Exemption of third person from liability

A third person in good faith and without a court order may act on instructions of, or otherwise deal with, a person purporting to make a transfer as, or purporting to act in the capacity of, a custodial trustee. In the absence of knowledge to the contrary, the third person is not responsible for determining: (1) the validity of the purported custodial trustee's designation; (2) the propriety of, or the authority under this subchapter for, any action of the purported custodial trustee; (3) the validity or propriety of an instrument executed or instruction given pursuant to this subchapter either by the person purporting to make a transfer or declaration or by the purported custodial trustee; or (4) the propriety of the application of property vested in the purported custodial trustee. Acts 1991, No. 273, § 11. A third person in good faith and without a court order may act on instructions of, or otherwise deal with, a person purporting to make a transfer as, or purporting to act in the capacity of, a custodial trustee. In the absence of knowledge to the contrary, the third person is not responsible for determining: (1) the validity of the purported custodial trustee's designation; (2) the propriety of, or the authority under this subchapter for, any action of the purported custodial trustee; (3) the validity or propriety of an instrument executed or instruction given pursuant to this subchapter either by the person purporting to make a transfer or declaration or by the purported custodial trustee; or (4) the propriety of the application of property vested in the purported custodial trustee. Acts 1991, No. 273, § 11.