In plain English
Rules differ by state. Many states forbid notarizing for yourself or when you receive a direct financial benefit.
When in doubt, decline politely and point the signer to someone else, then write down what happened. Keeping a clean line between yourself and the transaction protects everyone involved.
Why it matters
A notarization by someone with a stake in the document can be challenged and may be void. That can undo a property transfer or a power of attorney when it matters most.
Signers may be tempted to use a relative who is a notary, but that convenience can cause problems later.
Worked example
A notary is named as a beneficiary in a trust document and should not notarize it.
What to do
- Check whether you are named in the document or will benefit from it.
- Review your state's rules on notarizing for relatives.
- Decline if you have a financial or personal interest.
- Suggest another notary to the signer.
- Note the declined request in your records if your practice is to do so.
Common mistakes
- Notarizing a spouse's deed when you are also on title can make the acknowledgment questionable.
- Accepting a commission from a sale you notarize can create a financial interest that state rules forbid.
- Assuming a small benefit does not count can lead to a challenge.
Not the same as: Unauthorized practice of law
A conflict of interest arises when the notary benefits from the transaction, while unauthorized practice of law is giving legal advice without a license. See Unauthorized practice of law.
Go deeper
- Notary Conflict of Interest: When to Step Aside: Learn how notaries think about conflicts of interest, which situations call for stepping aside, and what signers can do when their usual notary cannot act.
- Can a Notary Notarize for Family Members?: Can you notarize for your own relatives? See how rules differ by state, why many notaries decline, and what to do when the only notary you know is family.
Related terms
- Credential analysis: Technology that checks whether a government ID is genuine, used in remote online notarization.
- Credible witness: A person who knows the signer and vouches for their identity to the notary when the signer lacks acceptable ID, where state law allows it.
- Commission: The official authority a state gives a person to act as a notary for a set term.
Common questions
What is a conflict of interest?
A situation where the notary benefits from the transaction or is a party to it, making the notarization improper.
Can you give an example of conflict of interest?
A notary is named as a beneficiary in a trust document and should not notarize it.
Can a notary notarize for family?
Rules vary by state. Even where allowed, it can be wise to avoid it if the notary benefits.
Can an employee notarize for their employer?
Often yes, if they do not personally benefit. Check state rules.
General information, not legal advice. Rules vary by state and change; check with your state's commissioning office.