Contending that they were the lawful surviving joint tenant owners of Holland's Dougherty account and that the unauthorized bond sale did not defeat their ownership interest, appellants claimed entitlement to the sums in the account that Holland had in joint tenancy with the Baumgartners when she died. The district court ruled that appellants had no ownership interest in any of Holland's accounts at her death. Appellants contend that the ruling is reversible error. On appeal from a summary judgment, this court must determine whether a genuine issue of material fact exists and whether an error in the application of the law occurred. The dispositive question is whether appellants had received an irrevocable survivorship interest in Holland's investment account so as to entitle them to the proceeds of that account upon Holland's death.
Appellants posit such interest on theories of gift, trust and equity.
When a person deposits money in a brokerage investment account for the purchase of stocks and bonds and provides that others, who contribute no funds, are to be joint tenants with the depositor, a question arises as to the nature and extent of the ownership interests, if any, of the noncontributing joint tenants. Such interests must be based on contract, trust or gift. Id. Appellants do not contend that they gave consideration for an interest in the Holland account or that Holland created an express trust for them. Thus, if appellants acquired any ownership interest in the account, it was based on a inter vivos gift, and the issue must be analyzed under the law of gifts. Appellants argue that their interests should be determined, at least in part, by an application of federal and state securities laws.