{"data":{"id":"us-ky/krs-365.245","jurisdiction":"us-ky","citation":"KRS 365.245","heading":"Protection from Financial Exploitation Act.","body":"(1) As used in this section:\n(a) \"Authorized agencies\" means the Cabinet for Health and Family Services and\nthe Department of Financial Institutions;\n(b) \"Financial exploitation\" means:\n1. The wrongful or unauthorized taking, withholding, appropriation, or use\nof a specified adult's funds or securities; or\n2. Any act or omission by a person, including through the use of a power of\nattorney, guardianship, or any other authority regarding a specified adult,\nto:\na. Obtain control, through deception, intimidation, or undue\ninfluence, over a specified adult's money, assets, or property; or\nb. Convert a specified adult's money, assets, or property;\n(c) \"Financial institution\" means any person doing business under the laws of any\nstate or commonwealth or the United States relating to banks, ba nk holding\ncompanies, savings banks, savings and loan associations, trust companies, or\ncredit unions;\n(d) \"Qualified person\" means a:\n1. Broker-dealer as defined in KRS 292.310;\n2. Investment adviser as defined in KRS 292.310; or\n3. Financial institution; and\n(e) \"Specified adult\" means:\n1. A natural person age sixty-five (65) or older; or\n2. A natural person age eighteen (18) or older who a qualified person\nreasonably believes has a mental or physical impairment that renders\nthat natural person unable to protect his or her own interests. A qualified\nperson's reasonable belief may be based on f acts and circumstances\nobserved in the qualified person's business relationship with the natural\nperson.\n(2) (a) If a qualified person reasonably believes that financial exploitation has\noccurred, is occurring, has been attempted, or will be attempted, the  qualified\nperson may notify the following:\n1. Authorized agencies; and\n2. Any third party that is:\na. Reasonably associated with the specified adult; or\nb. Otherwise permitted by law.\n(b) Any report or disclosure made to authorized agencies pursuant to th is\nsubsection shall be confidential and shall not be subject to disclosure pursuant\nto the Kentucky Open Records Act, KRS 61.870 to 61.884. The name of the\nnotifying qualified person shall not be revealed to any person outside of the\nauthorized agencies without the permission of the notifying qualified person.\n(3) (a) A qualified person may place a temporary hold on a transaction on or a\ndisbursement from an account of a specified adult, or an account on which a\nspecified adult is a beneficiary, if:\n1. The qualified person fulfills any reporting obligations under KRS\n209.030. Nothing in this subsection shall be read to expand any of the\nrequirements of KRS 209.030;\n2. The qualified person reasonably believes that financial exploitation of a\nspecified adult has occurred, is occurring, has been attempted, or will be\nattempted; and\n3. Not later than two (2) business days after the date the temporary hold\nwas first placed, oral or written notification, which may be electronic, of\nthe temporary hold and the reason for the temporary hold is made to:\na. All parties authorized to transact business on the account; and\nb. Any person age eighteen (18) or older authorized by the specified\nadult or their legal representative, in writing, to be contacted about\nthe specified adult's account.\n(b) 1. Unless otherwise provided in subparagraph 2. of this paragraph, any\ntemporary hold authorized by this subsection shall expire upon the\nsooner of:\na. A determination by the qualified person that the disbursement or\ntransaction will not result in financial exploitation of the specified\nadult; or\nb. Not later than fifteen (15) business days after the date the qualified\nperson first placed the temporary hold, unless the qualified\nperson's internal review of the facts and circumstances s upports its\nreasonable belief that financial exploitation of the specified adult\nhas occurred, is occurring, has been attempted, or will be\nattempted, in which case the qualified person may extend the\nexpiration to not later than twenty -five (25) business days after the\ndate the qualified person first placed the temporary hold.\n2. At any time, an agency of competent jurisdiction, including but not\nlimited to the authorized agencies, or a court of competent jurisdiction\nmay terminate or extend a temporary hold authorized by this subsection.\n(4) Notwithstanding subsection (2) or (3) of this section, a notification permitted or\nrequired by this section shall not be made to any person who is suspected of\nfinancial exploitation or other abuse.\n(5) (a) A qualified  person shall provide access to or copies of records that are\nrelevant to the suspected or attempted financial exploitation of a specified\nadult to agencies charged with administering state adult protective services\nlaws and to law enforcement, either as part of a referral to the agency or to law\nenforcement, or upon request of the agency or law enforcement pursuant to an\ninvestigation.\n(b) The records may include historical records as well as records relating to the\nmost recent disbursements or disbursemen ts that may comprise financial\nexploitation of a specified adult.\n(c) All records made available to agencies pursuant to this subsection shall be\nconfidential and shall not be subject to disclosure pursuant to the Kentucky\nOpen Records Act, KRS 61.870 to 61.884.\n(d) Nothing in this subsection shall limit or otherwise impede the authority of the\ncommissioner of the Department of Financial Institutions to access or examine\nthe books and records of a qualified person as otherwise provided by law.\n(6) Notwithstanding any provision of law to the contrary, the authorized agencies may\ndisclose to any notifying qualified person the general status or final disposition of\nany investigation that arose from a report made by the qualified person.\n(7) A qualified  person that exercises good faith in making disclosures, placing a\ntemporary hold, or providing access to records pursuant to this section shall be\nimmune from any administrative or civil liability that might otherwise arise from\nsuch activities.\n(8) This section may be cited as the \"Protection from Financial Exploitation Act.\"","path":["KRS Chapter 365"],"source_url":"https://apps.legislature.ky.gov/law/statutes/statute.aspx?id=47962","current_through":"Includes enactments through the 2026 Regular Session","vintage":"09/05/2026","retrieved_at":"2026-09-05T20:59:01Z","sha256":"620ce562e41fd43672523cac4fee473176d6d6d6970c35c7152ea4ef6355c9c2","source_id":"us-ky","stale":false,"prev":"us-ky/krs-365.241","next":"us-ky/krs-365.250"},"notice":"GroundRules: Original legal text. Not legal advice."}