Renewal Pending, Old Stamp Still in Use
Karen's Indiana notary commission expired on March 1. She applied for renewal in February, paid the fee, and filed a new $25,000 surety bond, but the Secretary of State has not yet issued her new commission. Her old stamp shows 'Notary Public, State of Indiana, Karen L. Mills, Commission No. 123456, Expires March 1.' On March 20, a neighbor asks Karen to notarize a power of attorney for the neighbor's elderly father, who is present and has a valid state ID. Karen uses her old stamp because the new one has not arrived. She writes the March 20 date on the certificate and signs. The neighbor later presents the POA to a bank, which questions the notarization because the stamp's expiration date is before the notarization date.
1. Did Karen have authority to notarize on March 20? Explain the effect of an expired commission.
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No. Karen's authority ended when her commission expired on March 1. Filing a renewal application and a new bond does not extend the old commission; authority begins only when the new commission is issued and effective. A notarial act performed on March 20 was therefore outside her authority. The power of attorney is defective because the notarization was performed by a person who was not a commissioned notary on that date. The bank is right to question it. Karen should not backdate the certificate to February, alter the stamp, or argue that the pending renewal makes it valid. The signer should appear before a currently commissioned notary and have the POA re-notarized.
2. What defects appear on the certificate and seal, and what should Karen have done?
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The obvious defect is that the stamp shows an expiration date before the notarization date. That is not a minor typo; it proves the notary lacked authority on the date of the act. The commission number on the stamp is also the old one. Karen should have waited for the new commission and a new seal showing the current commission number and expiration date. She also should not have used the old stamp while the renewal was pending. If she had not yet received the new stamp, she could not lawfully perform the act. The fix is a new notarization by an authorized notary, not a correction by Karen.
3. What should the bank do when the POA is presented?
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The bank should reject the POA as presented and ask for re-notarization. A relying party is entitled to rely on a facially valid certificate, but this certificate is facially invalid because the notary's commission expired before the act. The bank should not accept a verbal explanation that Karen renewed later. If the principal is available, a new acknowledgment before a properly commissioned notary is the clean solution. If the principal is unavailable, the bank should follow its own procedures for defective notarizations and may require legal review. Karen should also check whether her new commission has issued and, once it has, use only the new seal.