two questions - 1) how do you make the check payable? i believe you must indicate it is an inherited IRA
2) must the plan inform the accepting custodian that the beneficiary has 5 years to receive the money? (5 year rule applies here)

The account must be titled "xxx xxxxx as beneficiary of yyy yyyy." How to make the check payable is up to the receiving custodian, typically payable to the investment company with some reference to the account holder.

I think the payout requirements are up to the account holder (beneficiary). If they tell the new custodian how the money is to be paid out (over life or within 5 years) I imagine the custodian will help them to comply, but I don't think the distributing plan has any specific duty to provide such info.

The tech correctons bill introduced in the Senate will require all plans to allow non spouse rollovers to an inherited IRA.

Just curious, mjb, but how, exactly, is your response even remotely related to the issue being discussed?

Perhaps that was almost a thread hijacking? It's good info even if it is. Currently, under PPA 2006, I think plans may adopt the non-spousal beneficiary rollover provisions, it is not required yet the way I read it.