Conflicts of Interest and Disqualification Flashcards

A real estate agent who is also a notary will earn a commission if a purchase contract closes. Regarding notarizing signatures on that contract, the agent-notary should:

Answer: Decline because the commission is a financial interest in the transaction

A commission contingent on the transaction is a direct financial interest that disqualifies the notary.

A notary's adult sibling asks the notary to notarize an affidavit that does not involve the notary in any way. Under Connecticut best practices, the notary should:

Answer: Decline or proceed with caution, since notarizing for close relatives risks the appearance of partiality

Notarizing for close family members is discouraged because it can create an appearance of bias and invite challenge.

A notary who is an attorney drafts a contract for a client and is asked to notarize the client's signature. In Connecticut this is:

Answer: Generally permissible, because professional fees for services are not a disqualifying interest

Fees earned for professional services such as drafting are not treated as a direct beneficial interest in the transaction itself.

Which action should a notary take upon realizing mid-notarization that they are named in the document being signed?

Answer: Stop immediately and decline to complete the notarization

A disqualified notary must stop as soon as the conflict is discovered, since completing the act would be improper.

A corporation's officer, who is a notary, is asked to notarize documents that the officer must also sign on the corporation's behalf. The officer-notary should:

Answer: Decline, because one cannot notarize one's own signature

A notary can never notarize their own signature, regardless of the capacity in which it is signed.

What is the most likely legal consequence if a Connecticut notary notarizes a document in which the notary has a disqualifying interest?

Answer: The notarization may be voided and the notary may face commission revocation or liability

An improper notarization can be invalidated and expose the notary to disciplinary action and civil liability.

A notary is asked to notarize a document for their landlord relating to an unrelated business deal. The notary owes back rent to the landlord. The safest choice is to:

Answer: Proceed, since the notary has no interest in the transaction itself, but decline if impartiality feels compromised

Disqualification turns on interest in the transaction being notarized, though a notary should decline whenever they cannot act impartially.