UT Notary - Utah Notary Prohibited Acts and Liability Questions and Answers 1 — Questions and Answers
Question 1: A Utah notary is also a licensed real estate agent. The notary is handling the sale of a property and stands to earn a significant commission from the transaction. Which of the following is the correct action for the notary regarding the notarization of the closing documents?
- Notarize the documents but refuse to accept a fee for the notarial acts.
- Disclose the financial interest in the notarial certificate before notarizing.
- Refuse to notarize the documents due to a direct financial interest. (Correct answer)
- Proceed with the notarization as long as the commission is paid after the documents are recorded.
Correct answer: Refuse to notarize the documents due to a direct financial interest.
Utah Code prohibits a notary from performing a notarial act if they have a direct financial or beneficial interest in the transaction. Earning a real estate commission constitutes a direct financial interest, creating a conflict of interest that disqualifies the notary from acting as an impartial witness.
Question 2: A non-attorney Utah notary advertises their services in a Spanish-language newspaper. According to Utah law, which of the following is a specific, mandatory requirement for such an advertisement?
- It must state that the notary is authorized to assist with immigration forms.
- It must include a literal translation of the phrase 'Notary Public' into Spanish.
- It must state that the notary's fees are regulated by the Utah State Bar.
- It must contain a statement in both English and Spanish that the notary is not an attorney. (Correct answer)
Correct answer: It must contain a statement in both English and Spanish that the notary is not an attorney.
Utah Code 46-1-11 specifically requires that a non-attorney notary who advertises in a language other than English must include a notice in both English and the language of the advertisement stating, 'I AM NOT AN ATTORNEY LICENSED TO PRACTICE LAW IN UTAH AND MAY NOT GIVE LEGAL ADVICE ABOUT IMMIGRATION OR ANY OTHER LEGAL MATTER OR ACCEPT FEES FOR LEGAL ADVICE.' Literal translations of 'Notary Public' are prohibited if they imply the notary is an attorney.
Question 3: An employer, anxious to finalize a contract, instructs their employee, a Utah notary, to backdate a notarial certificate to the previous day when the signer was supposedly in the office. If the notary complies with this request, what is the potential liability for the employer?
- The employer faces no liability as the notary is an independent official.
- The employer may be liable for civil damages but not criminal charges.
- The employer may be liable for damages if they knew of, consented to, or permitted the misconduct. (Correct answer)
- The employer's only liability is a private reprimand from the Lieutenant Governor's office.
Correct answer: The employer may be liable for damages if they knew of, consented to, or permitted the misconduct.
According to Utah Code 46-1-18, an employer of a notary public is liable for damages caused by the notary's official misconduct if the notary was acting within the scope of their employment and the employer 'had knowledge of, consented to, or permitted the misconduct.' Soliciting a notary to violate the law is also a class B misdemeanor.
Question 4: A notary's surety bond was used to pay a $3,000 claim due to the notary's official misconduct. A second, unrelated claim for $4,000 is filed against the same notary for a separate incident of misconduct. What is the maximum liability of the surety company for this second claim?
- $5,000
- $4,000
- $2,000 (Correct answer)
- $1,000
Correct answer: $2,000
A Utah notary is required to maintain a $5,000 surety bond. The surety's liability is limited to the penalty of the bond. If a $3,000 claim has already been paid, only $2,000 remains. The surety's liability for any subsequent claims cannot exceed the remaining amount of the bond.
Question 5: Which of the following actions constitutes the unauthorized practice of law by a Utah notary?
- Informing a signer of the fee for a jurat before performing the act.
- Refusing to notarize a document that is incomplete.
- Advising a client on which type of notarial certificate is appropriate for their document.
- Charging a fee to travel to a signer's location in addition to the statutory notarial fee. (Correct answer)
Correct answer: Charging a fee to travel to a signer's location in addition to the statutory notarial fee.
A notary who is not an attorney is prohibited from providing advice or counsel concerning legal documents. Recommending a specific notarial certificate (e.g., an acknowledgment vs. a jurat) constitutes giving legal advice because it affects the legal validity and purpose of the document. The signer or the receiving agency must choose the type of notarization.
Question 6: A Utah notary is presented with a document and knows for a fact that a statement within the attached notarial certificate is false. The signer insists it is correct and pressures the notary to proceed. What is the notary's legal obligation?
- Note the signer's objection in the journal and complete the notarization.
- Cross out the false statement, initial the change, and then notarize.
- Refuse to perform the notarial act. (Correct answer)
- Complete the notarization but file a report with the Lieutenant Governor's office.
Correct answer: Refuse to perform the notarial act.
Utah Code 46-1-9 explicitly states that a notary may not execute a certificate containing a statement known by the notary to be false or materially incomplete. Performing a notarial act with intent to deceive or defraud is also prohibited. The only correct course of action is to refuse the notarization.
UT Notary - Utah Notary Prohibited Acts and Liability Questions and Answers 1
A Utah notary is also a licensed real estate agent.
The notary is handling the sale of a property and stands to earn a significant commission from the transaction.
Which of the following is the correct action for the notary regarding the notarization of the closing documents?