§ 64.34.376. Association as trustee
With respect to a third person dealing with the association in the association's capacity as a trustee, the existence of trust powers and their proper exercise by the association may be assumed without inquiry. A third person is not bound to inquire whether the association has power to act as trustee or is properly exercising trust powers. A third person, without actual knowledge that the association is exceeding or improperly exercising its powers, is fully protected in dealing with the association as if it possessed and properly exercised the powers it purports to exercise. A third person is not bound to assure the proper application of trust assets paid or delivered to the association in its capacity as trustee.
[1989 c 43 § 3-120.]Sections: Previous 64.34.352 64.34.354 64.34.356 64.34.360 64.34.364 64.34.368 64.34.372 64.34.376 64.34.380 64.34.382 64.34.384 64.34.386 64.34.388 64.34.390 64.34.400 Next
Last modified: April 7, 2009