Uniform Fiduciaries Law

3B:14-52. Uniform Fiduciaries Law

3B:14-52. Short title This article shall be known and may be cited as the Uniform Fiduciaries Law. 3B:14-53. Definitions As used in this article: a. Bank includes any person or association of persons, whether incorporated or not, carrying on the business of banking and any State chartered savings and loan association, or any Federal savings and loan association, having its principal office in this State; The inclusion of savings and loan associations within the provisions of this article shall not be construed as conferring upon those associations any powers not otherwise conferred by this article, nor as enlarging any powers so conferred; b. Fiduciary includes a trustee under any trust, express, implied, resulting or constructive, executor, administrator, guardian, conservator, curator, receiver, trustee in bankruptcy, assignee for the benefit of creditors, partner, agent, officer of a corporation, public or private, public officer, or any other person acting in a fiduciary capacity for any person, trust or estate; c. Person includes two or more persons having a joint or common interest; d. Principal includes any person to whom a fiduciary as such owes an obligation; e. A thing is done in good faith within the meaning of this article, when it is in fact done honestly, whether it be done negligently or not. L.1981, c. 405, s. 3B:14-53, eff. May 1, 1982.3B:14-54. Application of payments of money or transfer of property made to fiduciaries A person who in good faith pays or transfers to a fiduciary money or other property which the fiduciary is authorized to receive, is not responsible for the proper application thereof by the fiduciary. Any right or title acquired from the fiduciary in consideration of the payment or transfer is not invalid in consequence of a misapplication by the fiduciary. L.1981, c. 405, s. 3B:14-54, eff. May 1, 1982.3B:14-55. Check drawn by and payable to fiduciary If a check or other bill of exchange is drawn by a fiduciary as such or in the name of his principal by a fiduciary empowered to draw the instrument in the name of his principal, payable to the fiduciary personally, or payable to a third person and by him transferred to the fiduciary, and is thereafter transferred by the fiduciary, whether in payment of a personal debt of the fiduciary or otherwise, the transferee is not bound to inquire whether the fiduciary is committing a breach of his obligation as fiduciary in transferring the instrument, and is not chargeable with notice that the fiduciary is committing a breach of his obligation as fiduciary unless he takes the instrument with actual knowledge of the breach or with knowledge of facts that his action in taking the instrument amounts to bad faith. http://www.njlaws.com/3b-14-54.html?id=6408&a=