S T A T E   O F   N E W   Y O R K
 ________________________________________________________________________
 
                                  6501--A
 
                        2017-2018 Regular Sessions
 
                             I N  S E N A T E
 
                               May 26, 2017
                                ___________
 
 Introduced  by  Sen.  HANNON -- read twice and ordered printed, and when
   printed to be committed to the  Committee  on  Judiciary  --  reported
   favorably  from said committee and committed to the Committee on Rules
   -- committee discharged, bill amended, ordered  reprinted  as  amended
   and recommitted to said committee

 AN  ACT  to  amend the general obligations law, in relation to reforming
   the statutory short form and other powers of attorney for purposes  of
   financial  and  estate  planning;  and to repeal certain provisions of
   such law relating to statutory gift riders
 
   THE PEOPLE OF THE STATE OF NEW YORK, REPRESENTED IN SENATE AND  ASSEM-
 BLY, DO ENACT AS FOLLOWS:
 
   Section  1.  Paragraph  (j)  of subdivision 2 of section 5-1501 of the
 general obligations law, as amended by chapter 340 of the laws of  2010,
 is amended to read as follows:
   (j)  "Power  of attorney" means a written document, other than a docu-
 ment referred to in section 5-1501C of this title, by which a  principal
 with  capacity  designates  an  agent  to  act  on his or her behalf AND
 INCLUDES BOTH A STATUTORY SHORT FORM POWER OF ATTORNEY AND A  NON-STATU-
 TORY POWER OF ATTORNEY.
   §  2.  Paragraph (n) of subdivision 2 of section 5-1501 of the general
 obligations law is REPEALED, and paragraphs (o), (p) and (q) are  relet-
 tered paragraphs (n), (o) and (p).
   §  3.  Paragraph (n) of subdivision 2 of section 5-1501 of the general
 obligations law, as amended by chapter 340 of the laws of  2010  and  as
 relettered by section two of this act, is amended to read as follows:
   (n) "Statutory short form power of attorney" means a power of attorney
 that  meets  the requirements of paragraphs (a), (b) and (c) of subdivi-
 sion one of section 5-1501B of this title, and that [contains the exact]
 SUBSTANTIALLY CONFORMS TO THE wording of the form set forth  in  section
 5-1513  of  this  title; PROVIDED HOWEVER, THAT ANY SECTION INDICATED AS
 "OPTIONAL" THAT IS NOT USED MAY BE OMITTED AND  REPLACED  BY  THE  WORDS
 
  EXPLANATION--Matter in ITALICS (underscored) is new; matter in brackets
                       [ ] is old law to be omitted.
              

                                                            LBD11897-07-7

 S. 6501--A                          2
 
 "INTENTIONALLY  OMITTED".  [A  mistake  in wording, such as in spelling,
 punctuation or formatting, or the use  of  bold  or  italic  type,]  ANY
 INSUBSTANTIAL VARIATIONS IN THE FORM shall not prevent a power of attor-
 ney  from being deemed a statutory short form power of attorney, but the
 wording of the form set forth in section  5-1513  of  this  title  shall
 govern. The use of the form set forth in section 5-1513 of this title is
 lawful  and  when  used, it shall be construed as a statutory short form
 power of attorney. A statutory short form power of attorney may be  used
 to  grant authority provided in sections 5-1502A through 5-1502N of this
 title. A "statutory short form power of attorney" may contain  modifica-
 tions  or additions as provided in section 5-1503 of this title[, but in
 no event may it be modified to grant any authority provided  in  section
 5-1514 of this title. If the authority (SGR) on the statutory short form
 is  initialed by the principal, the statutory short form power of attor-
 ney must be executed in the manner provided in section 5-1501B  of  this
 title,  simultaneously with the statutory gifts rider. A statutory short
 form power of attorney and a statutory gifts rider which supplements  it
 must be read together as a single instrument].
   §  4.  Subdivisions  1  and  2 of section 5-1501B of the general obli-
 gations law, as added by chapter 644 of the laws of  2008,  the  opening
 paragraph  and  paragraphs (b) and (c) of subdivision 1, and the opening
 paragraph and paragraph (a) of subdivision 2 as amended by  chapter  340
 of the laws of 2010, are amended to read as follows:
   1. To be valid, except as otherwise provided in section 5-1512 of this
 title,  a  statutory  short  form  power of attorney, or a non-statutory
 power of attorney, executed in this state by a principal, must:
   (a) Be typed or printed using letters which are legible  or  of  clear
 type  no less than twelve point in size, or, if in writing, a reasonable
 equivalent thereof.
   (b) Be signed, INITIALED and dated by a principal with capacity, OR IN
 THE NAME OF SUCH PRINCIPAL BY ANOTHER PERSON, OTHER THAN A PERSON DESIG-
 NATED AS THE PRINCIPAL'S AGENT OR SUCCESSOR AGENT,  IN  THE  PRINCIPAL'S
 PRESENCE  AND  AT  THE  PRINCIPAL'S  DIRECTION,  IN EITHER CASE with the
 signature of the [principal] PERSON SIGNING  duly  acknowledged  in  the
 manner prescribed for the acknowledgment of a conveyance of real proper-
 ty  IN THE PRESENCE OF THE PRINCIPAL.  WHEN A PERSON SIGNS AT THE DIREC-
 TION OF A PRINCIPAL HE OR SHE SHALL SIGN  BY  WRITING  OR  PRINTING  THE
 PRINCIPAL'S NAME, AND PRINTING AND SIGNING HIS OR HER OWN NAME.
   (c) Be signed and dated by any agent acting on behalf of the principal
 with  the  signature  of  the  agent  duly  acknowledged  in  the manner
 prescribed for the acknowledgment of a conveyance of  real  property.  A
 power of attorney executed pursuant to this section is not invalid sole-
 ly  because  there has been a lapse of time between the date of acknowl-
 edgment of the signature of the principal  and  the  date  or  dates  of
 acknowledgment  of the signature or signatures of any agent or agents or
 successor agent or successor agents authorized to act on behalf  of  the
 principal  or because the principal became incapacitated during any such
 lapse of time.
   (d) [Contain the exact] SUBSTANTIALLY CONFORM TO THE wording of the:
   (1) "Caution to the Principal" in paragraph (a) of subdivision one  of
 section 5-1513 of this title; and
   (2) "Important Information for the Agent" in paragraph (n) of subdivi-
 sion one of section 5-1513 of this title.
   2.  [In  addition  to  the  requirements  of  subdivision  one of this
 section, to be valid for the purpose of authorizing the  agent  to  make
 certain gift transactions described in section 5-1514 of this title:

 S. 6501--A                          3

   (a) a statutory short form power of attorney must contain the authori-
 ty (SGR) initialed by the principal and be accompanied by a valid statu-
 tory gifts rider; and
   (b) a non-statutory power of attorney must be executed pursuant to the
 requirements  of  paragraph (b) of subdivision nine of section 5-1514 of
 this title.] INSUBSTANTIAL VARIATION IN THE WORDING OF THE  "CAUTION  TO
 THE  PRINCIPAL" OF PARAGRAPH (A) OF SUBDIVISION ONE OF SECTION 5-1513 OF
 THIS TITLE OR OF THE "IMPORTANT INFORMATION FOR THE AGENT" OF  PARAGRAPH
 (N) OF SUBDIVISION ONE OF SECTION 5-1513 OF THIS TITLE SHALL NOT PREVENT
 A  POWER  OF  ATTORNEY FROM BEING DEEMED A STATUTORY SHORT FORM POWER OF
 ATTORNEY OR A NON-STATUTORY POWER OF ATTORNEY.
   § 5. Subdivisions 2 and 9 of section  5-1502A  of  the  general  obli-
 gations  law, as amended by chapter 340 of the laws of 2010, are amended
 to read as follows:
   2. To sell, to exchange, to convey either with or  without  covenants,
 to  quit-claim,  to  release, to surrender, to mortgage, to incumber, to
 partition or to consent to the partitioning, to create, modify or revoke
 a trust [unless such creation, modification  or  revocation  is  a  gift
 transaction  governed by section 5-1514 of this title,] to grant options
 concerning, to lease or to sublet,  or  otherwise  to  dispose  of,  any
 estate or interest in land;
   9.  To  execute,  to  acknowledge,  to  seal  and to deliver any deed,
 creation, modification or revocation of a trust [unless  such  creation,
 modification  or  revocation  is  a gift transaction governed by section
 5-1514 of this title], mortgage, lease, notice, check or  other  instru-
 ment  which  the agent may think useful for the accomplishment of any of
 the purposes enumerated in this section;
   § 6. Subdivisions 2 and 7 of section  5-1502B  of  the  general  obli-
 gations  law, as amended by chapter 340 of the laws of 2010, are amended
 to read as follows:
   2. To sell, to exchange, to convey either with or  without  covenants,
 to  release,  to  surrender,  to  mortgage,  to  incumber, to pledge, to
 hypothecate, to pawn, to create, modify or revoke a trust  [unless  such
 creation,  modification  or revocation is a gift transaction governed by
 section 5-1514 of this title] to grant options concerning, to  lease  or
 to  sublet to others, or otherwise to dispose of any chattel or goods or
 any interest in any chattel or goods;
   7. To execute, to acknowledge, to seal and to deliver any  conveyance,
 mortgage, lease, creation, revocation or modification of a trust [unless
 such creation, modification or revocation is a gift transaction governed
 by  section  5-1514  of  this  title], notice, check or other instrument
 which the agent may think useful for the accomplishment of  any  of  the
 purposes enumerated in this section;
   §  7.  Subdivisions  2  and  9 of section 5-1502C of the general obli-
 gations law, as amended by chapter 340 of the laws of 2010, are  amended
 to read as follows:
   2.  To  sell  (including short sales), to exchange, to transfer either
 with or without a guaranty, to release, to surrender, to hypothecate, to
 pledge, to create, modify or  revoke  a  trust  [unless  such  creation,
 modification  or  revocation  is  a gift transaction governed by section
 5-1514 of this title,] to grant options concerning, to  loan,  to  trade
 in,  or  otherwise  to dispose of any bond, share, instrument of similar
 character, commodity interest or any instrument with respect thereto;
   9. To execute, to acknowledge, to seal and  to  deliver  any  consent,
 agreement,  authorization,  creation,  modification  or  revocation of a
 trust [unless such creation, declaration, modification or revocation  is

 S. 6501--A                          4

 a  gift  transaction  governed by section 5-1514 of this title], assign-
 ment, notice, waiver of notice, check, or  other  instrument  which  the
 agent  may  think  useful  for the accomplishment of any of the purposes
 enumerated in this section;
   §  8. Subdivision 1 of section 5-1502D of the general obligations law,
 as amended by chapter 644 of the laws of 2008, paragraphs (a) and (b) as
 amended by chapter 340 of the laws  of  2010,  is  amended  to  read  as
 follows:
   1.  To  continue,  to modify, to terminate and to make deposits to and
 withdrawals from any deposit account, including any joint  account  with
 the agent or totten trust for the benefit of the agent, or other banking
 arrangement  made by or on behalf of the principal prior to the creation
 of the agency, provided, however, that:
   (a) with respect to joint accounts existing at  the  creation  of  the
 agency,  the  authority  granted  hereby  shall not include the power to
 change the title of the account by the addition of a new joint tenant or
 the deletion of an existing joint tenant, unless the authority  to  make
 such  changes  is [conveyed in a statutory gifts rider to] STATED OTHER-
 WISE IN THE "MODIFICATIONS" SECTION OF a statutory short form  power  of
 attorney or in a non-statutory power of attorney signed and dated by the
 principal  with  the signature of the principal duly acknowledged in the
 manner prescribed for the acknowledgement of a conveyance of real  prop-
 erty,  and  which is executed pursuant to the requirements of [paragraph
 (b) of subdivision nine of] section [5-1514] 5-1501B of this title, and
   (b) with respect to totten trust accounts existing at the creation  of
 the  agency, the authority granted hereby shall not include the power to
 add, delete, or otherwise change the  designation  of  beneficiaries  in
 effect  for  any  such accounts, unless the authority to make such addi-
 tions, deletions or changes is [conveyed in a statutory gifts rider  to]
 STATED  OTHERWISE  IN  THE  "MODIFICATIONS" SECTION OF a statutory short
 form power of attorney or in a non-statutory power  of  attorney  signed
 and  dated  by  the  principal  with the signature of the principal duly
 acknowledged in the  manner  prescribed  for  the  acknowledgment  of  a
 conveyance  of  real  property,  and  which  is executed pursuant to the
 requirements of [paragraph (b) of subdivision nine of] section  [5-1514]
 5-1501B of this title.
   §  9.  Subdivisions  1  and  3 of section 5-1502F of the general obli-
 gations law, as amended by chapter 340 of the laws of 2010, are  amended
 to read as follows:
   1.  To  continue,  to  pay the premium or assessment on, to modify, to
 rescind, to release or to terminate  any  contract  of  life,  accident,
 health,  disability  or  liability  insurance or any combination of such
 insurance procured by or  on  behalf  of  the  principal  prior  to  the
 creation  of  the agency which insures either the principal or any other
 person, without regard to whether the principal is or is not a benefici-
 ary thereunder;  provided,  however,  with  respect  to  life  insurance
 contracts  existing at the creation of the agency, the authority granted
 hereby shall not include the power to add, delete  or  otherwise  change
 the designation of beneficiaries in effect for any such contract, unless
 the  authority to make such additions, deletions or changes is [conveyed
 in a statutory gifts rider to] STATED OTHERWISE IN  THE  "MODIFICATIONS"
 SECTION OF a statutory short form power of attorney or in a non-statuto-
 ry  power  of attorney signed and dated by the principal with the signa-
 ture of the principal duly acknowledged in the manner prescribed for the
 acknowledgment of a conveyance of real property, and which  is  executed

 S. 6501--A                          5
 
 pursuant  to  the requirements of [paragraph (b) of subdivision nine of]
 section [5-1514] 5-1501B of this title;
   3.  To  apply for and to receive any available loan on the security of
 the contract of insurance, whether for the payment of a premium  or  for
 the  procuring  of  cash, to surrender and thereupon to receive the cash
 surrender value, to exercise an election as to beneficiary  or  mode  of
 payment,  to  change  the manner of paying premiums, and to change or to
 convert the type of insurance contract, with respect to any contract  of
 life,  accident,  health,  disability or liability insurance as to which
 the principal has, or claims to have, any one  or  more  of  the  powers
 described in this section; provided, however, that the authority granted
 hereby  shall  not  include the power to add, delete or otherwise change
 the designation of beneficiaries in effect for any such contract, unless
 the authority to make such additions, deletions or changes is  [conveyed
 in  a  statutory gifts rider to] STATED OTHERWISE IN THE "MODIFICATIONS"
 SECTION OF a statutory short form power of attorney or in a non-statuto-
 ry power of attorney signed and dated by the principal with  the  signa-
 ture of the principal duly acknowledged in the manner prescribed for the
 acknowledgment  of  a conveyance of real property, and which is executed
 pursuant to the requirements of [paragraph (b) of subdivision  nine  of]
 section [5-1514] 5-1501B of this title;
   §  10.  Subdivision  14  of section 5-1502I of the general obligations
 law, as amended by chapter 340 of the laws of 2010, is amended  to  read
 as follows:
   14.  To continue gifts that the principal customarily made to individ-
 uals and charitable organizations prior to the creation of  the  agency,
 provided  that  in any one calendar year all such gifts shall not exceed
 five [hundred] THOUSAND dollars in the aggregate; and
   § 11. The section heading, opening  paragraph  and  subdivision  1  of
 section  5-1502K  of  the general obligations law, as amended by chapter
 644 of the laws of 2008, are amended to read as follows:
   Construction--FINANCIAL MATTERS RELATED TO health  care  [billing  and
 payment  matters; records, reports and statements]. In a statutory short
 form power of attorney, the language conferring general  authority  with
 respect  to  "FINANCIAL  MATTERS  RELATED  TO  health  care [billing and
 payment matters; records, reports and statements]," or  in  a  statutory
 short  form  power  of attorney properly executed in accordance with the
 laws in effect at the time of its  execution,  the  language  conferring
 authority  with  respect  to  "records, reports and statements," must be
 construed to mean that the principal authorizes the agent:
   1. [To access records relating to the provision of health care and  to
 make  decisions  relating to the past, present or future payment for the
 provision of health care consented to by or on behalf of  the  principal
 or  the  principal's health care agent authorized under state law. In so
 doing the agent is acting as  the  principal's  personal  representative
 pursuant  to  sections  1171 through 1179 of the Social Security Act, as
 added by sections 262 and 264 of  Public  Law  104-191,  and  applicable
 regulations.  This  authority  shall  not  include authorization for the
 agent to make other medical or health care decisions for the  principal]
 TO  BE  RESPONSIBLE  FOR  FINANCIAL  MATTERS RELATING TO THE PRINCIPAL'S
 HEALTH CARE, INCLUDING, BUT NOT LIMITED  TO,  BENEFIT  ENTITLEMENTS  AND
 PAYMENT  OBLIGATIONS,  AND  IN  SO DOING, NOTWITHSTANDING ANY LAW TO THE
 CONTRARY, TO RECEIVE FROM "HEALTH CARE PROVIDERS"  AND  "HEALTH  PLANS,"
 INFORMATION,  INCLUDING,  BUT NOT LIMITED TO, "PROTECTED HEALTH INFORMA-
 TION" AS DEFINED IN FEDERAL AND STATE LAW,  RULES  AND  REGULATIONS,  IN
 ORDER  TO  ASCERTAIN THE BENEFITS TO WHICH THE PRINCIPAL IS ENTITLED AND

 S. 6501--A                          6
 
 TO DETERMINE THE LEGITIMACY AND ACCURACY  OF  CHARGES  FOR  HEALTH  CARE
 PROVIDED  TO  THE PRINCIPAL; TO OBTAIN FOR THE PRINCIPAL THE HEALTH CARE
 BENEFITS TO WHICH THE PRINCIPAL IS ENTITLED;  TO  MEET  THE  PRINCIPAL'S
 FINANCIAL  OBLIGATIONS,  AND  PAY  BILLS  DUE AND OWING, FOR HEALTH CARE
 PROVIDED TO THE PRINCIPAL; AND TO REPRESENT THE PRINCIPAL, AND TO ACT AS
 THE PRINCIPAL'S  PERSONAL  REPRESENTATIVE,  WITH  RESPECT  TO  FINANCIAL
 MATTERS  PERTAINING  TO  THE  PRINCIPAL'S HEALTH CARE. THIS AUTHORITY IS
 LIMITED TO HEALTH CARE FINANCIAL MATTERS AND SHALL NOT INCLUDE  AUTHORI-
 ZATION FOR THE AGENT TO MAKE HEALTH CARE DECISIONS FOR THE PRINCIPAL;
   §  12.  Subdivisions  2  and 4 of section 5-1502L of the general obli-
 gations law, as amended by chapter 340 of the laws of 2010, are  amended
 to read as follows:
   2.  To  make  investment  directions,  to  select  and  change payment
 options, and to exercise any  other  election  for  the  principal  with
 regard  to  any retirement benefit or plan in which the principal has an
 interest, provided, however, that the authority granted hereby shall not
 include the authority to add, delete, or  otherwise  change  the  desig-
 nation  of  beneficiaries  in  effect for any such retirement benefit or
 plan, unless the authority to make such additions, deletions or  changes
 is  [conveyed  in  a  statutory  gifts rider to] STATED OTHERWISE IN THE
 "MODIFICATIONS" SECTION OF a statutory short form power of  attorney  or
 in  a  non-statutory power of attorney signed and dated by the principal
 with the signature of the principal  duly  acknowledged  in  the  manner
 prescribed  for the acknowledgment of a conveyance of real property, and
 which is executed pursuant to the  requirements  of  [paragraph  (b)  of
 subdivision nine of] section [5-1514] 5-1501B of this title;
   4.  To  prepare, execute and deliver any application, agreement, trust
 agreement [unless such trust agreement is a gift transaction governed by
 section 5-1514 of this title], authorization, check or other  instrument
 or  document  which  may  be  required under the terms of any retirement
 benefit or plan in which the principal has an interest or by the  admin-
 istrator thereof, or which the agent deems useful for the accomplishment
 of any of the purposes enumerated in this section;
   §  13.  Section  5-1503  of the general obligations law, as amended by
 chapter 340 of the laws of 2010, is amended to read as follows:
   § 5-1503. Modifications of the statutory short form power of  attorney
 [and  of the statutory gifts rider]. A power of attorney which satisfies
 the requirements of paragraphs (a), (b) and (c) of  subdivision  one  of
 section  5-1501B  and section 5-1513 of this title is not prevented from
 being a "statutory short form power of attorney", [and a document  which
 satisfies  the  requirements  of  section  5-1514  of  this title is not
 prevented from being a "statutory gifts rider" as either of these  terms
 is  used  in  the  sections  of  this  title,]  by the fact that it also
 contains additional language  at  the  section  labeled  "modifications"
 which:
   1. Eliminates from the statutory short form power of attorney [or from
 the  statutory  gifts rider] one or more of the powers enumerated in one
 or more of the constructional sections of this title with respect  to  a
 subdivision  of  the  statutory  short form power of attorney [or of the
 statutory gifts rider], affirmatively chosen by the principal; or
   2. Supplements one or more of the powers enumerated in one or more  of
 the  constructional sections in this title with respect to a subdivision
 of the statutory short form power of attorney [or of the statutory gifts
 rider], affirmatively chosen by the principal, by  specifically  listing
 additional powers of the agent; or

 S. 6501--A                          7
 
   3.  Makes some additional provision which is not inconsistent with the
 other provisions of the statutory short form power of  attorney  [or  of
 the  statutory  gifts rider], including a provision revoking one or more
 powers of attorney previously executed by the principal.
   §  14.  Section  5-1504  of the general obligations law, as amended by
 chapter 644 of the laws of 2008, the opening paragraph, subparagraphs  1
 and  9 of paragraph (a) and paragraph (b) of subdivision 1, subdivisions
 2, 3 and 5 as amended and subdivision 7 as added by chapter 340  of  the
 laws of 2010, is amended to read as follows:
   § 5-1504. Acceptance of AND RELIANCE UPON ACKNOWLEDGED statutory short
 form  power of attorney. 1.  (A) FOR PURPOSES OF THIS SECTION, "ACKNOWL-
 EDGED" MEANS PURPORTEDLY VERIFIED BEFORE A NOTARY PUBLIC OR OTHER  INDI-
 VIDUAL AUTHORIZED TO TAKE ACKNOWLEDGEMENTS.
   (B)  A  PERSON  THAT  IN  GOOD  FAITH ACCEPTS AN ACKNOWLEDGED POWER OF
 ATTORNEY WITHOUT ACTUAL KNOWLEDGE THAT THE SIGNATURE IS NOT GENUINE  MAY
 RELY UPON THE PRESUMPTION THAT THE SIGNATURE IS GENUINE.
   (C)  A  PERSON  THAT  IN  GOOD  FAITH ACCEPTS AN ACKNOWLEDGED POWER OF
 ATTORNEY WITHOUT ACTUAL KNOWLEDGE THAT THE POWER OF  ATTORNEY  IS  VOID,
 INVALID,  OR  TERMINATED,  THAT THE PURPORTED AGENT'S AUTHORITY IS VOID,
 INVALID, OR TERMINATED, OR THAT THE AGENT  IS  EXCEEDING  OR  IMPROPERLY
 EXERCISING  THE AGENT'S AUTHORITY MAY RELY UPON THE POWER OF ATTORNEY AS
 IF THE POWER OF ATTORNEY WERE GENUINE, VALID AND STILL  IN  EFFECT,  THE
 AGENT'S AUTHORITY WERE GENUINE, VALID AND STILL IN EFFECT, AND THE AGENT
 HAD NOT EXCEEDED AND HAD PROPERLY EXERCISED THE AUTHORITY.
   (D) A PERSON THAT IS ASKED TO ACCEPT AN ACKNOWLEDGED POWER OF ATTORNEY
 MAY REQUEST, AND RELY UPON, WITHOUT FURTHER INVESTIGATION:
   (1)  AN  AGENT'S CERTIFICATION UNDER PENALTY OF PERJURY OF ANY FACTUAL
 MATTER CONCERNING THE PRINCIPAL, AGENT OR POWER OF ATTORNEY; AND
   (2) AN OPINION OF COUNSEL AS TO ANY MATTER OF LAW CONCERNING THE POWER
 OF ATTORNEY IF THE PERSON MAKING THE REQUEST PROVIDES IN  A  WRITING  OR
 OTHER RECORD THE REASON FOR THE REQUEST.
   (E)  AN  OPINION  OF  COUNSEL  REQUESTED  UNDER  THIS  SECTION MUST BE
 PROVIDED AT THE PRINCIPAL'S EXPENSE UNLESS THE REQUEST IS MADE MORE THAN
 SEVEN BUSINESS DAYS AFTER THE POWER OF ATTORNEY IS PRESENTED FOR ACCEPT-
 ANCE.
   (F) FOR PURPOSES OF THIS SECTION, A PERSON  THAT  CONDUCTS  ACTIVITIES
 THROUGH  EMPLOYEES  IS  WITHOUT ACTUAL KNOWLEDGE OF A FACT RELATING TO A
 POWER OF ATTORNEY, A PRINCIPAL, OR AN AGENT IF THE  EMPLOYEE  CONDUCTING
 THE  TRANSACTION INVOLVING THE POWER OF ATTORNEY IS WITHOUT ACTUAL KNOW-
 LEDGE OF THE FACT AFTER MAKING REASONABLE INQUIRY WITH RESPECT THERETO.
   2. No third party located  or  doing  business  in  this  state  shall
 refuse,  without reasonable cause, to honor a statutory short form power
 of attorney properly executed in accordance with section 5-1501B of this
 title, [including a statutory short form  power  of  attorney  which  is
 supplemented  by  a  statutory  gifts  rider,] or a statutory short form
 power of attorney properly executed  in  accordance  with  the  laws  in
 effect at the time of its execution.
   (a)  Reasonable cause under this subdivision shall include, but not be
 limited to:
   (1) the refusal by the agent to provide an original power of  attorney
 or  a  copy  certified  by  an  attorney  pursuant to section twenty-one
 hundred five of the civil practice law and rules, or by a court or other
 government entity;
   (2) the third party's good faith referral of  the  principal  and  the
 agent to the local adult protective services unit;

 S. 6501--A                          8
 
   (3) actual knowledge of a report having been made by any person to the
 local  adult  protective  services  unit  alleging physical or financial
 abuse, neglect, exploitation or abandonment  of  the  principal  by  the
 agent OR A PERSON ACTING FOR OR WITH THE AGENT;
   (4)  actual  knowledge  of the principal's death or a reasonable basis
 for believing the principal has died;
   (5) actual knowledge of the incapacity of the principal or  a  reason-
 able  basis  for believing that the principal is incapacitated where the
 power of attorney tendered is a nondurable power of attorney;
   (6) actual knowledge or a reasonable  basis  for  believing  that  the
 principal  was  incapacitated  at  the  time  the  power of attorney was
 executed;
   (7) actual knowledge or a reasonable  basis  for  believing  that  the
 power of attorney was procured through fraud, duress or undue influence;
   (8)  actual  notice,  pursuant  to  subdivision  [three]  FIVE of this
 section, of the termination or revocation of the power of attorney; [or]
   (9) the refusal by a  title  insurance  company  to  underwrite  title
 insurance  for  a  gift  of  real  property made pursuant to a statutory
 [gifts rider] SHORT FORM POWER OF ATTORNEY  or  non-statutory  power  of
 attorney  that  does not contain express instructions or purposes of the
 principal WITH RESPECT TO GIFTS IN  THE  MODIFICATIONS  SECTION  OF  THE
 STATUTORY  SHORT FORM POWER OF ATTORNEY OR IN THE NON-STATUTORY POWER OF
 ATTORNEY; OR
   (10) THE REFUSAL OF A REQUEST FOR A CERTIFICATION  OR  AN  OPINION  OF
 COUNSEL UNDER PARAGRAPH (D) OF SUBDIVISION ONE OF THIS SECTION.
   (b)  It  shall  be  deemed unreasonable for a third party to refuse to
 honor a statutory short form power of attorney[, including  a  statutory
 short  form power of attorney which is supplemented by a statutory gifts
 rider,] PROPERLY EXECUTED IN ACCORDANCE WITH  SECTION  5-1501B  OF  THIS
 TITLE  or  a statutory short form power of attorney properly executed in
 accordance with the laws in effect at the time of its execution, if  the
 only reason for the refusal is any of the following:
   (1)  the  power  of  attorney is not on a form prescribed by the third
 party to whom the power of attorney is presented.
   (2) there has been a lapse of time since the execution of the power of
 attorney.
   (3) on the face of the statutory short form power of  attorney,  there
 is  a  lapse of time between the date of acknowledgment of the signature
 of the principal and the date of acknowledgment of the signature of  any
 agent.
   [2.]  3. NOT LATER THAN THE SEVENTH BUSINESS DAY AFTER PRESENTATION OF
 A STATUTORY SHORT FORM POWER OF ATTORNEY PROPERLY EXECUTED IN ACCORDANCE
 WITH SECTION 5-1501B OF THIS TITLE OR IN ACCORDANCE  WITH  THE  LAWS  IN
 EFFECT  AT  THE  TIME  OF ITS EXECUTION TO A THIRD PARTY FOR ACCEPTANCE,
 SUCH THIRD PARTY SHALL EITHER (A) HONOR THE STATUTORY SHORT  FORM  POWER
 OF ATTORNEY, OR (B) REJECT THE STATUTORY SHORT FORM POWER OF ATTORNEY IN
 A  WRITING THAT SETS FORTH THE REASONS FOR SUCH REJECTION, WHICH WRITING
 SHALL BE SENT TO THE PRINCIPAL AND THE AGENT AT  THE  ADDRESSES  ON  THE
 POWER  OF ATTORNEY AND SUCH OTHER ADDRESSES AS PROVIDED BY THE PRINCIPAL
 OR THE AGENT, OR (C) REQUEST THE AGENT TO EXECUTE AN ACKNOWLEDGED  AFFI-
 DAVIT  PURSUANT  TO  SUBDIVISION  SEVEN OF THIS SECTION STATING THAT THE
 POWER OF ATTORNEY IS IN FULL FORCE AND EFFECT  IF  THE  STATUTORY  SHORT
 FORM  POWER  OF  ATTORNEY WAS NOT SUBMITTED FOR ACCEPTANCE TOGETHER WITH
 SUCH AN ACKNOWLEDGED AFFIDAVIT. IF THE THIRD PARTY INITIALLY REJECTS THE
 STATUTORY SHORT FORM POWER OF ATTORNEY IN A WRITING THAT SETS FORTH  THE
 REASONS  FOR  SUCH REJECTION, THE THIRD PARTY SHALL WITHIN FIVE BUSINESS

 S. 6501--A                          9
 
 DAYS AFTER RECEIPT OF A WRITING IN RESPONSE  TO  THE  REASONS  FOR  SUCH
 REJECTION  (I) HONOR THE STATUTORY SHORT FORM POWER OF ATTORNEY, OR (II)
 FINALLY REJECT THE STATUTORY SHORT FORM POWER OF ATTORNEY IN  A  WRITING
 THAT  SETS  FORTH  THE  REASONS  FOR  SUCH REJECTION. IF THE THIRD PARTY
 REQUESTS THE AGENT TO EXECUTE SUCH AN ACKNOWLEDGED AFFIDAVIT, THE  THIRD
 PARTY  SHALL  HONOR  SUCH  STATUTORY SHORT FORM POWER OF ATTORNEY WITHIN
 FIVE BUSINESS DAYS AFTER RECEIPT BY THE THIRD PARTY OF  AN  ACKNOWLEDGED
 AFFIDAVIT  WHICH  COMPLIES  WITH  THE PROVISIONS OF SUBDIVISION SEVEN OF
 THIS SECTION, STATING THAT THE POWER OF ATTORNEY IS IN  FULL  FORCE  AND
 EFFECT  UNLESS  REASONABLE CAUSE EXISTS AS DESCRIBED IN PARAGRAPH (A) OF
 SUBDIVISION TWO OF THIS SECTION. FOR THE PURPOSES OF  THIS  SUBDIVISION,
 THE  TIME  REQUIREMENTS  IN WHICH TO HONOR OR REJECT THE STATUTORY SHORT
 FORM POWER OF ATTORNEY OR REQUEST THE AGENT TO EXECUTE  AN  ACKNOWLEDGED
 AFFIDAVIT  SHALL  NOT  APPLY TO THE DEPARTMENT OF AUDIT AND CONTROL OR A
 PUBLIC RETIREMENT SYSTEM OF THE STATE AS DEFINED IN SUBDIVISION  SIX  OF
 SECTION ONE HUNDRED FIFTY-TWO OF THE RETIREMENT AND SOCIAL SECURITY LAW.
   4.  Except as provided in subdivision [three] FIVE of this section, it
 shall be deemed unlawful for a third party  to  unreasonably  refuse  to
 honor  a  properly  executed  statutory  short  form power of attorney[,
 including a statutory short form power of attorney which is supplemented
 by a statutory gifts rider,] EXECUTED IN ACCORDANCE WITH SECTION 5-1501B
 OF THIS TITLE or a statutory  short  form  power  of  attorney  properly
 executed  in  accordance  with  the  laws  in  effect at the time of its
 execution. [A] IF A special proceeding as authorized by  section  5-1510
 of this title IS BROUGHT TO COMPEL THE THIRD PARTY TO HONOR THE STATUTO-
 RY  SHORT FORM POWER OF ATTORNEY, THE COURT MAY AWARD DAMAGES, INCLUDING
 REASONABLE ATTORNEY'S FEES AND COSTS, IF THE COURT FINDS THAT THE  THIRD
 PARTY  ACTED  UNREASONABLY  IN  REFUSING  TO HONOR THE AGENT'S AUTHORITY
 UNDER THE STATUTORY SHORT FORM POWER OF ATTORNEY. SUCH SPECIAL  PROCEED-
 ING shall be the exclusive remedy for a violation of this section.
   [3.]  5.  In the absence of actual knowledge that the principal lacked
 capacity to execute a statutory short form power of attorney or that the
 statutory short form power  of  attorney  was  procured  through  fraud,
 duress  or  undue  influence,  no  third party receiving and retaining a
 [properly executed] statutory short  form  power  of  attorney  PROPERLY
 EXECUTED  IN ACCORDANCE WITH SECTION 5-1501B OF THIS TITLE, [including a
 statutory short form power of attorney which is supplemented by a statu-
 tory gifts rider] or a statutory short form power of  attorney  properly
 executed  in  accordance  with  the  laws  in  effect at the time of its
 execution, or a complete  photostatic  copy  of  the  properly  executed
 original  thereof,  nor any officer, agent, attorney-in-fact or employee
 of such third party shall incur any liability by reason of  acting  upon
 the  authority thereof unless the third party shall have received actual
 notice of the revocation or termination of such power of attorney.
   If a principal maintains an account at a  financial  institution,  the
 financial institution is deemed to have actual notice after it has had a
 reasonable  opportunity  to act on a written notice of the revocation or
 termination following its receipt of the same at its office  where  such
 account is located.
   [4.]  6.  If the application of the provisions of subdivision [one or]
 two OR FOUR of this section shall be held invalid to any third party the
 application of such provisions to any third party other  than  those  to
 which it is held invalid, shall not be affected thereby.
   [5.]  7.  When the power of attorney is presented to a third party, it
 shall not be deemed unreasonable for a third party to require the  agent
 to  execute an acknowledged affidavit pursuant to this subdivision stat-

 S. 6501--A                         10
 
 ing that the power of attorney is in full  force  and  effect.  Such  an
 affidavit is conclusive proof to the third party relying on the power of
 attorney  that the power of attorney is valid and effective, and has not
 been  terminated,  revoked or modified, except as to any third party who
 had actual notice that  the  power  of  attorney  had  terminated,  been
 revoked  or  been modified prior to the execution of the affidavit. Such
 affidavit shall state that:
   (a) the agent does not have, at the time of  the  transaction,  actual
 notice  of  the  termination  or revocation of the power of attorney, or
 notice of any facts indicating that  the  power  of  attorney  has  been
 terminated or revoked;
   (b)  the  agent  does not have, at the time of the transaction, actual
 notice that the power of attorney has been  modified  in  any  way  that
 would  affect  the  ability  of  the agent to authorize or engage in the
 transaction, or notice of any facts indicating that the power of  attor-
 ney has been so modified;
   (c) if the agent was named as a successor agent, the prior agent is no
 longer able or willing to serve; and
   (d)  if the agent has been the principal's spouse, the power of attor-
 ney expressly provides that divorce or annulment as defined in  subpara-
 graph  two  of paragraph (f) of section 5-1.4 of the estates, powers and
 trusts law does not terminate the agent's authority thereunder,  or  the
 agent  does not have actual notice that the marriage has been terminated
 by divorce or annulment as defined in subparagraph two of paragraph  (f)
 of  section  5-1.4  of the estates, powers and trusts law at the time of
 the transaction.
   [6.] 8. Nothing in this section shall require the acceptance of a form
 that is not a statutory short form power of attorney.
   [7.] 9. A statutory short form power of attorney  or  a  non-statutory
 power  of  attorney  that  meets  the requirements of subdivision one of
 section 5-1501B of this title shall be accepted for recording so long as
 it has been signed by one agent named therein whose signature  has  been
 acknowledged.  If  two  or more agents acting on behalf of the principal
 are required to act together, the power of attorney  shall  be  accepted
 for recording as long as their signatures have been acknowledged. When a
 successor or co-agent authorized to act separately from any other agents
 presents  a  certified  copy of a recorded statutory short form power of
 attorney or non-statutory power of attorney with the  agent's  signature
 acknowledged, the instrument shall be accepted for recording.
   §  15.  Subparagraph  2  of  paragraph (a) of subdivision 2 of section
 5-1505 of the general obligations law, as amended by chapter 340 of  the
 laws of 2010, is amended to read as follows:
   (2)  To  keep  the principal's property separate and distinct from any
 other property owned or controlled by the  agent,  except  for  property
 that  is  jointly  owned  by  the principal and agent at the time of the
 execution of the power of attorney, and property  that  becomes  jointly
 owned  after the execution of the power of attorney as the result of the
 agent's acquisition of an interest in the principal's property by reason
 of the agent's  exercise  of  authority  granted  in  THE  MODIFICATIONS
 SECTION  OF a statutory [gifts rider] SHORT FORM POWER OF ATTORNEY or in
 a non-statutory power of attorney [signed and  dated  by  the  principal
 with  the  signature  of  the  principal duly acknowledged in the manner
 prescribed for the acknowledgment of a conveyance of real property,  and
 which  is  executed  pursuant  to  the  requirements of paragraph (b) of
 subdivision nine of section 5-1514 of this title].  The  agent  may  not

 S. 6501--A                         11
 
 make  gifts [to] OF the principal's property to himself or herself with-
 out specific authorization in a power of attorney.
   § 16. Paragraphs (h) and (i) of subdivision 2 of section 5-1510 of the
 general  obligations  law,  as added by chapter 644 of the laws of 2008,
 are amended to read as follows:
   (h) to construe any provision of a power of attorney; OR
   (i) to compel acceptance of the power of attorney [in which event  the
 relief to be granted is limited to an order compelling acceptance].
   §  17.  Section  5-1513  of the general obligations law, as amended by
 chapter 340 of the laws of 2010, is amended to read as follows:
   § 5-1513. Statutory short form power of attorney. [1.] The use of  the
 following  form,  OR  ONE  WHICH SUBSTANTIALLY CONFORMS TO THE FOLLOWING
 FORM, in the creation of a power of attorney is lawful, and, when  used,
 and  executed  in  accordance with subdivision one of section 5-1501B of
 this title, it shall be construed as a statutory  short  form  power  of
 attorney  in  accordance  with  the  provisions  of this title; PROVIDED
 HOWEVER, THAT ANY SECTION INDICATED AS "OPTIONAL" WHICH IS NOT USED  MAY
 BE OMITTED AND REPLACED BY THE WORDS "INTENTIONALLY OMITTED":
 
                            "POWER OF ATTORNEY
                       NEW YORK STATUTORY SHORT FORM
   (a)  CAUTION TO THE PRINCIPAL:  Your Power of Attorney is an important
 document. As the "principal," you give the person whom you choose  (your
 "agent") authority to spend your money and sell or dispose of your prop-
 erty  during  your  lifetime  without  telling you. You do not lose your
 authority to act even though you have given your agent similar  authori-
 ty.
 
   When your agent exercises this authority, he or she must act according
 to  any  instructions  you have provided or, where there are no specific
 instructions, in your best  interest.  "Important  Information  for  the
 Agent"  at  the end of this document describes your agent's responsibil-
 ities.
 
   Your agent can act on your behalf only  after  signing  the  Power  of
 Attorney before a notary public.
   You  can  request  information from your agent at any time. If you are
 revoking a prior Power of Attorney, you should provide written notice of
 the revocation to your prior agent(s) and to any third parties  who  may
 have  acted  upon  it,  including  the financial institutions where your
 accounts are located.
   You can revoke or terminate your Power of Attorney at any time for any
 reason as long as you are of sound mind. If you are no longer  of  sound
 mind, a court can remove an agent for acting improperly.
 
   Your  agent cannot make health care decisions for you. You may execute
 a "Health Care Proxy" to do this.
 
   The law governing Powers of Attorney is  contained  in  the  New  York
 General Obligations Law, Article 5, Title 15. This law is available at a
 law  library,  or  online  through the New York State Senate or Assembly
 websites,       [www.senate.state.ny.us]       WWW.NYSENATE.GOV       or
 [www.assembly.state.ny.us] WWW.NYASSEMBLY.GOV.
 
   If  there  is anything about this document that you do not understand,
 you should ask a lawyer of your own choosing to explain it to you.

 S. 6501--A                         12
 
 (b) DESIGNATION OF AGENT(S):
 I, _______________________________________________, hereby appoint:
       name and address of principal
 _____________________________________________________as my agent(s)
       name(s) and address(es) of agent(s)
   If  you  designate  more than one agent above AND YOU DO NOT INITIAL A
 STATEMENT BELOW, they must act together [unless you initial  the  state-
 ment below].
 
       (   ) MY AGENTS MUST ACT TOGETHER.
       (   ) My successor agents may act SEPARATELY.
 (c) DESIGNATION OF SUCCESSOR AGENT(S): (OPTIONAL)
   If  any  agent  designated  above  is  unable or unwilling to serve, I
 appoint as my successor agent(s):
   _______________________________________________________________
   name(s) and address(es) of successor agent(s)
 [Successor] IF YOU DO NOT INITIAL A STATEMENT  BELOW,  SUCCESSOR  agents
 designated  above  must  act  together [unless you initial the statement
 below].

       (   ) MY SUCCESSOR AGENTS MUST ACT TOGETHER.
       (   ) My successor agents may act SEPARATELY.
   You may provide for specific succession rules in this section.  Insert
 specific succession provisions here:
 (d)  This POWER OF ATTORNEY shall not be affected by my subsequent inca-
 pacity unless I have stated otherwise below, under "Modifications".
 
 (e) This POWER OF ATTORNEY DOES NOT REVOKE any Powers of Attorney previ-
 ously executed by  me  unless  I  have  stated  otherwise  below,  under
 "Modifications."
   [If  you do NOT intend to revoke your prior Powers of Attorney, and if
 you have granted the same authority in this Power  of  Attorney  as  you
 granted  to  another  agent in a prior Power of Attorney, each agent can
 act separately unless you indicate under "Modifications" that the agents
 with the same authority are to act together.]
 
 (f) GRANT OF AUTHORITY:
   To grant your agent some or all of the authority below, either
       (1) Initial the bracket at each authority you grant, or
       (2) Write or type the letters for each authority you grant on  the
       blank line at (P), and initial the bracket at (P). If you initial
       (P), you do not need to initial the other lines.
 
   I  grant  authority  to  my  agent(s)  with  respect  to the following
 subjects as defined in sections 5-1502A through 5-1502N of the New  York
 General Obligations Law:
       (   ) (A) real estate transactions;
       (   ) (B) chattel and goods transactions;
       (   ) (C) bond, share, and commodity transactions;
       (   ) (D) banking transactions;
       (   ) (E) business operating transactions;
       (   ) (F) insurance transactions;
       (   ) (G) estate transactions;
       (   ) (H) claims and litigation;
       (   ) (I) personal and family maintenance. If you grant your agent
                 this  authority,  it  will allow the agent to make gifts

 S. 6501--A                         13
 
                 that you customarily have made to individuals, including
                 the  agent,  and  charitable  organizations.  The  total
                 amount of all such gifts in any one calendar year cannot
                 exceed five [hundred] THOUSAND dollars;
       (   ) (J) benefits from governmental programs or civil or military
                 service;
       (   ) (K) FINANCIAL  MATTERS  RELATED  TO health care [billing and
                 payment matters]; records, reports, and statements;
       (   ) (L) retirement benefit transactions;
       (   ) (M) tax matters;
       (   ) (N) all other matters;
       (   ) (O) full and unqualified authority to my agent(s)  to  dele-
                 gate any or all of the foregoing powers to any person or
                 persons whom my agent(s) select;
       (   ) (P) EACH   of   the  matters  identified  by  the  following
                 letters______.
   You need not initial the other lines if you initial line (P).
 
 (g) [MODIFICATIONS: (OPTIONAL)
   In  this  section,  you  may  make  additional  provisions,  including
 language to limit or supplement authority granted to your agent.
   However, you cannot use this Modifications section to grant your agent
 authority  to  make  gifts or changes to interests in your property.  If
 you wish to grant your agent such authority, you MUST complete the Stat-
 utory Gifts Rider.
 (h)] CERTAIN GIFT TRANSACTIONS: [STATUTORY GIFTS RIDER] (OPTIONAL)
   In order to authorize your agent to make gifts in excess of an  annual
 total  of  [$500]  $5,000 for all gifts described in (I) of the grant of
 authority section of this document (under personal  and  family  mainte-
 nance),  AND/OR  TO  MAKE CHANGES TO INTEREST IN YOUR PROPERTY, you must
 [initial the statement below and execute a Statutory Gifts Rider at  the
 same  time as this instrument.  Initialing the statement below by itself
 does not authorize your agent to make  gifts.  The  preparation  of  the
 Statutory Gifts Rider] EXPRESSLY GRANT THAT AUTHORIZATION IN THE MODIFI-
 CATIONS SECTION BELOW. IF YOU WISH TO AUTHORIZE YOUR AGENT TO MAKE GIFTS
 TO  HIMSELF  OR  HERSELF, YOU MUST EXPRESSLY GRANT SUCH AUTHORIZATION IN
 THE MODIFICATIONS SECTION BELOW. GRANTING SUCH AUTHORITY TO  YOUR  AGENT
 GIVES YOUR AGENT THE AUTHORITY TO TAKE ACTIONS WHICH COULD SIGNIFICANTLY
 REDUCE  YOUR  PROPERTY AND/OR CHANGE HOW YOUR PROPERTY IS DISTRIBUTED AT
 YOUR DEATH. YOUR CHOICE TO GRANT SUCH AUTHORITY  should  be  [supervised
 by] DISCUSSED WITH a lawyer.
   (      )  [(SGR)]  I grant my agent authority to make gifts in accord-
 ance with the terms  and  conditions  of  the  [Statutory  Gifts  Rider]
 MODIFICATIONS  that  [supplements]  SUPPLEMENT  this  Statutory Power of
 Attorney.
   (H) MODIFICATIONS: (OPTIONAL)
   IN THIS SECTION, YOU MAY MAKE ADDITIONAL  PROVISIONS,  INCLUDING,  BUT
 NOT  LIMITED  TO,  LANGUAGE  TO LIMIT OR SUPPLEMENT AUTHORITY GRANTED TO
 YOUR AGENT, LANGUAGE TO GRANT YOUR AGENT THE SPECIFIC AUTHORITY TO  MAKE
 GIFTS  TO  HIMSELF  OR  HERSELF, AND/OR LANGUAGE TO GRANT YOUR AGENT THE
 SPECIFIC AUTHORITY TO MAKE OTHER GIFT  TRANSACTIONS  AND/OR  CHANGES  TO
 INTERESTS IN YOUR PROPERTY. YOUR AGENT IS ENTITLED TO BE REIMBURSED FROM
 YOUR  ASSETS  FOR  REASONABLE  EXPENSES INCURRED ON YOUR BEHALF. IN THIS
 SECTION, YOU MAY MAKE  ADDITIONAL  PROVISIONS  IF  YOU  ALSO  WISH  YOUR
 AGENT(S)  TO  BE  COMPENSATED  FROM YOUR ASSETS FOR SERVICES RENDERED ON
 YOUR BEHALF, AND YOU MAY DEFINE "REASONABLE COMPENSATION."

 S. 6501--A                         14
 
 (i) DESIGNATION OF MONITOR(S): (OPTIONAL)
   If  you  wish  to  appoint monitor(s), initial and fill in the section
 below:
   (     ) I wish to designate ______________________, whose  address(es)
 is  (are)  ____________________________________________________________,
 as monitor(s). Upon the request of  the  monitor(s),  my  agent(s)  must
 provide the monitor(s) with a copy of the power of attorney and a record
 of  all  transactions  done  or made on my behalf. Third parties holding
 records of such transactions shall provide the records to the monitor(s)
 upon request.
 
 (j) COMPENSATION OF AGENT(S): [(OPTIONAL)]
   Your agent is entitled to be reimbursed from your assets  for  reason-
 able expenses incurred on your behalf. If you ALSO wish your agent(s) to
 be  compensated  from  your assets for services rendered on your behalf,
 [initial the statement below. If you] AND/OR YOU wish to define "reason-
 able compensation", you may do so above, under "Modifications"[.
   (   ) My agent(s) shall be entitled  to  reasonable  compensation  for
 services rendered.]
 
 (k)  ACCEPTANCE  BY  THIRD PARTIES: I agree to indemnify the third party
 for any claims that may arise against the third party because  of  reli-
 ance  on  this  Power  of Attorney. I understand that any termination of
 this Power of Attorney, whether the result of my revocation of the Power
 of Attorney or otherwise, is not effective as to a third party until the
 third party has actual notice or knowledge of the termination.
 
 (l) TERMINATION: This Power of Attorney continues until I revoke  it  or
 it  is terminated by my death or other event described in section 5-1511
 of the General Obligations Law.
   Section 5-1511 of the General Obligations Law describes the manner  in
 which you may revoke your Power of Attorney, and the events which termi-
 nate the Power of Attorney.
 
 (m) SIGNATURE AND ACKNOWLEDGMENT:
 In Witness Whereof I have hereunto signed my name on ___________,20___.
 
 PRINCIPAL signs here: ==>__________________________________________
 
 (acknowledgment)
 
 (n) IMPORTANT INFORMATION FOR THE AGENT:
   When  you accept the authority granted under this Power of Attorney, a
 special legal relationship is created between  you  and  the  principal.
 This  relationship  imposes  on you legal responsibilities that continue
 until you resign or the Power of Attorney is terminated or revoked.  You
 must:
   (1)  act  according  to any instructions from the principal, or, where
 there are no instructions, in the principal's best interest;
   (2) avoid conflicts that would impair your ability to act in the prin-
 cipal's best interest;
   (3) keep the principal's  property  separate  and  distinct  from  any
 assets you own or control, unless otherwise permitted by law;
   (4)  keep  a record [or] OF all [receipts, payments, and] transactions
 conducted for the principal OR KEEP ALL RECEIPTS OF PAYMENTS AND  TRANS-
 ACTIONS CONDUCTED FOR THE PRINCIPAL; and

 S. 6501--A                         15
 
   (5)  disclose your identity as an agent whenever you act for the prin-
 cipal by writing or printing the principal's name and signing  your  own
 name  as  "agent" in either of the following manners: (Principal's Name)
 by (Your Signature) as Agent, or (your signature) as Agent for  (Princi-
 pal's Name).
   You  may  not use the principal's assets to benefit yourself or anyone
 else or make gifts to yourself or anyone else unless the  principal  has
 specifically  granted you that authority in THE MODIFICATIONS SECTION OF
 this document[, which is either a Statutory Gifts Rider  attached  to  a
 Statutory  Short  Form  Power  of  Attorney] or a Non-Statutory Power of
 Attorney. If you have that authority, you  must  act  according  to  any
 instructions  of the principal or, where there are no such instructions,
 in the principal's best interest.  You  may  resign  by  giving  written
 notice to the principal and to any co-agent, successor agent, monitor if
 one  has been named in this document, or the principal's guardian if one
 has been appointed. If there is anything about  this  document  or  your
 responsibilities  that  you  do  not  understand,  you should seek legal
 advice.
   Liability of agent:
   The meaning of the authority given to you is  defined  in  New  York's
 General  Obligations  Law,  Article 5, Title 15. If it is found that you
 have violated the law or acted outside the authority granted to  you  in
 the  Power  of  Attorney,  you  may  be  liable  under  the law for your
 violation.
 
 (o) AGENT'S SIGNATURE AND ACKNOWLEDGMENT OF APPOINTMENT:
   It is not required that the principal and the  agent(s)  sign  at  the
 same time, nor that multiple agents sign at the same time.
 
 I/we, ___________________________________________, have read the forego-
 ing  Power  of Attorney. I am/we are the person(s) identified therein as
 agent(s) for the principal named therein.
 
 I/we acknowledge my/our legal responsibilities.
 IN WITNESS WHEREOF I HAVE HEREUNTO SIGNED MY  NAME  ON  ________________
 20_____.
 
 Agent(s) sign(s) here:==>__________________________________________
 
 (acknowledgment(s))
 
 (p) SUCCESSOR AGENT'S SIGNATURE AND ACKNOWLEDGMENT OF APPOINTMENT:
   It  is  not required that the principal and the SUCCESSOR agent(s), if
 any, sign at the same time, nor that multiple SUCCESSOR agents  sign  at
 the  same  time. Furthermore, successor agents can not use this power of
 attorney unless the agent(s) designated above is/are unable or unwilling
 to serve.
 
 I/we, ___________________________________________, have read the forego-
 ing Power of Attorney. I am/we are the person(s) identified  therein  as
 SUCCESSOR agent(s) for the principal named therein.
 IN  WITNESS  WHEREOF  I HAVE HEREUNTO SIGNED MY NAME ON ________________
 20_____.
 
 Successor Agent(s) sign(s) here:==>______________________________________

 S. 6501--A                         16
 
 (acknowledgment(s))"
   § 18. Section 5-1514 of the general obligations law is REPEALED.
   §  19.  This  act  shall  take effect on the one hundred eightieth day
 after it shall have become a law, provided,  that  any  statutory  short
 form power of attorney and any statutory gifts rider executed by a prin-
 cipal  and  valid  at  the  time executed by such principal shall remain
 valid, as will any revocation of a prior  power  of  attorney  that  was
 delivered to an agent prior to the effective date of this act.