(1) A third person in good faith and without court order may act on the instructions of or otherwise deal with any person purporting to make a transfer or purporting to act in the capacity of a custodian and, in the absence of knowledge, is not responsible for determining:
The validity of the purported custodian's designation;
The propriety of, or the authority under this article for, any act of the purported custodian;
The validity or propriety under this article of any instrument or instructions executedor given either by the person purporting to make a transfer or by the purported custodian; or
The propriety of the application of any property of the minor delivered to the purported custodian.
Source: L. 84: Entire article R&RE, p. 390, § 1, effective July 1.
Editor's note: This section is similar to former § 11-50-107 as it existed prior to 1984.