The Bonus and the Bill of Sale
Priya is a commissioned Oklahoma notary and office manager at a heavy-equipment dealer. Her quarterly bonus is calculated on total equipment sales. Her boss, Dale, asks her to notarize a bill of sale transferring a used forklift to a buyer. Dale signs as seller in front of Priya. Priya’s name is not on the bill of sale, and she is not a party. However, the sale pushes the dealership over a bonus threshold, and Priya expects a $1,500 bonus if it closes. Dale says the buyer’s bank needs the notarization today and no other notary is available. Priya’s commission, bond, and seal are current. The bill of sale has a blank line for the purchase price, which Dale says the buyer will fill in later after financing. Priya is also the notary who usually handles company documents.
1. Does Priya have a prohibited interest in the bill of sale? Analyze whether she may notarize.
Read the worked answer
Priya should decline. Oklahoma prohibits a notary from performing a notarial act in which the notary is a party or has a direct beneficial interest. Priya is not named on the bill of sale, but her $1,500 bonus depends on the sale closing. That is a direct financial stake in the transaction, not a remote or incidental interest. Her role as Dale’s employee also creates pressure to please him. A notary must be impartial, and the appearance of bias is enough to disqualify her. The fact that no other notary is available does not cure the conflict.
2. What is the significance of the blank purchase price line?
Read the worked answer
The blank price is a serious red flag. A notary should not notarize a document with material blanks that someone else may fill in later. If Priya notarizes now, she is acknowledging an incomplete instrument, and the buyer could later insert terms Dale never reviewed. The signer should complete the price before any notarization, and Dale should review the final document. Priya should not fill in the price herself, because that would be practicing law or altering the instrument.
3. What should Priya do, and what should she avoid?
Read the worked answer
She should decline and refer Dale to an independent notary or mobile notary. She should not use her company seal just because the bank wants same-day service. She should not witness or sign the bill of sale in another role to help the deal close. If the purchase price remains blank, no notary should proceed. If Priya’s bonus interest were later removed and the document were complete, she still should consider using another notary to avoid the appearance of pressure. Documenting the refusal in her own records is prudent.