If Father and Child 1 are joint owners on an account and Child 2 is subsequently appointed conservator over the estate and person of their father, does the conservator have rule over the account now and the joint owner relationship of Child 1 is void? Would Child 2, the conservator, "have to" change the account styling on the certificate of deposit? I'm thinking the conservator would now control the account for the benefit of her father but don't know if correct.

I see state statutes affecting this. Start there, if you foresee a problem between child 1 and child 2 contat your legal counsel (I'd probably do so anyway so I'd know how to handle this scenario in the future).

Although I agree with the suggestion that you check state law, if the account started as a true joint account, father and child_1, the appointment of child_2 as conservator for father doesn't change anything. Child_2 merely assumes the authority of father, who loses his. Ownership of the account remains in father and child_1. But signatories on the account are child_1, and child_2 as conservator.

Ordinarily, this means that child_2 can negate child_1's ownership only by closing the account, or by written agreement with child_1.

So do I understand correctly that Child_2 could close the account and open a new one with father, owner, child_2, conservator??

That is my understanding. In the normal joint account relationship, each owner (in this case, father (represented by child 2, and child 1) has the right to all of the funds in the account and may close it.

I also believe that in most states, child 2, who is conservator, could open a new account in his father's name, with child 2 as the sole signer. But he ordinarily cannot make that account joint with himself.

Is it true that the conservator could leave the joint account as is--in the name of father or child 1? One question comes to mind...what happens if child 1 closes the account? Are these normally closed and reopened. If they choose to leave child 1 on account would you style the account as father or child 1, owners, child 2, conservator. Thanks for the reply.

In reply to:

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Is it true that the conservator could leave the joint account as is--in the name of father or child 1? One question comes to mind...what happens if child 1 closes the account? Are these normally closed and reopened. If they choose to leave child 1 on account would you style the account as father or child 1, owners, child 2, conservator.

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1. Yes, the account could remain joint between father and child 1.
2. If child 1 closes the account, child 1 closes the account. One of the risks of a joint account is that one joint owner will take the money. KYC in this case means Know Your Co-Owner. Of course, father (through conservator) could enter a claim, but it would be against child 1, not the bank.
3. It's not unusual to have an account closed and reopened to remove a joint signer when a conservator comes on the scene. It's also not unusual to leave things as they are. It depends a lot on who the players are and what legal counsel they might be receiving.
4. I'd style the account "Father or Child 1" and annotate our books to show Child 2's conservatorship over Father.

I agree with John, except that the word "or" in the title of the account likely has no legal significance in your state. It has no legal significance in Texas.