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§5-914. Agent's duties


Published: 2015

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§5-914. Agent's duties








(a). 
 
Notwithstanding provisions in the power of attorney, an agent that has accepted appointment
shall:





(1). Act in accordance with the principal's reasonable expectations to the extent actually
known by the agent and otherwise act as a fiduciary under the standards of care applicable
to trustees as described under Title 18-B, sections 802 to 807 and Title 18-B, chapter
9; [2009, c. 292, §2 (NEW); 2009, c. 292, §6 (AFF).]











(2). Act in good faith; and [2009, c. 292, §2 (NEW); 2009, c. 292, §6 (AFF).]











(3). Act only within the scope of authority granted in the power of attorney. [2009, c. 292, §2 (NEW); 2009, c. 292, §6 (AFF).]








[
2009, c. 292, §2 (NEW);
2009, c. 292, §6 (AFF)
.]








(b). 
 
Except as otherwise provided in the power of attorney, an agent that has accepted
appointment shall:





(1). Act loyally for the principal's benefit; [2009, c. 292, §2 (NEW); 2009, c. 292, §6 (AFF).]











(2). Act so as not to create a conflict of interest that impairs the agent's ability to
act impartially; [2009, c. 292, §2 (NEW); 2009, c. 292, §6 (AFF).]











(3). Act with the care, competence and diligence ordinarily exercised by agents in similar
circumstances; [2009, c. 292, §2 (NEW); 2009, c. 292, §6 (AFF).]











(4). Keep a record of all receipts, disbursements and transactions made on behalf of the
principal; [2009, c. 292, §2 (NEW); 2009, c. 292, §6 (AFF).]











(5). Cooperate with a person that has authority to make health care decisions for the principal
to carry out such decisions; and [2009, c. 292, §2 (NEW); 2009, c. 292, §6 (AFF).]











(6). Attempt to preserve the principal's estate plan, to the extent actually known by the
agent, based on all relevant factors, including:



(i) The value and nature of the principal's property;



(ii) The principal's foreseeable obligations and need for maintenance;



(iii) Minimization of taxes, including income, estate, inheritance, generation-skipping
transfer and gift taxes; and




(iv) Eligibility for a benefit, a program or assistance under a statute, rule or
regulation. [2009, c. 292, §2 (NEW); 2009, c. 292, §6 (AFF).]









[
2009, c. 292, §2 (NEW);
2009, c. 292, §6 (AFF)
.]








(c). 
 
An agent that acts in good faith is not liable to any beneficiary of the principal's
estate plan for failure to preserve the plan.


[
2009, c. 292, §2 (NEW);
2009, c. 292, §6 (AFF)
.]








(d). 
 
An agent that acts with care, competence and diligence for the sole interest of the
principal is not liable solely because the agent also benefits from the act or has
an individual or conflicting interest in relation to the property or affairs of the
principal.


[
2009, c. 292, §2 (NEW);
2009, c. 292, §6 (AFF)
.]








(e). 
 
If an agent is selected by the principal because of special skills or expertise possessed
by the agent or in reliance on the agent's representation that the agent has special
skills or expertise, the special skills or expertise must be considered in determining
whether the agent has acted with care, competence and diligence under the circumstances.


[
2009, c. 292, §2 (NEW);
2009, c. 292, §6 (AFF)
.]








(f). 
 
Absent a breach of duty to the principal, an agent is not liable if the value of the
principal's property declines.


[
2009, c. 292, §2 (NEW);
2009, c. 292, §6 (AFF)
.]








(g). 
 
An agent that exercises authority to delegate to another person the authority granted
by the principal or that engages another person on behalf of the principal is not
liable for an act, error of judgment or default of that person if the agent exercises
care, competence and diligence in selecting and monitoring the person.


[
2009, c. 292, §2 (NEW);
2009, c. 292, §6 (AFF)
.]








(h). 
 
Except as otherwise provided in the power of attorney, an agent is not required to
disclose receipts, disbursements or transactions conducted on behalf of the principal
unless ordered by a court or requested by the principal, a guardian, a conservator,
another fiduciary acting for the principal, a governmental agency having authority
to protect the welfare of the principal or, upon the death of the principal, by the
personal representative or successor in interest of the principal's estate. If so
requested, within 30 days the agent shall comply with the request or provide a writing
or other record substantiating why additional time is needed and shall comply with
the request within an additional 30 days.


[
2009, c. 292, §2 (NEW);
2009, c. 292, §6 (AFF)
.]





SECTION HISTORY

2009, c. 292, §2 (NEW).
2009, c. 292, §6 (AFF).