Updated 11-13-23. Some states directly address unusual professional conflict of interest situations for Notaries in their statutes. Here are a few notable examples. More information on conflict of interest laws in other states is available at the NNA’s State Law Summaries page.
California
California law states that a Notary who has a direct financial or beneficial interest in a transaction may not perform any notarial act in connection with that transaction (GC 8224). The statute also states that a Notary has a direct financial or beneficial interest in a financial transaction if the Notary is named as a principal to the transaction, and with respect to real property, is named, individually, as a grantor, grantee, mortgagor, mortgagee, trustor, trustee, beneficiary, vendor, vendee, lessor, or lessee, to the transaction.
California law provides an exception to these provisions for Notaries who also act as agents, employees, insurers, attorneys, escrow officers or lenders on behalf of a person with a financial or beneficial interest in a document (GC 8224).
Florida
Florida Notaries may not notarize a signature on a document if the Notary Public has a financial interest in or is a party to the underlying transaction. A Florida Notary Public may not notarize a signature on a document if the person whose signature is to be notarized is the spouse, son, daughter, mother, or father of the Notary (FS 117.107[11]). However, Florida Notaries are permitted to officiate a marriage ceremony for persons related by blood or marriage to the Notary (Attorney General Opinion, 91-70 (1991)).
Notaries may notarize signatures for their employer without being disqualified, provided that the Notary receives no benefits other than their salary and the statutory notarization fee (FS 117.107[12]).
Florida Notaries who are attorneys may notarize a signature of a client as long as the attorney has no interest in the document other than the fee paid by the client for legal services and the statutory Notary fee (FS 117.107[12]).
Illinois
Illinois Notaries may not notarize any document in which the Notary is named as a party to the transaction (5 ILCS 312/6-104[b] and state Notary Public Handbook). However, Notaries are permitted to notarize the signatures of their spouses, children or other relatives (Notary Public Handbook).
Kansas
Kansas Notaries may not notarize if the Notary is a party to the record being notarized or has a direct financial or beneficial interest in the record (KSA 53-5a25[b]). Notaries are also prohibited from notarizing a record if the Notary’s spouse is a party to the record or has a direct financial or beneficial interest in the record (KSA 53-5a25[b]).
A Kansas Notary is not considered to have a direct financial or beneficial interest in a transaction when the notarial officer acts in the capacity of an agent, employee, insurer, attorney, escrow agent or lender for a person having a direct financial or beneficial interest in the transaction (KSA 53-5a25[d]).
Maine
According to the Maine Notary Public Handbook and Resource Guide, A Notary must not act in any official capacity if there is any interest which may affect the Notary’s impartiality. A Notary Public is a ‘party to the instrument’ in any transaction if the completion of the transaction will directly benefit the Notary Public, whether financially or in any other way.
Maine Notaries are prohibited from notarizing if the signer is the Notary’s spouse, domestic partner, parent, sibling or child or an in-law or a step or half relative of the Notary (4 MRSA 1904.3.A). However Maine Notaries may perform a marriage ceremony for the Notary’s parent, sibling, child, spouse’s parent, spouse’s sibling or spouse’s child” (4 MRSA 1904.3.C).
Maine has Notary conflict of interest restrictions when notarizing election nomination petitions. Notaries may not notarize or certify a petition if the Notary was employed or compensated by a petition organization for any purpose other than notarial acts; if the Notary is providing services, receiving compensation for non-notarial services or assisting a ballot question committee or when the Notary is serving as a treasurer, principal officer, primary fundraiser or primary decision maker to a ballot question committee (21-A MRSA 903-D.1).
Minnesota
Minnesota Notaries may not notarize their own signatures for an acknowledgment, signature witnessing or verification on oath or affirmation (MS 359.085, Subd. 7) or if the Notary will profit or benefit from the document (Minnesota Secretary of State’s Notary Commission Guide).
A health care agent or alternative agent appointed in a health care power of attorney document may not notarize a principal’s signature on the health care directive that includes the health care power of attorney naming the agent or alternative agent (MS 145C.03 Subd. 3[a]).
An employee of a healthcare organization providing care to a patient may notarize the patient’s signature on a healthcare directive (MS 145C.03, Subd. 3[b]).
Minnesota Statutes 358.54, Subd. 2 states a Notary may not perform a notarial act with respect to a record to which the officer’s spouse is a party, in which either of them has a direct interest.
Nebraska
A Nebraska Notary Public is disqualified from performing a notarization if the Notary is a spouse, ancestor, descendant, or sibling of the principal, including in-law, step, or half relatives. In addition, a Notary is disqualified if the Notary “has a financial or beneficial interest in the transaction other than receipt of the ordinary notarial fee or is individually named as a party to the transaction” (RSN 64-105.01[1] and [2]).
State law permits exceptions to disqualifying interest rules in the following situations:
• An attorney; an employer or associate of the attorney; or a stockholder, officer or employee of a professional law corporation authorized to practice law and who is a Notary may notarize for the professional activities of that attorney or corporation (RSN 64-211[1]).
• A real estate broker or salesperson, or an employee or associate of the broker who is a Notary, may notarize for clients (RSN 64-211[2]).
• An employee, member, shareholder, appointive officer, elective officer, agent or director of an insurance company or credit union who is a Notary may notarize for the company, association or credit union (RSN 64-212 and 64-213).
• A stockholder, officer, employee, agent or director of a bank who is a Notary may notarize for the bank stockholders, officers, employees, agents and directors (RSN 64-214).
• An employee, shareholder, director, agent or elected or appointed officer of a savings and loan association or industrial loan and investment company who is a Notary may notarize for the association’s employees, shareholders, directors, agents, or elected or appointed officers (RSN 64-215).
New Mexico
New Mexico Notaries may not notarize if the Notary is a party to or has a direct financial or beneficial interest in the record, or if the Notary’s spouse or domestic partner is a party to or has a direct financial or beneficial interest in the record (NMSA 14-14A-3.B).
Ohio
Ohio Notaries may not notarize a document they have signed or notarize a document in which they have a conflict of interest. “Conflict of interest” means having a direct financial or other interest in the document, or being named, individually, or as a grantor, grantee, mortgagor, mortgagee, trustor, trustee, beneficiary, vendor, lessor, or lessee, or as a party in some other capacity to the transaction (ORC 147.141[A] and [C]).
Ohio law does not expressly prohibit a Notary from notarizing for a spouse or family member, however, Ohio Revised Code 147.141 states a Notary may not perform a notarial act if the Notary has a conflict of interest with regard to the transaction. A conflict of interest means the Notary has a direct financial or other interest in the transaction or the Notary is named as a party in some capacity to the transaction. (Frequently Asked Questions, Ohio Secretary of State’s website).
Pennsylvania
Pennsylvania Notaries may not perform a notarial act for a document in which the Notary or the Notary’s spouse has a direct or pecuniary interest (57 Pa.C.S. 304[a][1]).
Notaries may not take an acknowledgment on a power of attorney if the Notary is named as an agent in the power of attorney document or serves as a witness to the signing of the document. (20 Pa.C.S. 5601[b][3]).
According to 57 Pa.C.S. 305(a)(2), a Notary does not have a direct or pecuniary interest in the following circumstances:
- When the Notary is an officer, director or employee of a company that is a party to a notarized transaction and notarizes for a transaction involving the company, unless the Notary personally benefits from the transaction.
- When the Notary receives a fee a fee that is not contingent on the completion of the notarized transaction.
- When the Notary is a shareholder in a publicly traded company and notarizes when the company is named as a party to the notarized transaction.
Texas
The Texas Secretary of State’s website advises Notaries not to notarize if the Notary is a party to a document or would benefit in some way from the transaction. The Texas Administrative Code, however, states it is “cause” for the Secretary of State to reject a commission application, revoke the commission of a Notary or take other disciplinary action against a Notary when the Notary notarizes their own signature (1 TAC 87.31[26). However, the state does not have a specific prohibition against notarizing for relatives.
A Notary is not disqualified from performing a notarization if the Notary is an employee of a corporation and takes an acknowledgment or proof of a written document in which the employee’s corporation has an interest. Similarly, a Notary is not disqualified from notarizing corporate documents unless the corporation has 1,000 or fewer shareholders and the Notary owns more than one-tenth of one percent of the corporation’s issued and outstanding stock (Civil Practices and Remedies Code 121.002). Texas Notaries are not disqualified from notarizing solely on the basis of the Notary owning stock in certain trust institutions that are an interested party in the transaction (Texas Finance Code 199.002).
David Thun is the Assistant Managing Editor at the National Notary Association.
Related Articles:
Avoiding conflicts of interest in the workplace
Galloway v. Cinello: The price of conflict of interest