House File 2169 - Introduced HOUSE FILE 2169 BY MASCHER and HEDDENS A BILL FOR An Act creating the Iowa uniform power of attorney Act and 1 providing penalties and including applicability provisions. 2 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 3 TLSB 5520HH (3) 85 rh/rj

H.F. 2169 Section 1. Section 144A.7, subsection 1, paragraph a, Code 1 2014, is amended to read as follows: 2 a. The attorney in fact designated to make treatment 3 decisions for the patient should such person be diagnosed as 4 suffering from a terminal condition, if the designation is in 5 writing and complies with chapter 144B or section 633B.1 . 6 Sec. 2. Section 231E.3, subsection 15, Code 2014, is amended 7 to read as follows: 8 15. “Power of attorney” means a durable power of attorney 9 for health care as defined in section 144B.1 or a power of 10 attorney that becomes effective upon the disability of the 11 principal as described in section 633B.1 executed pursuant to 12 chapter 633B . 13 Sec. 3. NEW SECTION . 633B.101 Title. 14 This chapter shall be known and may be cited as the “Iowa 15 Uniform Power of Attorney Act” . 16 Sec. 4. NEW SECTION . 633B.102 Definitions. 17 1. “Agent” means a person granted authority to act for a 18 principal under a power of attorney, whether denominated an 19 agent, attorney in fact, or otherwise. The term includes an 20 original agent, coagent, successor agent, and a person to which 21 an agent’s authority is delegated. 22 2. “Conservator” or “conservatorship” means a conservator 23 appointed or conservatorship established pursuant to sections 24 633.570 and 633.572 or a similar provision of the laws of 25 another state. 26 3. “Durable” , with respect to a power of attorney, means not 27 terminated by the principal’s incapacity. 28 4. “Electronic” means relating to technology having 29 electrical, digital, magnetic, wireless, optical, 30 electromagnetic, or similar capabilities. 31 5. “Good faith” means honesty in fact. 32 6. “Guardian” or “guardianship” means a guardian appointed 33 or a guardianship established pursuant to sections 633.556 and 34 633.560 or a similar provision of the laws of another state. 35 -1- LSB 5520HH (3) 85 rh/rj 1/ 50

H.F. 2169 7. “Incapacity” means the inability of an individual to 1 manage property or business affairs because the individual is 2 any of the following: 3 a. An individual whose decision-making capacity is so 4 impaired that the individual is unable to make, communicate, 5 or carry out important decisions concerning the individual’s 6 financial affairs. 7 b. Missing. 8 c. Detained, including but not limited to an individual 9 incarcerated in a penal system. 10 d. Outside the United States and unable to return. 11 8. “Person” means an individual, corporation, business 12 trust, estate, trust, partnership, limited liability company, 13 association, joint venture, public corporation, government or 14 governmental subdivision, agency, or instrumentality, or any 15 other legal or commercial entity. 16 9. “Power of attorney” means a writing or other record 17 that grants authority to an agent to act in the place of the 18 principal, whether or not the term “power of attorney” is used. 19 10. “Presently exercisable general power of appointment” , 20 with respect to property or a property interest subject to 21 a power of appointment, means power exercisable at the time 22 in question to vest absolute ownership in the principal 23 individually, the principal’s estate, the principal’s 24 creditors, or the creditors of the principal’s estate. The 25 term includes a power of appointment not exercisable until 26 the occurrence of a specified event, the satisfaction of an 27 ascertainable standard, or the passage of a specified period 28 of time only after the occurrence of the specified event, the 29 satisfaction of the ascertainable standard, or the passage of 30 the specified period of time. The term does not include a 31 power exercisable in a fiduciary capacity or only by will. 32 11. “Principal” means an individual who grants authority to 33 an agent in a power of attorney. 34 12. “Property” means anything that may be the subject of 35 -2- LSB 5520HH (3) 85 rh/rj 2/ 50

H.F. 2169 ownership, whether real or personal, or legal or equitable, or 1 any interest or right therein. 2 13. “Record” means information that is inscribed on a 3 tangible medium or that is stored in an electronic or other 4 medium and is retrievable in perceivable form. 5 14. “Sign” means, with present intent to authenticate or 6 adopt a record, to do any of the following: 7 a. Execute or adopt a tangible symbol. 8 b. Attach to or logically associate with the record an 9 electronic sound, symbol, or process. 10 15. “State” means a state of the United States, the District 11 of Columbia, Puerto Rico, the United States Virgin Islands, or 12 any territory or insular possession subject to the jurisdiction 13 of the United States. 14 16. “Stocks and bonds” means stocks, bonds, mutual funds, 15 and all other types of securities and financial instruments, 16 whether held directly, indirectly, or in any other manner. The 17 term does not include commodity futures contracts and call or 18 put options on stocks or stock indexes. 19 Sec. 5. NEW SECTION . 633B.103 Applicability. 20 This chapter applies to all powers of attorney except for the 21 following: 22 1. A power to the extent it is coupled with an interest 23 of the agent in the subject of the power, including but not 24 limited to a power given to or for the benefit of a creditor in 25 connection with a credit transaction. 26 2. A power to make health care decisions. 27 3. A proxy or other delegation to exercise voting rights or 28 management rights with respect to an entity. 29 4. A power created on a form prescribed by a government 30 or governmental subdivision, agency, or instrumentality for a 31 governmental purpose. 32 Sec. 6. NEW SECTION . 633B.104 Durability of power of 33 attorney. 34 A power of attorney created under this chapter is durable 35 -3- LSB 5520HH (3) 85 rh/rj 3/ 50

H.F. 2169 unless the power of attorney expressly provides that it is 1 terminated by the incapacity of the principal. 2 Sec. 7. NEW SECTION . 633B.105 Execution. 3 A power of attorney must be signed by the principal or in 4 the principal’s conscious presence by another individual, other 5 than any prospective agent, directed by the principal to sign 6 the principal’s name on the power of attorney. A power of 7 attorney must be acknowledged before a notary public or other 8 individual authorized by law to take acknowledgments. An 9 agent named in the power of attorney shall not notarize the 10 principal’s signature. An acknowledged signature on a power of 11 attorney is presumed to be genuine. 12 Sec. 8. NEW SECTION . 633B.106 Validity. 13 1. A power of attorney executed in this state on or 14 after July 1, 2014, is valid if the execution of the power of 15 attorney complies with section 633B.105. 16 2. A power of attorney executed in this state before July 17 1, 2014, is valid if the execution of the power of attorney 18 complied with the law of this state as it existed at the time 19 of execution. 20 3. A power of attorney executed other than in this state 21 is valid in this state if, when the power of attorney was 22 executed, the execution complied with any of the following: 23 a. The law of the jurisdiction that determines the meaning 24 and effect of the power of attorney pursuant to section 25 633B.107. 26 b. The requirements for a military power of attorney 27 pursuant to 10 U.S.C. §1044b, as amended. 28 4. Except as otherwise provided by law, a photocopy or 29 electronically transmitted copy of an original power of 30 attorney has the same effect as the original. 31 Sec. 9. NEW SECTION . 633B.107 Meaning and effect. 32 The meaning and effect of a power of attorney is determined 33 by the law of the jurisdiction indicated in the power of 34 attorney and, in the absence of an indication of jurisdiction, 35 -4- LSB 5520HH (3) 85 rh/rj 4/ 50

H.F. 2169 by the law of the jurisdiction in which the power of attorney 1 was executed. 2 Sec. 10. NEW SECTION . 633B.108 Nomination of conservator or 3 guardian —— relation of agent to court-appointed fiduciary. 4 1. Under a power of attorney, a principal may nominate 5 a conservator of the principal’s estate or guardian of 6 the principal’s person for consideration by the court if 7 proceedings for the principal’s estate or person are begun 8 after the principal executes the power of attorney. Except 9 for good cause shown or disqualification, the court shall make 10 its appointment in accordance with the principal's most recent 11 nomination. This section does not prohibit an individual 12 from executing a petition for the voluntary appointment of a 13 guardian or conservator on a standby basis pursuant to sections 14 633.560 and 633.591. 15 2. If, after a principal executes a power of attorney, 16 a court appoints a conservator of the principal’s estate or 17 other fiduciary charged with the management of some or all of 18 the principal’s property, the power of attorney is suspended 19 unless the power of attorney provides otherwise or unless the 20 court appointing the conservator decides the power of attorney 21 should continue. If the power of attorney continues, the agent 22 is accountable to the fiduciary as well as to the principal. 23 The power of attorney shall be reinstated upon termination of 24 the conservatorship as a result of the principal regaining 25 capacity. 26 Sec. 11. NEW SECTION . 633B.109 When power of attorney 27 effective. 28 1. A power of attorney is effective when executed unless 29 the principal provides in the power of attorney that it becomes 30 effective at a future date or upon the occurrence of a future 31 event or contingency. 32 2. If a power of attorney becomes effective upon the 33 occurrence of a future event or contingency, the principal, 34 in the power of attorney, may authorize one or more persons 35 -5- LSB 5520HH (3) 85 rh/rj 5/ 50

H.F. 2169 to determine in a writing or other record that the event or 1 contingency has occurred. 2 3. If a power of attorney becomes effective upon the 3 principal’s incapacity and the principal has not authorized 4 a person to determine whether the principal is incapacitated 5 or the person authorized is unable or unwilling to make the 6 determination, the power of attorney becomes effective upon a 7 determination in a writing or other record by the occurrence 8 of any of the following: 9 a. A licensed physician or licensed psychologist determines 10 that the principal is incapacitated. 11 b. A licensed attorney at law, a judge, or an appropriate 12 governmental official determines that the principal is 13 incapacitated. 14 4. A person authorized by the principal in the power of 15 attorney to determine that the principal is incapacitated may 16 act as the principal’s personal representative pursuant to the 17 federal Health Insurance Portability and Accountability Act of 18 1996, Pub. L. No. 104-191, including amendments thereto and 19 regulations promulgated thereunder, to obtain access to the 20 principal’s health care information and to communicate with the 21 principal’s health care provider. 22 Sec. 12. NEW SECTION . 633B.110 Termination —— power of 23 attorney or agent authority. 24 1. A power of attorney terminates when any of the following 25 occur: 26 a. The principal dies. 27 b. The principal becomes incapacitated, if the power of 28 attorney is not durable. 29 c. The principal revokes the power of attorney. 30 d. The power of attorney provides that it terminates. 31 e. The purpose of the power of attorney is accomplished. 32 f. The principal revokes the agent’s authority or the agent 33 dies, becomes incapacitated, or resigns, and the power of 34 attorney does not provide for another agent to act under the 35 -6- LSB 5520HH (3) 85 rh/rj 6/ 50

H.F. 2169 power of attorney. 1 2. An agent’s authority terminates when any of the following 2 occur: 3 a. The principal revokes the authority. 4 b. The agent dies, becomes incapacitated, or resigns. 5 c. An action is filed for the dissolution or annulment 6 of the agent’s marriage to the principal or for their legal 7 separation, unless the power of attorney otherwise provides. 8 d. The power of attorney terminates. 9 3. Unless the power of attorney otherwise provides, an 10 agent’s authority is exercisable until the agent’s authority 11 terminates under subsection 2, notwithstanding a lapse of time 12 since the execution of the power of attorney. 13 4. Termination of a power of attorney or an agent’s 14 authority under this section is not effective as to the 15 agent or another person that, without actual knowledge of the 16 termination, acts in good faith under the power of attorney. 17 An act so performed, unless otherwise invalid or unenforceable, 18 binds the principal and the principal’s successors in interest. 19 5. Incapacity of the principal of a power of attorney 20 that is not durable does not revoke or terminate the power of 21 attorney as to an agent or other person that, without actual 22 knowledge of the incapacity, acts in good faith under the power 23 of attorney. An act so performed, unless otherwise invalid 24 or unenforceable, binds the principal and the principal’s 25 successors in interest. 26 6. Except as provided in section 633B.103, the execution of 27 a general or plenary power of attorney revokes all general or 28 plenary powers of attorney previously executed in this state by 29 the principal, but does not revoke a power of attorney limited 30 to a specific and identifiable action or transaction, which 31 action or transaction is still capable of performance but has 32 not yet been fully accomplished by the agent. 33 Sec. 13. NEW SECTION . 633B.111 Coagents and successor 34 agents. 35 -7- LSB 5520HH (3) 85 rh/rj 7/ 50

H.F. 2169 1. A principal may designate two or more persons to act as 1 coagents. Unless the power of attorney otherwise provides, all 2 of the following apply to actions of coagents: 3 a. A power held by coagents shall be exercised by majority 4 action. 5 b. If impasse occurs due to the failure to reach a majority 6 decision, any agent may petition the court to decide the issue, 7 or a majority of the agents may consent to an alternative form 8 of dispute resolution. 9 c. If one or more agents resigns or becomes unable to act, 10 the remaining coagents may act. 11 d. If a coagent is unavailable to perform duties because of 12 absence, illness, or other temporary inability to perform, the 13 remaining agents may exercise their authority as if they were 14 the only agents. 15 2. A principal may designate one or more successor agents 16 to act if an agent resigns, dies, becomes incapacitated, is 17 not qualified to serve, or declines to serve. A principal may 18 grant authority to designate one or more successor agents to an 19 agent or other person designated by name, office, or function. 20 Unless the power of attorney otherwise provides, a successor 21 agent: 22 a. Has the same authority as that granted to the original 23 agent. 24 b. Shall not act until all predecessor agents have resigned, 25 died, become incapacitated, are no longer qualified to serve, 26 or have declined to serve. 27 3. Except as otherwise provided in the power of attorney 28 and subsection 4, an agent that does not participate in or 29 conceal a breach of fiduciary duty committed by another agent, 30 including a predecessor agent, is not liable for the actions 31 of the other agent. 32 4. An agent with actual knowledge of a breach or imminent 33 breach of fiduciary duty by another agent shall notify the 34 principal and, if the principal is incapacitated, take any 35 -8- LSB 5520HH (3) 85 rh/rj 8/ 50

H.F. 2169 action reasonably appropriate in the circumstances to safeguard 1 the principal’s best interest. An agent that fails to notify 2 the principal or take action as required by this subsection is 3 liable for the reasonably foreseeable damages that could have 4 been avoided if the agent had notified the principal or taken 5 such action. 6 Sec. 14. NEW SECTION . 633B.112 Reimbursement and 7 compensation of agent. 8 Unless the power of attorney otherwise provides, an 9 agent who is an individual is entitled to reimbursement of 10 expenses reasonably incurred on behalf of the principal but 11 not to compensation. If a power of attorney does provide 12 for compensation or if the agent is a bank or trust company 13 authorized to administer trusts in Iowa, the compensation must 14 be reasonable under the circumstances. 15 Sec. 15. NEW SECTION . 633B.113 Agent’s acceptance. 16 Except as otherwise provided in the power of attorney, 17 a person accepts appointment as an agent under a power of 18 attorney by exercising authority or performing duties as 19 an agent or by any other assertion or conduct indicating 20 acceptance. 21 Sec. 16. NEW SECTION . 633B.114 Agent’s duties. 22 1. Notwithstanding provisions in the power of attorney, an 23 agent that has accepted appointment shall act in conformity 24 with all of the following: 25 a. In accordance with the principal’s reasonable 26 expectations to the extent actually known by the agent and 27 otherwise in the principal’s best interest. 28 b. In good faith. 29 c. Only within the scope of authority granted in the power 30 of attorney. 31 2. Except as otherwise provided in the power of attorney, 32 an agent that has accepted appointment shall do all of the 33 following: 34 a. Act loyally for the principal’s benefit. 35 -9- LSB 5520HH (3) 85 rh/rj 9/ 50

H.F. 2169 b. Act so as not to create a conflict of interest that 1 impairs the agent’s ability to act impartially in the 2 principal’s best interest. 3 c. Act with the care, competence, and diligence ordinarily 4 exercised by agents in similar circumstances. 5 d. Keep a record of all receipts, disbursements, and 6 transactions made on behalf of the principal. 7 e. Cooperate with a person that has authority to make health 8 care decisions for the principal to carry out the principal’s 9 reasonable expectations to the extent actually known by the 10 agent and, otherwise, act in the principal’s best interest. 11 f. Attempt to preserve the principal’s estate plan, to the 12 extent actually known by the agent, if preserving the plan is 13 consistent with the principal’s best interest based upon all 14 relevant factors, including all of the following: 15 (1) The value and nature of the principal’s property. 16 (2) The principal’s foreseeable obligations and need for 17 maintenance. 18 (3) Minimization of the principal’s taxes, including 19 income, estate, inheritance, generation-skipping transfer, and 20 gift taxes. 21 (4) The principal’s eligibility for a benefit, a program, or 22 assistance under a statute or regulation or contract. 23 3. An agent that acts in good faith is not liable to any 24 beneficiary under the principal’s estate plan for failure to 25 preserve the plan. 26 4. An agent that acts with care, competence, and diligence 27 for the best interest of the principal is not liable solely 28 because the agent also benefits from the act or has an 29 individual or conflicting interest in relation to the property 30 or affairs of the principal. 31 5. If an agent is selected by the principal because of 32 special skills or expertise possessed by the agent or in 33 reliance on the agent’s representation that the agent has 34 special skills or expertise, the special skills or expertise 35 -10- LSB 5520HH (3) 85 rh/rj 10/ 50

H.F. 2169 shall be considered in determining whether the agent has acted 1 with care, competence, and diligence under the circumstances. 2 6. Absent a breach of duty to the principal, an agent is not 3 liable if the value of the principal’s property declines. 4 7. An agent that exercises authority to delegate to another 5 person the authority granted by the principal or that engages 6 another person on behalf of the principal is not liable for an 7 act, error of judgment, or default of that person if the agent 8 exercises care, competence, and diligence in selecting and 9 monitoring the person. 10 8. Except as otherwise provided in the power of attorney, 11 an agent is not required to disclose receipts, disbursements, 12 or transactions conducted on behalf of the principal unless 13 ordered by a court or requested by the principal, a guardian, 14 a conservator, another fiduciary acting for the principal, a 15 governmental agency having authority to protect the welfare 16 of the principal, or, upon the death of the principal, by the 17 personal representative or a successor in interest of the 18 principal’s estate. If an agent receives a request to disclose 19 such information, the agent shall comply with the request 20 within thirty days of the request or provide a writing or other 21 record substantiating why additional time is necessary. Such 22 additional time shall not exceed thirty days. 23 Sec. 17. NEW SECTION . 633B.115 Exoneration of agent. 24 A provision in a power of attorney relieving an agent of 25 liability for breach of duty is binding on the principal and 26 the principal’s successors in interest except to the extent the 27 provision does any of the following: 28 1. Relieves the agent of liability for a breach of duty 29 committed dishonestly, with an improper motive, or with 30 reckless indifference to the purposes of the power of attorney 31 or the best interest of the principal. 32 2. Was included in the power of attorney as a result of 33 an abuse of a confidential or fiduciary relationship with the 34 principal. 35 -11- LSB 5520HH (3) 85 rh/rj 11/ 50

H.F. 2169 Sec. 18. NEW SECTION . 633B.116 Judicial relief. 1 1. The following persons may petition a court to construe a 2 power of attorney or to review an agent’s conduct: 3 a. The principal or the agent. 4 b. A guardian, conservator, or other fiduciary acting for 5 the principal. 6 c. A person authorized to make health care decisions for the 7 principal. 8 d. The principal’s spouse, parent, or descendant or an 9 individual who would qualify as a presumptive heir of the 10 principal. 11 e. A person named as a beneficiary to receive any property, 12 benefit, or contractual right upon the principal’s death or as 13 a beneficiary of a trust created by or for the principal that 14 has a financial interest in the principal’s estate. 15 f. A governmental agency having regulatory authority to 16 protect the welfare of the principal. 17 g. The principal’s caregiver or another person that 18 demonstrates sufficient interest in the principal’s welfare. 19 h. A person asked to accept the power of attorney. 20 i. A person designated by the principal in the power of 21 attorney. 22 2. Upon motion to dismiss by the principal, the court shall 23 dismiss a petition filed under this section unless the court 24 finds that the principal lacks the capacity to revoke the 25 agent’s authority or the power of attorney. 26 3. The costs of an action under this section shall be 27 assessed against the principal or the principal’s estate unless 28 the court determines such costs and fees should be assessed 29 against the petitioner or the agent for good cause shown. 30 Sec. 19. NEW SECTION . 633B.117 Agent’s liability. 31 An agent that violates this chapter is liable to the 32 principal or the principal’s successors in interest for the 33 amount required to do both of the following: 34 1. Restore the value of the principal’s property to what it 35 -12- LSB 5520HH (3) 85 rh/rj 12/ 50

H.F. 2169 would have been had the violation not occurred. 1 2. Reimburse the principal or the principal’s successors 2 in interest for attorney fees and costs paid on the agent’s 3 behalf. 4 Sec. 20. NEW SECTION . 633B.118 Agent’s resignation —— 5 notice. 6 Unless the power of attorney provides for a different method 7 for an agent’s resignation, an agent may resign by giving 8 notice to the principal and, if the principal is incapacitated, 9 to any of the following: 10 1. The conservator or guardian, if a conservator or guardian 11 has been appointed for the principal, and any coagent or 12 successor agent. 13 2. If there is no conservator, guardian, or coagent or 14 successor agent, the agent may give notice to any of the 15 following: 16 a. The principal’s caregiver. 17 b. Any other person reasonably believed by the agent to have 18 sufficient interest in the principal’s welfare. 19 c. A governmental agency having regulatory authority to 20 protect the welfare of the principal. 21 Sec. 21. NEW SECTION . 633B.119 Acknowledged power of 22 attorney —— acceptance and reliance. 23 1. For purposes of this section and section 633B.120, 24 “acknowledged” means purportedly verified before a notary public 25 or other individual authorized by law to take acknowledgments. 26 2. A person that in good faith accepts an acknowledged power 27 of attorney without actual knowledge that the signature is not 28 genuine may rely upon the presumption under section 633B.105 29 that the signature is genuine. 30 3. A person that in good faith accepts an acknowledged power 31 of attorney without actual knowledge that the power of attorney 32 is void, invalid, or terminated, that the purported agent’s 33 authority is void, invalid, or terminated, or that the agent is 34 exceeding or improperly exercising the agent’s authority may 35 -13- LSB 5520HH (3) 85 rh/rj 13/ 50

H.F. 2169 rely upon the power of attorney as if the power of attorney 1 were genuine, valid, and still in effect, the agent’s authority 2 were genuine, valid, and still in effect, and the agent had not 3 exceeded and had not improperly exercised the authority. 4 4. A person that is asked to accept an acknowledged power 5 of attorney may request, and rely upon, all of the following 6 without further investigation: 7 a. An agent’s certification under penalty of perjury of any 8 factual matter concerning the principal, agent, or power of 9 attorney in substantially the same form as set out in section 10 633B.302. 11 b. An English translation of the power of attorney if the 12 power of attorney contains, in whole or in part, language other 13 than English. 14 c. An opinion of agent’s counsel as to any matter of law 15 concerning the power of attorney if the person making the 16 request provides the reason for the request in a writing or 17 other record. 18 5. An English translation or an opinion of counsel requested 19 under this section shall be provided at the principal’s expense 20 unless the request is made more than seven business days after 21 the power of attorney is presented for acceptance. 22 6. For purposes of this section and section 633B.120, a 23 person who conducts activities through an employee is without 24 actual knowledge of a fact relating to a power of attorney, 25 a principal, or an agent if the employee conducting the 26 transaction involving the power of attorney is without actual 27 knowledge of the fact. 28 Sec. 22. NEW SECTION . 633B.120 Refusal to accept 29 acknowledged power of attorney —— liability. 30 1. Except as otherwise provided in subsection 2, all of 31 the following shall apply to a person’s actions regarding an 32 acknowledged power of attorney: 33 a. A person shall either accept an acknowledged power of 34 attorney or request a certification, a translation, or an 35 -14- LSB 5520HH (3) 85 rh/rj 14/ 50

H.F. 2169 opinion of counsel under section 633B.119, subsection 4, no 1 later than seven business days after presentation of the power 2 of attorney for acceptance. 3 b. If a person requests a certification, a translation, or 4 an opinion of counsel under section 633B.119, subsection 4, the 5 person shall accept the power of attorney no later than five 6 business days after receipt of the certification, translation, 7 or opinion of counsel. 8 c. A person shall not require an additional or different 9 form of power of attorney for authority granted in the power 10 of attorney presented. 11 2. A person is not required to accept an acknowledged power 12 of attorney if any of the following occur: 13 a. The person is not otherwise required to engage in a 14 transaction with the principal in the same circumstances. 15 b. Engaging in a transaction with the agent or the principal 16 in the same circumstances would be inconsistent with federal 17 law. 18 c. The person has actual knowledge of the termination of the 19 agent’s authority or of the power of attorney before exercise 20 of the power. 21 d. A request for a certification, a translation, or an 22 opinion of counsel under section 633B.119, subsection 4, is 23 refused. 24 e. The person in good faith believes that the power is 25 not valid or that the agent does not have the authority to 26 perform the act requested, whether or not a certification, a 27 translation, or an opinion of counsel under section 633B.119, 28 subsection 4, has been requested or provided. 29 f. The person makes, or has actual knowledge that another 30 person has made, a report to the department of human services 31 stating a good-faith belief that the principal may be subject 32 to physical or financial abuse, neglect, exploitation, or 33 abandonment by the agent or a person acting for or with the 34 agent. 35 -15- LSB 5520HH (3) 85 rh/rj 15/ 50

H.F. 2169 3. A person that refuses to accept an acknowledged power of 1 attorney in violation of this section is subject to both of the 2 following: 3 a. A court order mandating acceptance of the power of 4 attorney. 5 b. Liability for damages sustained by the principal for 6 reasonable attorney fees and costs incurred in any action or 7 proceeding that confirms the validity of the power of attorney 8 or mandates acceptance of the power of attorney, provided that 9 any such action must be brought within one year of the initial 10 request for acceptance of the power of attorney. 11 Sec. 23. NEW SECTION . 633B.121 Principles of law and 12 equity. 13 Unless displaced by a provision of this chapter, the 14 principles of law and equity supplement this chapter. 15 Sec. 24. NEW SECTION . 633B.122 Laws applicable to financial 16 institutions and entities. 17 This chapter does not supersede any other law applicable to 18 financial institutions or other entities, and the other law 19 controls if inconsistent with this chapter. 20 Sec. 25. NEW SECTION . 633B.123 Remedies under other law. 21 The remedies under this chapter are not exclusive and do not 22 abrogate any right or remedy under the law of this state other 23 than this chapter. 24 Sec. 26. NEW SECTION . 633B.201 Authority —— specific and 25 general. 26 1. An agent under a power of attorney may do any of the 27 following on behalf of the principal or with the principal’s 28 property only if the power of attorney expressly grants the 29 agent the authority and the exercise of the authority is not 30 otherwise prohibited by another agreement or instrument to 31 which the authority or property is subject: 32 a. Create, amend, revoke, or terminate an inter vivos trust. 33 b. Make a gift. 34 c. Create or change rights of survivorship. 35 -16- LSB 5520HH (3) 85 rh/rj 16/ 50

H.F. 2169 d. Create or change a beneficiary designation. 1 e. Delegate authority granted under the power of attorney. 2 f. Waive the principal’s right to be a beneficiary of a 3 joint and survivor annuity, including but not limited to a 4 survivor benefit under a retirement plan. 5 g. Exercise fiduciary powers that the principal has 6 authority to delegate. 7 h. Disclaim property, including but not limited to a power 8 of appointment. 9 2. Notwithstanding a grant of authority to do an act 10 described in subsection 1, unless the power of attorney 11 otherwise provides, an agent that is not an ancestor, spouse, 12 or descendant of the principal shall not exercise authority 13 under a power of attorney to create in the agent, or in an 14 individual to whom the agent owes a legal obligation of 15 support, an interest in the principal’s property, whether 16 by gift, right of survivorship, beneficiary designation, 17 disclaimer, or otherwise. 18 3. Subject to subsections 1, 2, 4, and 5, if a power 19 of attorney grants an agent authority to do all acts that 20 a principal could do, the agent has the general authority 21 described in sections 633B.204 through 633B.216. 22 4. Unless the power of attorney otherwise provides, a grant 23 of authority to make a gift is subject to section 633B.217. 24 5. Subject to subsections 1, 2, and 4, if the subjects over 25 which authority is granted in a power of attorney are similar 26 or overlap, the broadest authority controls. 27 6. Authority granted in a power of attorney is exercisable 28 with respect to property that the principal has when the power 29 of attorney is executed or acquires later, whether or not 30 the property is located in this state and whether or not the 31 authority is exercised or the power of attorney is executed in 32 this state. 33 7. An act performed by an agent pursuant to a power of 34 attorney has the same effect and inures to the benefit of and 35 -17- LSB 5520HH (3) 85 rh/rj 17/ 50

H.F. 2169 binds the principal and the principal’s successors in interest 1 as if the principal had performed the act. 2 Sec. 27. NEW SECTION . 633B.202 Incorporation of authority. 3 1. An agent has authority described in this chapter if the 4 power of attorney refers to general authority with respect 5 to the descriptive term for the subjects stated in sections 6 633B.204 through 633B.217 or cites the section in which the 7 authority is described. 8 2. A reference in a power of attorney to general authority 9 with respect to the descriptive term for a subject stated in 10 sections 633B.204 through 633B.217 or a citation to a section 11 in sections 633B.204 through 633B.217 incorporates the entire 12 section as if it were set out in full in the power of attorney. 13 3. A principal may modify authority incorporated by 14 reference. 15 Sec. 28. NEW SECTION . 633B.203 Construction of authority 16 generally. 17 Except as otherwise provided in the power of attorney, by 18 executing a power of attorney that incorporates by reference a 19 subject described in sections 633B.204 through 633B.217 or that 20 grants an agent authority to do all acts that a principal could 21 do pursuant to section 633B.201, subsection 3, a principal 22 authorizes the agent, with respect to that subject, to do all 23 of the following: 24 1. Demand, receive, and obtain by litigation or otherwise, 25 money or another thing of value to which the principal is, 26 may become, or claims to be entitled, and conserve, invest, 27 disburse, or use anything so received or obtained for the 28 purposes intended. 29 2. Contract in any manner with any person, on terms 30 agreeable to the agent, to accomplish a purpose of a 31 transaction and perform, rescind, cancel, terminate, reform, 32 restate, release, or modify the contract or another contract 33 made by or on behalf of the principal. 34 3. Execute, acknowledge, seal, deliver, file, or record 35 -18- LSB 5520HH (3) 85 rh/rj 18/ 50

H.F. 2169 any instrument or communication the agent considers desirable 1 to accomplish a purpose of a transaction, including but not 2 limited to creating at any time a schedule listing some or all 3 of the principal’s property and attaching the instrument of 4 communication to the power of attorney. 5 4. Initiate, participate in, submit to alternative dispute 6 resolution, settle, oppose, or propose or accept a compromise 7 with respect to a claim existing in favor of or against the 8 principal or intervene in litigation relating to the claim. 9 5. Seek on the principal’s behalf the assistance of a court 10 or other governmental agency to carry out an act authorized in 11 the power of attorney. 12 6. Engage, compensate, and discharge an attorney, 13 accountant, discretionary investment manager, expert witness, 14 or other advisor. 15 7. Prepare, execute, and file a record, report, or other 16 document to safeguard or promote the principal’s interest under 17 a statute, rule, or regulation. 18 8. Communicate with any representative or employee 19 of a government or governmental subdivision, agency, or 20 instrumentality, on behalf of the principal. 21 9. Access communications intended for, and communicate 22 on behalf of the principal, whether by mail, electronic 23 transmission, telephone, or other means. 24 10. Do any lawful act with respect to the subject and all 25 property related to the subject. 26 Sec. 29. NEW SECTION . 633B.204 Real property. 27 Unless the power of attorney otherwise provides and subject 28 to section 633B.201, language in a power of attorney granting 29 general authority with respect to real property authorizes the 30 agent to do all of the following: 31 1. Demand, buy, lease, receive, accept as a gift or as 32 security for an extension of credit, or otherwise acquire or 33 reject an interest in real property or a right incident to real 34 property. 35 -19- LSB 5520HH (3) 85 rh/rj 19/ 50