On May 22, ILL LEG passed bill on honoring power of attorney forms.
ILL LEG passed Bill SB 3421 regarding honoring of power of attorney (POA) forms.
Amended ILL Power of Attorney Act, durable powers of attorney, ILL LEG 755-45/2-8.
Bill Provisions
Made it unlawful for third party to unreasonably refuse to honor statutory short form POA properly executed in accordance with laws in effect at time of its execution.
It is unreasonable for 3rd party to refuse to honor statutory short form POA if only reason for refusal is POA is not on form required by terms of account agreement.
Between account holder and third party if there is lapse of time since POA execution.
On the face of statutory short form POA, there is lapse of time between date of acknowledgment of signature of principal and the date of the acceptance by the agent.
If document doesn't bear original signature, witness, notarization but accompanied by proper executed agent, successor agent, co-agent certification with original signature.
It is unreasonable to refuse to honor POA if document appoints entity as agent.
Does not prohibit/limit third party from requiring named agent to furnish properly executed agent's, successor agent's, co-agent certification, acceptance of authority.
Provided for reasonable cause for 3rd party to refuse to honor POA for property.
Legislative History
On Feb. 8, 2024, bill was introduced in Senate; on Apr. 9, 2024, bill passed Senate.
On Apr. 9, 2024, bill was introduced in House; on May 22, 2024, bill passed House.
Effectiveness
If enacted, bill becomes effective on Jan. 1, 2025.
Aug. 2024 ILL LEG Governor Approval
On Aug. 9, 2024, ILL LEG reported governor signed bill and assigned PA 103-0994.
Regulators
ILL LEG
Entity Types
Corp
Reference
PA 103-0994, 8/9/2024; Bill SB3421, 5/22/2024; Citation: ILL LEG 755-45;
