H.F. 87 Section 1. NEW SECTION . 726.11 Financial exploitation of an 1 older individual. 2 1. A person commits financial exploitation of an older 3 individual when the person stands in a position of trust or 4 confidence with the older individual and knowingly and by undue 5 influence, deception, coercion, fraud, breach of fiduciary 6 duty, or extortion, obtains control over or otherwise uses 7 or diverts the benefits, property, resources, belongings, or 8 assets of the older individual. 9 2. A person who commits financial exploitation of an older 10 individual is guilty of the following, as applicable: 11 a. Financial exploitation in the fifth degree which is 12 a simple misdemeanor if the value of the funds, benefits, 13 property, resources, belongings, or assets is two hundred 14 dollars or less. 15 b. Financial exploitation in the fourth degree which is 16 a serious misdemeanor if the value of the funds, benefits, 17 property, resources, belongings, or assets exceeds two hundred 18 dollars but does not exceed five hundred dollars. 19 c. Financial exploitation in the third degree which is an 20 aggravated misdemeanor if the value of the funds, benefits, 21 property, resources, belongings, or assets exceeds five hundred 22 dollars but does not exceed one thousand dollars. 23 d. Financial exploitation in the second degree which is a 24 class “D” felony if the value of the funds, benefits, property, 25 resources, belongings, or assets exceeds one thousand dollars 26 but does not exceed ten thousand dollars. 27 e. Financial exploitation in the first degree which is a 28 class “C” felony if the value of the funds, benefits, property, 29 resources, belongings, or assets exceeds ten thousand dollars. 30 3. Nothing in this section shall be construed to limit other 31 remedies available to the older individual including those 32 provided under chapters 235F and 236. 33 4. A person alleged to have committed a violation under this 34 section shall be charged with the respective offense, unless 35 -1- LSB 1652YH (2) 86 pf/nh 1/ 3

H.F. 87 a charge may be brought based upon a more serious offense, 1 in which case the charge of the more serious offense shall 2 supersede the less serious charge. 3 5. Nothing in this section shall be construed to impose 4 criminal liability on a person who has made a good-faith effort 5 to assist an older individual in the management of the older 6 individual’s benefits, property, resources, belongings, or 7 assets, but through no fault of the person, the person has been 8 unable to provide such assistance. 9 6. It shall not be a defense to financial exploitation of 10 an older individual that the alleged perpetrator did not know 11 the age of the older individual or reasonably believed that the 12 alleged victim was not an older individual. 13 7. For the purposes of this section: 14 a. “Caretaker” means a related or nonrelated person who has 15 the responsibility for the protection, care, or custody of an 16 older individual as a result of assuming the responsibility 17 voluntarily, by contract, through employment, or by order of 18 the court. “Caretaker” does not include a caretaker as defined 19 in section 235E.1. 20 b. “Coercion” means communication or conduct which compels 21 an older individual to act or refrain from acting against the 22 older individual’s will. 23 c. “Fiduciary” means a person or entity with the legal 24 responsibility to make decisions on behalf of and for the 25 benefit of an older individual and to act in good faith and 26 with fairness. “Fiduciary” includes but is not limited to an 27 attorney in fact, a guardian, or a conservator. 28 d. “Older individual” means a person sixty years of age or 29 older. 30 e. “Stands in a position of trust or confidence” means the 31 person has any of the following relationships relative to the 32 older individual: 33 (1) Is a parent, spouse, adult child, or other relative by 34 consanguinity or affinity of the older individual. 35 -2- LSB 1652YH (2) 86 pf/nh 2/ 3

H.F. 87 (2) Is a caretaker for the older individual. 1 (3) Is a person who is in a confidential relationship with 2 the older individual. The determination of the existence of a 3 confidential relationship is an issue of fact to be determined 4 by the court based upon the totality of the circumstances. 5 f. “Undue influence” means taking advantage of a person’s 6 role, relationship, or authority to improperly change or 7 obtain control over the actions or decision making of an older 8 individual against the older individual’s best interests. 9 Sec. 2. CODE EDITOR DIRECTIVES. The Code editor shall 10 revise the title of chapter 726 to read “Protection of the 11 family, dependent persons, residents of health care facilities, 12 and older individuals”. 13 EXPLANATION 14 The inclusion of this explanation does not constitute agreement with 15 the explanation’s substance by the members of the general assembly. 16 This bill establishes the crime of financial exploitation of 17 an older individual. A person commits financial exploitation 18 of an older individual when the person stands in a position of 19 trust or confidence with the older individual and knowingly 20 and by undue influence, deception, coercion, fraud, breach of 21 fiduciary duty, or extortion, obtains control over or otherwise 22 uses the benefits, property, resources, belongings, or assets 23 of the older individual. The criminal penalties range from a 24 simple misdemeanor to a class “C” felony based on the amount 25 of benefits, property, resources, belongings, or assets of the 26 older individual involved. 27 -3- LSB 1652YH (2) 86 pf/nh 3/ 3