Key Takeaways
- A notary cannot notarize a document in which they have a direct beneficial interest
- Notarizing for immediate family members is prohibited when a direct beneficial interest exists
- Prohibited family relationships include spouse, domestic partner, parent, sibling, child, and step/half relatives
- Being named in a document (as a party, beneficiary, etc.) creates a disqualifying interest
- Receiving only a notary fee does NOT create a disqualifying interest
Conflicts of Interest
A notary must remain impartial and disinterested in all transactions. Conflicts of interest can invalidate notarizations and result in disciplinary action.
What Is a Conflict of Interest?
A conflict of interest exists when a notary has a stake in the outcome of the transaction being notarized. This can occur through:
- Direct financial interest
- Family relationship
- Being named in the document
Direct Beneficial Interest
A notary may NOT perform a notarial act if they have a direct beneficial interest in the document or transaction.
What Creates a Direct Beneficial Interest?
| Situation | Creates Conflict? |
|---|---|
| Notary is named as a party to the document | Yes |
| Notary is a beneficiary (will, trust, etc.) | Yes |
| Notary is the lender or borrower | Yes |
| Notary receives a commission/bonus from transaction | Yes |
| Notary is a grantee on a deed | Yes |
| Notary receives only their standard notary fee | No |
| Notary is a witness to a document | Generally No |
Receiving the Notary Fee
Important: Receiving your standard notary fee does NOT create a conflict of interest. You may charge and accept your fee for notarizations.
Family Member Restrictions
Maine law prohibits notarizing documents for certain family members when a direct beneficial interest exists:
Prohibited Family Relationships
| Relationship | Prohibited? |
|---|---|
| Spouse | Yes |
| Domestic partner | Yes |
| Parent | Yes |
| Sibling | Yes |
| Child | Yes |
| In-law relatives | Yes |
| Step-relatives | Yes |
| Half-relatives | Yes |
When Family Notarization IS Allowed
You may notarize for family members only when:
- You have NO direct beneficial interest in the transaction
- The document does not benefit you personally
- You can remain completely impartial
Example:
- Your sister wants a notarized copy of her ID for travel = Generally okay
- Your sister wants you to notarize a deed transferring property to you = NOT okay
Self-Notarization
A notary may NEVER notarize their own signature. This is called self-notarization and is always prohibited.
| Document Type | Can You Notarize Your Own? |
|---|---|
| Your own affidavit | No |
| Your own acknowledgment | No |
| Contract where you're a party | No |
| Any document with your signature | No |
Business Relationship Conflicts
| Situation | Guidance |
|---|---|
| Notarizing for your employer | Generally okay if no personal interest |
| Notarizing business documents | Okay if you're not a party/beneficiary |
| Notarizing for your own business | May be problematic - proceed with caution |
| Receiving referral bonuses | May create conflict |
On the Exam
Key points:
- Never self-notarize your own signature
- Notary fee only = No conflict
- Named in document = Conflict exists
- Family members = No notarization if direct beneficial interest
- Impartiality = Must always remain neutral
Can a Maine notary notarize a document that names them as a beneficiary?
A notary's adult daughter asks her to notarize a deed transferring property from a third party to the daughter. Can the notary perform this notarization?