Prohibited Acts, Conflicts of Interest, and Disqualifying Interest
This domain tests prohibited acts and conflicts that disqualify a notary.
Disqualifying interest
A notary may not perform a notarial act for a record in which the notary is a signer, has a direct financial or beneficial interest, or is named as a party, agent, attorney, or beneficiary. Kentucky ethics rules also treat close family relationships as conflicts; the safe practice is to decline and refer the signer to an independent notary. A fee for the notarial act alone does not create a prohibited interest, but a commission or profit from the transaction can.
Other prohibitions
Do not notarize your own signature; do not notarize a document you drafted for another person if doing so creates a conflict; do not certify copies of public records; do not give legal advice; do not use the seal after expiration; do not delegate the act; do not backdate; do not notarize without appearance.
Worked example
A notary is a real estate agent representing the seller. The buyer asks her to notarize the buyer's closing affidavit. Because the notary earns a commission if the sale closes, she has a direct financial interest in the transaction and must decline, even though the buyer is the signer. Another notary should perform the act.
Traps
- Believing “no fee” eliminates a financial conflict.
- Notarizing a spouse's or parent's document without checking the conflict rule.
- Acting as both signer and notary on a business document.
- Using the seal to authenticate a copy of a public record.