South Dakota Codified Laws
Chapter 07 - Third Party Responsibility For Fiduciary Acts
Section 55-7-4 - Payment or transfer to fiduciary--Nonliability of transferor for improper application.

55-7-4. Payment or transfer to fiduciary--Nonliability of transferor for improper application.
A person who in good faith pays or transfers to a fiduciary any money or other property which the fiduciary as such is authorized to receive, is not responsible for the proper application thereof by the fiduciary; and any right or title acquired from the fiduciary in consideration of such payment or transfer is not invalid in consequence of a misapplication by the fiduciary.

Source: SL 1943, ch 19, §2; SDC Supp 1960, §6.0702.

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Structure South Dakota Codified Laws

South Dakota Codified Laws

Title 55 - Fiduciaries and Trusts

Chapter 07 - Third Party Responsibility For Fiduciary Acts

Section 55-7-1 - Liability of third persons dealing with trustees.

Section 55-7-2 - Definition of terms.

Section 55-7-3 - A thing done "in good faith" defined.

Section 55-7-4 - Payment or transfer to fiduciary--Nonliability of transferor for improper application.

Section 55-7-5 - Check or bill of exchange drawn by fiduciary payable to third person--Liability of payee.

Section 55-7-6 - Transfer of check or bill of exchange drawn by fiduciary who holds it as payee or transferee.