the property for the child until the kid hits a mature age. In my book that is usually 25.

This post is not legal, investment or tax advice, it is for discussion purposes only. Reading or responding to this post does not create an attorney-client relationship.

8

You are correct, bur the original question did not mention any death or probate, only a transfer. And most that I have encountered without the inclusion of a Trust, Guardianship and/or Conservatorship and not associated with death or some form of legal proceedings requiring distribution did not give the appearance of marketable title.

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