TX House Bill 1974 | NNA
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TX House Bill 1974

Notary Law Update: TX House Bill 1974

State: Texas

Summary:

House Bill 1974 modifies the law concerning durable powers of attorney by enacting provisions from the Uniform Power of Attorney Act (UPOAA).

Signed:  June 15, 2017

Effective:  September 01, 2017

Chapter: TBD

Affects:

Adds new sections to and amends existing sections of Chatper 751 and 752 of the Estates Code.

Changes:
  1. Allows a power of attorney to be signed by the adult principal or in the adult principal's conscious presence by another adult directed by the principal to sign. 
  2. Requires the principal to acknowledge his or her signature before a Notary or other officer authorized to take acknowledgments or administer oaths, or the adult directed by the principal to sign to make the acknowledgment to the notarial officer. 
  3. Grants a presumption of genuineness to the signature on a power of attorney if the notarial officer taking the acknowledgment complied with the requirements of section 121.004 (b) of the Civil Practices and Remedies Code. 
  4. States that the requirements for a power of attorney apply to all powers except: (1) a power of attorney to the extent it is coupled with an interest in the subject of the power, including a power of attorney given to or for the benefit of a creditor in connection with a credit transaction; (2) a medical power of attorney, as defined by Section 166.002 , Health and Safety Code; (3) a proxy or other delegation to exercise voting rights or management rights with respect to an entity; or (4) a power of attorney created on a form prescribed by a government or governmental subdivision, agency, or instrumentality for a governmental purpose. 
Analysis:

Texas adopts provisions from the Uniform Power of Attorney Act published by the Uniform Law Commission. The Act requires a power of attorney to be acknowledged before a Notary Public, and grants a presumption of genuineness to any power of attorney that is acknowledged in compliance with Civil Practices and Remedies Code Section 121.004(b). Notaries should take note that the Act also permits a power of attorney to be signed by another person in the principal’s conscious presence if the person is directed to sign by the principal and signs in front of the Notary. Texas' enactment permits a power of attorney to be an electronic record, and presumably, electronically signed and notarized.

Read the bill text.

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