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MI Senate Bill 92

Legislation

State: Michigan
Signed: May 22, 2012

Effective: May 22, 2012
Chapter: Public Act No. 141

Summary

Senate Bill 92 provides that certain durable powers of attorney may be signed by the principal or by a Notary at the principal’s direction and either witnessed by two witnesses or acknowledged before a Notary.

Affects

Amends Section 700.5501 of the Michigan Compiled Laws.

Changes
  1. Authorizes a durable power of attorney to be dated and signed voluntarily by the principal or signed by a Notary Public on the principal’s behalf pursuant to MCL 55.293.
  2. Requires a durable power of attorney to be: (a) signed in the presence of 2 witnesses, neither of whom is the attorney-in-fact, and both of whom also sign the durable power of attorney, and/or (b) acknowledged by the principal before a Notary, who endorses on the durable power of attorney a certificate of that acknowledgment and the true date of taking the acknowledgment.
  3. Clarifies that certain powers of attorney do not apply to the above mentioned signing procedures: (a) A durable power of attorney executed before October 1, 2012. (b) A delegation under section 5103 or a similar power of attorney created by a parent or guardian regarding the care, custody, or property of a minor child or ward. (c) A patient advocate designation or a similar power of attorney relating to the principal’s health care. (d) A durable power of attorney that is coupled with an interest in the subject matter of the power. (e) A durable power of attorney that is contained in or is part of a loan agreement, security agreement, pledge agreement, escrow agreement, or other similar transaction. (f) A durable power of attorney in connection with a transaction with a joint venture, limited liability company, partnership, limited partnership, limited liability partnership, corporation, condominium, condominium association, condominium trust, or similar entity, including, without limitation, a voting agreement, voting trust, joint venture agreement, royalty agreement, license agreement, proxy, shareholder’s agreement, operating agreement, partnership agreement, management agreement, subscription agreement, certification of incorporation, bylaws, or other agreement that primarily relates to such an entity. (g) A power of attorney given primarily for a business or a commercial purpose. (h) A power of attorney created on a form prescribed by a government or a governmental subdivision, agency, or instrumentality for a governmental purpose.
Analysis

In recent months, several states have been modifying their statutes concerning powers of attorney by enacting provisions of the Uniform Power of Attorney Act adopted by the Uniform Law Commission. Michigan is the latest to do so. Most notably, the bill provides that a Notary may sign a power of attorney for a principal at the principal’s direction following the procedures in MCL 55.293. MCL 55.293 authorizes a Notary to sign the name of a person whose physical characteristics limit his or her capacity to sign or make a mark on a record under all of the following conditions:  (a) The Notary is orally, verbally, physically, or through electronic or mechanical means provided by the person and directed by that person to sign that person’s name; (b) the person is in the physical presence of the Notary; and (c) the Notary writes beneath the signature: “Signature affixed pursuant to section 33 of the Michigan Notary Public Act.”

Read Senate Bill 92.

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