SLS 12RS-603 ORIGINAL
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Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
Regular Session, 2012
SENATE BILL NO. 316
BY SENATOR MARTINY
FINANCIAL INSTITUTIONS. Provides for the use of a power of attorney at a financial
institution. (8/1/12)
AN ACT1
To enact R.S. 6:356, relative to financial institutions; to provide relative to the use of a2
power of attorney for certain bank transactions; to provide for revocation of a power3
of attorney; to provide for definitions; to provide for terms, conditions, and4
procedures; and to provide for related matters.5
Be it enacted by the Legislature of Louisiana:6
Section 1. R.S. 6:356 is hereby enacted to read as follows: 7
ยง356. Powers of Attorney; written notice of revocation8
A.(1) Notwithstanding any provision of law to the contrary, any9
federally insured financial institution that is presented with a power of attorney,10
sufficient to authorize the named agent to transact business in a deposit11
account, with a certificate of deposit, or with other funds on deposit, or12
sufficient to authorize access to a safe deposit box, may rely on the authority13
designated in the power of attorney as being in full force and effect, unless the14
federally insured financial institution receives written notice that the power of15
attorney has been terminated or revoked and the institution has reasonable16
opportunity to act on it.17 SB NO. 316
SLS 12RS-603 ORIGINAL
Page 2 of 2
Coding: Words which are struck through are deletions from existing law;
words in boldface type and underscored are additions.
(2) Written notice shall be deemed to be received upon receipt by an1
officer of the federally insured financial institution.2
(3) For the purposes of this Section, "written notice" shall mean a3
writing addressed to the federally insured financial institution indicating that4
the principal has revoked the authority of the agent, or indicating that one of5
the events of termination as specified in Louisiana Civil Code Article 3024 has6
occurred.7
B. A federally insured financial institution shall not be liable for8
transactions or activity by an agent occurring prior to the receipt of written9
notice and a reasonable opportunity to act on it.10
The original instrument and the following digest, which constitutes no part
of the legislative instrument, were prepared by Michelle Ducharme.
DIGEST
Proposed law provides that notwithstanding any provision of law to the contrary, any
federally insured financial institution that is presented with a power of attorney, sufficient
to authorize the named agent to transact business in a deposit account, with a certificate of
deposit, or with other funds on deposit, or sufficient to authorize access to a safe deposit box,
may rely on the authority designated in the power of attorney as being in full force and effect
unless and until the federally insured financial institution receives written notice that the
power of attorney has been terminated or revoked and the institution has reasonable
opportunity to act on it.
Proposed law provides that receipt of written notice shall be effective upon receipt by an
officer of the federally insured financial institution.
Proposed law defines "written notice" as a writing addressed to the federally insured
financial institution indicating that the principal has revoked the authority of the agent, or
indicating that one of the events of termination as specified in law has occurred.
Proposed law provides that a federally insured financial institution shall not be liable for
transactions or activity by an agent occurring prior to the receipt of written notice and a
reasonable opportunity to act on it.
Effective August 1, 2012.
(Adds R.S. 6:356)