§ 15-14-720 — Liability for refusal to accept acknowledged power of attorney

(1) Except as otherwise provided in subsection (2) of this section:

(a) A person shall either accept an acknowledged power of attorney or
request a certification, a translation, or an opinion of counsel under section 15-14-719 (4) no later than seven business days after presentation of the power of
attorney for acceptance.

(b) If a person requests a certification, a translation, or an opinion of counsel
under section 15-14-719 (4), the person shall accept the power of attorney no later
than five business days after receipt of the certification, translation, or opinion of
counsel.

(c) A person may not require an additional or different form of power of
attorney for authority granted in the power of attorney presented.

(2) A person is not required to accept an acknowledged power of attorney if:

(a) The person is not otherwise required to engage in a transaction with the
principal in the same circumstances, including, without limitation, the
circumstances set forth in paragraphs (a.3) and (a.5) of this subsection (2);

(a.3) The agent seeks to establish a customer relationship under the power
of attorney and the principal is not currently a customer;

(a.5) The agent seeks services under the power of attorney that the person
does not offer;

(b) Engaging in a transaction with the agent or the principal in the same
circumstances or acceptance of the power of attorney in the same circumstances
would be inconsistent with any federal or state law, rule, or regulation other than as
set forth in this part 7;

(c) The person has actual knowledge of the termination of the agent's
authority or of the power of attorney before exercise of the power;

(d) A request for a certification, a translation, or an opinion of counsel under
section 15-14-719 (4) is refused;

(e) The person in good faith believes that the power is not valid or that the
agent does not have the authority to perform the act requested, whether or not a
certification, a translation, or an opinion of counsel under section 15-14-719 (4) has
been requested or provided;

(f) The person makes, or has actual knowledge that another person has
made, a report to a governmental agency having authority to protect the welfare of
the principal stating a good faith belief that the principal may be subject to physical
or financial abuse, neglect, exploitation, or abandonment by the agent or a person
acting for or with the agent; or

(f.5) The person has an apprehension, formed in good faith, that the agent or
person acting for or with the agent has acted or is acting, in any capacity, either
unlawfully or not in good faith in dealing with the person and the person is
investigating in good faith to determine whether the person may, based on the
results of the investigation, form a good faith belief that the principal may be
subject to financial abuse, neglect, exploitation, or abandonment by the agent or a
person acting for or with the agent.

(3) A person that refuses in violation of this section to accept an
acknowledged power of attorney is subject to:

(a) A court order mandating acceptance of the power of attorney; and

(b) Liability for reasonable attorney's fees and costs incurred in any action or
proceeding that confirms the validity of the power of attorney or mandates
acceptance of the power of attorney.

Legislative History

Source: L. 2009: Entire part added, (HB 09-1198), ch. 106, p. 394, � 1, effective April 9. L. 2011: (2)(f) amended, (SB 11-083), ch. 101, p. 311, � 22, effective August 10.