Florida Senate - 2024                                     SB 556
       
       
        
       By Senator Rouson
       
       
       
       
       
       16-00063A-24                                           2024556__
    1                        A bill to be entitled                      
    2         An act relating to protection of specified adults;
    3         creating s. 415.10341, F.S.; defining terms; providing
    4         legislative findings and intent; authorizing financial
    5         institutions, under certain circumstances, to delay a
    6         disbursement or transaction from an account of a
    7         specified adult; requiring the financial institution
    8         to make certain information available upon request by
    9         certain entities; specifying that a delay on a
   10         disbursement or transaction expires on a certain date;
   11         authorizing the financial institution to extend the
   12         delay under certain circumstances; authorizing a court
   13         of competent jurisdiction to shorten or extend the
   14         delay; providing construction; granting financial
   15         institutions immunity from certain liability;
   16         providing construction; requiring financial
   17         institutions to take certain actions before placing a
   18         delay on a disbursement or transaction; providing
   19         construction; providing an effective date.
   20          
   21  Be It Enacted by the Legislature of the State of Florida:
   22  
   23         Section 1. Section 415.10341, Florida Statutes, is created
   24  to read:
   25         415.10341 Protection of specified adults.—
   26         (1)As used in this section, the term:
   27         (a)“Financial exploitation” means the wrongful or
   28  unauthorized taking, withholding, appropriation, or use of
   29  money, assets, or property of a specified adult; or any act or
   30  omission by a person, including through the use of a power of
   31  attorney, guardianship, or conservatorship of a specified adult,
   32  to:
   33         1.Obtain control over the specified adult’s money, assets,
   34  or property through deception, intimidation, or undue influence
   35  to deprive him or her of the ownership, use, benefit, or
   36  possession of the money, assets, or property; or
   37         2.Divert the specified adult’s money, assets, or property
   38  to deprive him or her of the ownership, use, benefit, or
   39  possession of the money, assets, or property.
   40         (b)“Financial institution” means a state financial
   41  institution or a federal financial institution as those terms
   42  are defined under s. 655.005(1).
   43         (c)“Specified adult” means a natural person 65 years of
   44  age or older, or a vulnerable adult as defined in s. 415.102.
   45         (d)“Trusted contact” means a natural person 18 years of
   46  age or older whom the account owner has expressly identified and
   47  recorded in a financial institution’s books and records as the
   48  person who may be contacted about the account.
   49         (2)The Legislature finds that many persons in this state,
   50  because of age or disability, are at increased risk of financial
   51  exploitation and loss of their assets, funds, investments, and
   52  investment accounts. The Legislature further finds that
   53  specified adults in this state are at a statistically higher
   54  risk of being targeted for financial exploitation, regardless of
   55  diminished capacity or other disability, because of their
   56  accumulation of substantial assets and wealth compared to
   57  younger age groups. In enacting this section, the Legislature
   58  recognizes the freedom of specified adults to manage their
   59  assets, make investment choices, and spend their funds, and
   60  intends that such rights may not be infringed absent a
   61  reasonable belief of financial exploitation as provided in this
   62  section. The Legislature therefore intends to provide for the
   63  prevention of financial exploitation of such persons. The
   64  Legislature intends to encourage the constructive involvement of
   65  financial institutions that take action based upon the
   66  reasonable belief that specified adults who have accounts with
   67  such financial institutions have been or are the subject of
   68  financial exploitation, and to provide financial institutions
   69  and their employees immunity from liability for taking actions
   70  as authorized herein. The Legislature intends to balance the
   71  rights of specified adults to direct and control their assets,
   72  funds, and investments and to exercise their constitutional
   73  rights consistent with due process with the need to provide
   74  financial institutions the ability to place narrow, time-limited
   75  restrictions on these rights in an effort to decrease specified
   76  adults’ risk of loss due to abuse, neglect, or financial
   77  exploitation.
   78         (3)If a financial institution reports suspected financial
   79  exploitation of a specified adult pursuant to s. 415.1034, it
   80  may delay a disbursement or transaction from an account of a
   81  specified adult or an account for which a specified adult is a
   82  beneficiary or beneficial owner if all of the following apply:
   83         (a)The financial institution immediately initiates an
   84  internal review of the facts and circumstances that caused an
   85  employee of the financial institution to report suspected
   86  financial exploitation.
   87         (b)Not later than 3 business days after the date on which
   88  the delay was first placed, the financial institution:
   89         1.Notifies in writing all parties authorized to transact
   90  business on the account and any trusted contact on the account,
   91  using the contact information provided for the account, with the
   92  exception of any party an employee of the financial institution
   93  reasonably believes has engaged in, is engaging in, has
   94  attempted to engage in, or will attempt to engage in the
   95  suspected financial exploitation of the specified adult. The
   96  notice, which may be provided electronically, must provide the
   97  reason for the delay.
   98         2.Creates and maintains for at least 5 years from the date
   99  of the delayed disbursement or transaction a written or
  100  electronic record of the delayed disbursement or transaction
  101  that includes, at minimum, the following information:
  102         a.The date on which the delay was first placed.
  103         b.The name and address of the specified adult.
  104         c.The business location of the financial institution.
  105         d.The name and title of the employee who reported
  106  suspected financial exploitation of the specified adult pursuant
  107  to s. 415.1034.
  108         e.The facts and circumstances that caused the employee to
  109  report suspected financial exploitation.
  110         (4)The financial institution must make the information
  111  required in subparagraph (3)(b)2. available for review upon
  112  request by the department, any law enforcement agency conducting
  113  an investigation under s. 415.104, or any state or federal
  114  agency with regulatory authority over the financial institution.
  115         (5)A delay on a disbursement or transaction under
  116  subsection (3) expires 15 business days after the date on which
  117  the delay was first placed. However, the financial institution
  118  may extend the delay for up to 10 additional business days if
  119  the financial institution’s review of the available facts and
  120  circumstances continues to support the reasonable belief that
  121  financial exploitation of the specified adult has occurred, is
  122  occurring, has been attempted, or will be attempted. The length
  123  of the delay may be shortened or extended at any time by a court
  124  of competent jurisdiction. This subsection does not prevent a
  125  financial institution from terminating a delay after
  126  communication with the parties authorized to transact business
  127  on the account and any trusted contact on the account.
  128         (6)A financial institution that acts in good faith and
  129  exercises reasonable care to comply with this section is immune
  130  from any administrative or civil liability that might otherwise
  131  arise from such delay in a disbursement or transaction in
  132  accordance with this section. This subsection does not supersede
  133  or diminish any immunity granted elsewhere in this chapter.
  134         (7)Before placing a delay on a disbursement or transaction
  135  pursuant to this section, a financial institution must do all of
  136  the following:
  137         (a)Develop training policies or programs reasonably
  138  designed to educate employees on issues pertaining to financial
  139  exploitation of specified adults.
  140         (b)Conduct training for all employees at least annually
  141  and maintain a written record of all trainings conducted.
  142         (c)Develop, maintain, and enforce written procedures
  143  regarding the manner in which suspected financial exploitation
  144  is reviewed internally, including, if applicable, the manner in
  145  which suspected financial exploitation is required to be
  146  reported to supervisory personnel.
  147         (8)Absent a reasonable belief of financial exploitation as
  148  provided in this section, this section does not otherwise alter
  149  a financial institution’s obligations to all parties authorized
  150  to transact business on an account and any trusted contact named
  151  on such account.
  152         (9)This section does not create new rights for or impose
  153  new obligations on a financial institution under other
  154  applicable law.
  155         Section 2. This act shall take effect July 1, 2024.