## Facts

- A bank issued a $20,000 certificate of deposit (CD) payable to “Timmy S. Holloway, Jr. by Rountree Crisp, Sr., Agent” while Holloway was a minor.
- Crisp retained possession of the CD; it was discovered after Crisp’s death in his safe-deposit box.
- Holloway and his mother were unaware of the CD’s existence until after it was found; Holloway never received the CD during Crisp’s lifetime.
- Acting as administratrices of Crisp’s estate, Holloway’s mother and grandmother endorsed the CD, and the bank paid the proceeds to the estate.
- After reaching majority, Holloway sued the bank for the CD proceeds and interest, alleging the CD was a completed inter vivos gift to him.
- The trial court granted summary judgment to the bank, concluding the CD did not satisfy the elements of an inter vivos gift and the funds belonged to the estate.

## Issues

1. Whether a CD payable to a minor “by [decedent], Agent” constituted a completed inter vivos gift to the minor.
2. Whether any statutory provisions governing certificates of deposit altered the common-law gift requirements or required the bank to pay the minor despite payment to the estate.

## Decision

- The appellate court affirmed summary judgment for the bank.
- The “Agent” designation indicated an agency relationship and a retained right of control inconsistent with an immediate, irrevocable gift.
- Because the CD was not delivered (actually or constructively) and the purported donee lacked knowledge, the required elements of delivery and acceptance were not met.
- Upon Crisp’s death, the agency terminated and the funds became part of Crisp’s estate.
- Statutes specific to certificates of deposit did not apply to change the result or impose payment obligations to Holloway under these facts.

## Legal Principles

- An inter vivos gift requires donative intent to make an immediate, irrevocable transfer, plus delivery and acceptance.
- Instrument language indicating the donor’s continued control (including “by [X], Agent”) may negate the intent element of an inter vivos gift.
- Where the purported donee has no knowledge of the property and receives no delivery, acceptance and delivery elements fail.
- An agency relationship terminates upon the principal’s death; property held under the agency is treated as part of the principal’s estate absent a completed transfer.
- Certificate-of-deposit statutes do not displace common-law gift requirements unless they directly address the transaction at issue.

## Conclusion

The court held that the CD’s “Agent” wording and lack of delivery or acceptance prevented any inter vivos gift; the bank properly treated the proceeds as estate property after the depositor’s death.


Holloway v. Wachovia Bank & Tr. Co., 104 N.C. App. 631, 410 S.E.2d 915 (1991)