NV Senate Bill 314 | NNA
Law

NV Senate Bill 314

Notary Law Update: NV Senate Bill 314

State: Nevada

Summary:

Nevada enacts the Uniform Power of Attorney Act (UPOAA). If a power of attorney is presented for notarization, a Notary will need to know that a signer may sign the power of attorney or may direct another person to sign it for him or her.  The Act doesn’t require a power of attorney to be notarized, but a court will presume the signature to be genuine if it is acknowledged before a Notary or an officer authorized to take acknowledgments. Senate Bill 314 also enacts rules governing health care powers, which are required to be either acknowledged before a Notary or witnessed by two persons who watched the principal sign.

Signed:  October 01, 2009

Effective:  May 11, 2009

Chapter: 64

Affects:

Repeals Sections NRS 111.450, 111.460, 111.470, 449.800-449.860 and adds new yet uncodified Sections to Title 13 of the Nevada Revised Statutes

Changes:
  1. Allows a principal to sign a power of attorney or to direct another person to sign the power of attorney at the direction of the principal and in the principal's conscious presence.
  2. Defines “electronic” and “sign” and permits a power of attorney document to be signed using electronic means.
  3. Defines “acknowledged” to mean purportedly verified before a Notary Public or other individual authorized to take acknowledgements.
  4. Clarifies that the Act applies to all power of attorney documents except (a) a power to the extent it is coupled with an interest in the subject of the power, including a power given to or for the benefit of a creditor in connection with a credit transaction; (b) a power to make health care decisions; (c) a proxy or other delegation to exercise voting rights or management rights with respect to an entity; and  (d) a power created on a form prescribed by a  government or governmental subdivision, agency or instrumentality for a governmental purpose.
  5. Grants a presumption of genuineness to a power of attorney if it is acknowledged before a Notary or other officer authorized to take acknowledgments.
  6. Clarifies that a photocopy or electronically transmitted copy of an original power of attorney has the same effect as the original.
  7. Requires every power of attorney, or other instrument in writing, containing the power to convey any real property, or to execute, as agent or attorney for another, any conveyance whereby any real property is conveyed, or may be affected, must be recorded as other conveyances of real property are. Note: Although the statute does not say this power of attorney must be acknowledged before a Notary, any conveyance of real property must be acknowledged before a Notary to qualify the conveyance to be recorded.
  8. Clarifies that a person may rely upon the presumption of genuineness of a power of attorney if the person in good faith accepts an acknowledged power of attorney without actual knowledge that the signature is not genuine.
  9. Clarifies that a person may rely upon the power of attorney as if the power of attorney were genuine, valid and still in effect, the agent’s authority were genuine, valid and still in effect and the agent had not exceeded and had properly exercised the authority if the person accepts an acknowledged power of attorney without actual knowledge that the power of attorney is void, invalid or terminated, that the purported agent’s authority is void, invalid or terminated or that the agent is exceeding or improperly exercising the agent’s authority.
  10. States the conditions under which a person must accept an acknowledged power of attorney.
  11. Prescribes a statutory power of attorney form.
  12. Enacts rules governing powers of attorney for health care not covered under the Uniform Power of Attorney Act and stipulates that health care powers must be signed by the principal and either acknowledged before a Notary or signed in the presence of two witnesses.
  13. Prescribes a statutory form for health care powers of attorney which contains an acknowledgment certificate if acknowledged before a Notary.
Analysis:

We will be tracking the enactments of the Uniform Power of Attorney Act (UPOAA) as it is introduced in U.S. states across the country. The Uniform Power of Attorney Act is a comprehensive uniform statute that replaces previous laws governing powers of attorney in Nevada. Nevada’s enactment in Senate Bill 314 differs from Maine’s enactment reported earlier in New Law Alert 15-09 in that while both grant an important presumption of genuineness to powers of attorney that have been acknowledged before a Notary, Nevada does not actually require a power of attorney created under the Act to be acknowledged as is the case in Maine.

Notaries should know that if a power is presented for acknowledgment, the principal may direct another person to sign for him or her if the other person signs the power of attorney in the principal's conscious presence.

While health care powers of attorney are not governed under the UPOAA, SB 314 also enacts comprehensive rules for these powers. Under the new law, a health care power must be signed by the principal and either acknowledged before a Notary Public or witnessed by two persons who watched the principal sign.

Read the bill text.

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