AGENTS

Iowa Code tit. XV, ch. 633B, subch. I, pt. 2

in effect

Iowa Code § 633B.111 Coagents and successor agents.

633B.111. Coagents and successor agents. 1. A principal may designate two or more persons to act as coagents. Unless the power of attorney otherwise provides, all of the following apply to actions of coagents: a. A power held by coagents shall be exercised by majority action. b. If impasse occurs due to the failure to reach a majority decision, any agent may petition the court to decide the issue, or a majority of the agents may consent to an alternative form of dispute resolution. c. If one or more agents resigns or becomes unable to act, the remaining coagents may act. 2. A principal may designate one or more successor agents to act if an agent resigns, dies, becomes incapacitated, is not qualified to serve, or declines to serve. A principal may grant authority to designate one or more successor agents to an agent or other person designated by name, office, or function. Unless the power of attorney otherwise provides, a successor agent: a. Has the same authority as that granted to the original agent. b. Shall not act until all predecessor agents have resigned, died, become incapacitated, are no longer qualified to serve, or have declined to serve. 3. Except as otherwise provided in the power of attorney and subsection 4, an agent that does not participate in or conceal a breach of fiduciary duty committed by another agent, including a predecessor agent, is not liable for the actions of the other agent. 4. An agent with actual knowledge of a breach or imminent breach of fiduciary duty by another agent shall notify the principal and, if the principal is incapacitated, take any action reasonably appropriate in the circumstances to safeguard the principal’s best interest. An agent that fails to notify the principal or take action as required by this subsection is liable for the reasonably foreseeable damages that could have been avoided if the agent had notified the principal or taken such action. 2014 Acts, ch 1078, §13

Iowa Code § 633B.112 Reimbursement and compensation of agent.

633B.112. Reimbursement and compensation of agent. Unless the power of attorney otherwise provides, an agent who is an individual is entitled to reimbursement of expenses reasonably incurred on behalf of the principal but not to compensation. If a power of attorney does provide for compensation or if the agent is a bank or trust company authorized to administer trusts in Iowa, the compensation must be reasonable under the circumstances. 2014 Acts, ch 1078, §14

Iowa Code § 633B.113 Agent’s acceptance.

633B.113. Agent’s acceptance. Except as otherwise provided in the power of attorney, a person accepts appointment as an agent under a power of attorney by exercising authority or performing duties as an agent or by any other assertion or conduct indicating acceptance. 2014 Acts, ch 1078, §15

Iowa Code § 633B.114 Agent’s duties.

633B.114. Agent’s duties. 1. Notwithstanding provisions in the power of attorney, an agent that has accepted appointment shall act in conformity with all of the following: a. In accordance with the principal’s reasonable expectations to the extent actually known by the agent and otherwise in the principal’s best interest. b. In good faith. c. Only within the scope of authority granted in the power of attorney. 2. Except as otherwise provided in the power of attorney, an agent that has accepted appointment shall do all of the following: a. Act loyally for the principal’s benefit. b. Act so as not to create a conflict of interest that impairs the agent’s ability to act impartially in the principal’s best interest. c. Act with the care, competence, and diligence ordinarily exercised by agents in similar circumstances. d. Keep a record of all receipts, disbursements, and transactions made on behalf of the principal. e. Cooperate with a person that has authority to make health care decisions for the principal to carry out the principal’s reasonable expectations to the extent actually known by the agent and, otherwise, act in the principal’s best interest. f. Attempt to preserve the principal’s estate plan, to the extent actually known by the agent, if preserving the plan is consistent with the principal’s best interest based upon all relevant factors, including all of the following: (1) The value and nature of the principal’s property. (2) The principal’s foreseeable obligations and need for maintenance. (3) Minimization of the principal’s taxes, including income, estate, inheritance, generation-skipping transfer, and gift taxes. (4) The principal’s eligibility for a benefit, a program, or assistance under a statute or regulation or contract. 3. An agent that acts in good faith is not liable to any beneficiary under the principal’s estate plan for failure to preserve the plan. 4. An agent that acts with care, competence, and diligence for the best interest of the principal is not liable solely because the agent also benefits from the act or has an individual or conflicting interest in relation to the property or affairs of the principal. 5. If an agent is selected by the principal because of special skills or expertise possessed by the agent or in reliance on the agent’s representation that the agent has special skills or expertise, the special skills or expertise shall be considered in determining whether the agent has acted with care, competence, and diligence under the circumstances. 6. Absent a breach of duty to the principal, an agent is not liable if the value of the principal’s property declines. 7. An agent that exercises authority to delegate to another person the authority granted by the principal or that engages another person on behalf of the principal is not liable for an act, error of judgment, or default of that person if the agent exercises care, competence, and diligence in selecting and monitoring the person. 8. Except as otherwise provided in the power of attorney, an agent is not required to disclose receipts, disbursements, or transactions conducted on behalf of the principal unless ordered by a court or requested by the principal, a conservator, another fiduciary acting for the principal, a governmental agency having authority to protect the welfare of the principal, or, upon the death of the principal, by the personal representative or a successor in interest of the principal’s estate. If an agent receives a request to disclose such information, the agent shall comply with the request within thirty days of the request or provide a writing or other record substantiating why additional time is necessary. Such additional time shall not exceed thirty days. 2014 Acts, ch 1078, §16

Iowa Code § 633B.115 Exoneration of agent.

633B.115. Exoneration of agent. A provision in a power of attorney relieving an agent of liability for breach of duty is binding on the principal and the principal’s successors in interest except to the extent the provision does any of the following: 1. Relieves the agent of liability for a breach of duty committed in bad faith, with an improper motive, or with reckless indifference to the purposes of the power of attorney or the best interest of the principal. 2. Was included in the power of attorney as a result of an abuse of a confidential or fiduciary relationship with the principal. 2014 Acts, ch 1078, §17

Iowa Code § 633B.116 Judicial relief.

633B.116. Judicial relief. 1. The following persons may petition a court to construe a power of attorney or to review an agent’s conduct: a. The principal or the agent. b. A guardian, conservator, or other fiduciary acting for the principal. c. A person authorized to make health care decisions for the principal. d. The principal’s spouse, parent, or descendant or an individual who would qualify as a presumptive heir of the principal. e. A person named as a beneficiary to receive any property, benefit, or contractual right upon the principal’s death or as a beneficiary of a trust created by or for the principal that has a financial interest in the principal’s estate. f. A governmental agency having regulatory authority to protect the welfare of the principal. g. A person who becomes aware of pending criminal charges of dependent adult abuse against the agent as having abused the principal. h. A person who becomes aware of an investigation of dependent adult abuse related to the agent as having abused the principal. i. The principal’s caregiver, including but not limited to a caretaker as defined in section 235B.2 or 235E.1, or another person that demonstrates sufficient interest in the principal’s welfare. j. A person asked to accept the power of attorney. k. A person designated by the principal in the power of attorney. 2. Upon motion to dismiss by the principal, the court shall dismiss a petition filed under this section unless the court finds that the principal lacks the capacity to revoke the agent’s authority or the power of attorney. 3. Upon a petition to the court to review an agent’s conduct relating to pending criminal charges of dependent adult abuse or an investigation of dependent adult abuse related to the principal, the court may suspend the agent’s power of attorney and may appoint a guardian ad litem to represent the principal. The guardian ad litem shall be a practicing attorney. 4. The court may award reasonable attorney fees and costs to the prevailing party in a proceeding under this section. 2014 Acts, ch 1078, §18; 2018 Acts, ch 1084, §2, 3

Iowa Code § 633B.117 Agent’s liability.

633B.117. Agent’s liability. An agent that violates this chapter is liable to the principal or the principal’s successors in interest for the amount required to do both of the following: 1. Restore the value of the principal’s property to what it would have been had the violation not occurred. 2. Reimburse the principal or the principal’s successors in interest for attorney fees and costs paid on the agent’s behalf. 2014 Acts, ch 1078, §19

Iowa Code § 633B.118 Agent’s resignation — notice.

633B.118. Agent’s resignation — notice. Unless the power of attorney provides for a different method for an agent’s resignation, an agent may resign by giving notice to the principal and, if the principal is incapacitated, to any of the following: 1. The conservator or guardian, if a conservator or guardian has been appointed for the principal, and any coagent or successor agent. 2. If there is no conservator, guardian, or coagent or successor agent, the agent may give notice to any of the following: a. The principal’s caregiver, including but not limited to a caretaker as defined in section 235B.2 or 235E.1. b. Any other person reasonably believed by the agent to have sufficient interest in the principal’s welfare. c. A governmental agency having regulatory authority to protect the welfare of the principal. 2014 Acts, ch 1078, §20

Source: Iowa Legislature (legis.iowa.gov)URL: https://www.legis.iowa.gov/law/iowaCode/sections?codeChapter=633B&year=2026Fetched: 10/20/2026