Colorado Code
Part 7 - Uniform Power of Attorney Act
§ 15-14-720. Liability for Refusal to Accept Acknowledged Power of Attorney

Source: L. 2009: Entire part added, (HB 09-1198), ch. 106, p. 394, § 1, effective April 9. L. 2011: (2)(f) amended, (SB 11-083), ch. 101, p. 311, § 22, effective August 10.
OFFICIAL COMMENT TO ALTERNATIVE A
As a complement to Section 15-14-719, Section 15-14-720 enumerates the bases for legitimate refusals of a power of attorney as well as sanctions for refusals that violate the Act. Like Section 15-14-719, Section 15-14-720 does not apply to unacknowledged powers of attorney. Enacting jurisdictions are provided a choice between alternative Sections 15-14-720. Alternatives A and B are identical except that Alternative B applies only to acknowledged statutory form powers of attorney while Alternative A applies to all acknowledged powers of attorney.
Subsection (2) of Alternative A provides the bases upon which an acknowledged power of attorney may be refused without liability. The last paragraph of subsection (2) permits refusal of an otherwise valid acknowledged power of attorney that does not meet any of the other bases for refusal if the person in good faith believes that the principal is subject to abuse by the agent or someone acting in concert with the agent (paragraph (2)(f)). A refusal under this paragraph is protected if the person makes, or knows another person has made, a report to the governmental agency authorized to protect the welfare of the principal. Pennsylvania has a similar provision. See 20 Pa. Cons. Stat. Ann. § 5608(a) (West 2005).
Unless a basis exists in subsection (2) for refusing an acknowledged power of attorney, subsection (1) requires that, within seven business days after the power of attorney is presented, a person must either accept the power of attorney or request a certification, a translation, or an opinion of counsel pursuant to Section 15-14-719. If a request under Section 15-14-719 is made, the person must decide to accept or reject the power of attorney no later than five business days after receipt of the requested document (subsection (1)(b)). Provided no basis exists for refusing the power of attorney, subsection (1)(c) prohibits a person from requesting an additional or different form of power of attorney for authority granted in the power of attorney presented.
Subsection (3) of Alternative A provides that a person that refuses an acknowledged power of attorney in violation of Section 15-14-720 is subject to a court order mandating acceptance and to reasonable attorney's fees and costs incurred in the action to confirm the validity of the power of attorney or to mandate acceptance. Statutory liability for unreasonable refusal of a power of attorney is based on a growing state legislative trend. See, e.g. , Alaska Stat. § 13.26.353(c) (2004); Cal. Prob. Code § 4306(a) (West Supp. 2006); Fla. Stat. Ann. § 709.08(11) (West 2000 & Supp. 2006); 755 Ill. Comp. Stat. Ann. 45/ 2-8 (West 1992); Ind. Code Ann. § 30-5-9-9 (West Supp. 2005); Minn. Stat. Ann. § 523.20 (West 2006); N.Y. Gen. Oblig. Law § 5-1504 (McKinney 2001); N.C. Gen. Stat. § 32A-41 (2005); 20 Pa. Cons. Stat. Ann. § 5608 (West 2005); S.C. Code Ann. § 62-5-501(F)(1) (Supp. 2005).

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