KRS 385.162: Exemption of third person from liability.

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 fo r

determining:

(1) The validity of the purported custodian's designation;

(2) The propriety of, or the authority under KRS 385.032 to 385.222 for, any act of the

purported custodian;

(3) The validity or propriety under KRS 385.032 to 385.222 of any instrum ent or

instructions executed or given either by the person purporting to make a transfer or

by the purported custodian; or

(4) The propriety of the application of any property of the minor delivered to the

purported custodian.