Also known as: accounts payable · account payables · payable account · A/P
Written by attorneys · grounded in primary & secondary sources — see below
A contractual deposit arrangement with a financial institution under which sums on deposit are payable on request to one or more parties during their lifetimes and, upon the death of all parties, to one or more designated beneficiaries.
Anchor Bank opened a savings account for Andre Antoine titled in his name alone. The deposit agreement allowed withdrawals by Andre during his life and named his niece as beneficiary upon his death. After Andre died, the bank paid the balance directly to the niece under the POD terms.
Apollo Energy maintained a checking account at Anchor Bank titled in the names of two officers. The signature card granted each officer independent withdrawal rights with no survivorship language required. Upon one officer's death, the surviving officer retained full access to the balance as a party to the account.
Select any source to read its text and confirm it supports the definition.
Astra Aerospace held an operating account at Anchor Bank reflecting balances owed to suppliers. After a settlement offer in litigation, the company directed payment from the account to resolve the claim without admitting liability.
Alliance Holdings recorded an account payable to a vendor in its regular business ledgers. The entry documented a routine payment obligation arising from daily operations.
The board of Apollo Energy reviewed accounts payable showing loans to shareholders. The directors failed to monitor the growing deficit reflected in those accounts.
An accounting firm examined Astra Aerospace's accounts payable during an audit. The review focused on whether the recorded obligations accurately reflected amounts owed to creditors.
A multiple-party account permits payment on request to two or more parties during their lifetimes. A single-party POD account allows payment only to the named party during life and then to a beneficiary at death.
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No. The definition of a multiple-party account turns solely on whether the account is payable on request to one or more of two or more parties. Survivorship language is not required.
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An account titled in trustee form qualifies as a POD designation when the trustee-beneficiary relationship arises solely from the account terms and the only trust property consists of the sums on deposit.
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Courts examine the terms of the deposit agreement and signature card to confirm that payment rights exist for more than one party. Actual use or funding source does not override the formal terms.
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…those reports are not for the systematic conduct of the enterprise as a railroad business. Unlike payrolls, accounts receivable, accounts payable, bills of lading and the like, these reports are calculated for use essentially in the court, not in the business. Their primary utility is in litigating, not in railroading. It is, of…