Florida Senate - 2021 CS for SB 1950
By the Committee on Banking and Insurance; and Senator Gruters
597-02918-21 20211950c1
1 A bill to be entitled
2 An act relating to financial institutions; amending s.
3 120.80, F.S.; providing that the failure of foreign
4 nationals to appear through video conference at
5 certain hearings is grounds for denial of certain
6 applications; amending s. 475.01, F.S.; conforming a
7 cross-reference; creating s. 501.2076, F.S.; providing
8 that the imposition of fees or charges upon consumers
9 for online audit verifications of financial
10 institution accounts is a violation of the Florida
11 Deceptive and Unfair Trade Practices Act; amending s.
12 518.117, F.S.; conforming a cross-reference; amending
13 s. 655.045, F.S.; revising the interval for the Office
14 of Financial Regulation to conduct certain
15 examinations; authorizing the Office of Financial
16 Regulation to delay examinations of financial
17 institutions under certain circumstances; specifying
18 that examination requirements are deemed met under
19 certain circumstances; requiring copies of certain
20 examination reports to be furnished to financial
21 institutions; requiring certain directors to review
22 and acknowledge receipt of such reports; amending s.
23 655.414, F.S.; revising the entities that may assume
24 liabilities, and the liabilities that may be assumed,
25 according to certain procedures, conditions, and
26 limitations; specifying the basis for calculating
27 percentages of assets or liabilities; amending s.
28 655.50, F.S.; revising the definition of the term
29 “financial institution”; amending s. 657.021, F.S.;
30 requiring credit unions to submit specified
31 information to the office after certain meetings;
32 amending s. 657.042, F.S.; revising certain
33 limitations on credit union investments; amending s.
34 658.12, F.S.; defining the term “target market”;
35 amending s. 658.20, F.S.; requiring the office, upon
36 receiving applications for authority to organize a
37 bank or trust company, to investigate the need for new
38 bank facilities in a primary service area or target
39 market and the ability of such service area or target
40 market to support new and existing bank facilities;
41 amending s. 658.21, F.S.; deleting a requirement that
42 certain proposed financial institution presidents or
43 chief executive officers have certain experience
44 within a specified timeframe; creating s. 658.265,
45 F.S.; defining the term “trust representative office”;
46 authorizing a trust representative office to engage in
47 certain activities; prohibiting a trust representative
48 office from engaging in fiduciary activities; amending
49 s. 658.28, F.S.; requiring a person or group to notify
50 the office upon acquiring a controlling interest in a
51 bank or trust company in this state; amending s.
52 658.2953, F.S.; defining the term “de novo branch”;
53 amending s. 662.1225, F.S.; revising the type of
54 institution with which certain family trust companies
55 are required to maintain a deposit account; amending
56 s. 662.128, F.S.; revising the timeframe for filing
57 renewal applications for certain family trust
58 companies; amending s. 663.07, F.S.; revising the
59 banks with which international bank agencies or
60 branches shall maintain certain deposits; amending s.
61 663.532, F.S.; requiring limited service affiliates to
62 suspend certain permissible activities under certain
63 circumstances; specifying that such suspensions remain
64 in effect until certain conditions are met; amending
65 s. 736.0802, F.S.; conforming a cross-reference;
66 providing an effective date.
67
68 Be It Enacted by the Legislature of the State of Florida:
69
70 Section 1. Paragraph (a) of subsection (3) of section
71 120.80, Florida Statutes, is amended to read:
72 120.80 Exceptions and special requirements; agencies.—
73 (3) OFFICE OF FINANCIAL REGULATION.—
74 (a) Notwithstanding s. 120.60(1), in proceedings for the
75 issuance, denial, renewal, or amendment of a license or approval
76 of a merger pursuant to title XXXVIII:
77 1.a. The Office of Financial Regulation of the Financial
78 Services Commission shall have published in the Florida
79 Administrative Register notice of the application within 21 days
80 after receipt.
81 b. Within 21 days after publication of notice, any person
82 may request a hearing. Failure to request a hearing within 21
83 days after notice constitutes a waiver of any right to a
84 hearing. The Office of Financial Regulation or an applicant may
85 request a hearing at any time prior to the issuance of a final
86 order. Hearings shall be conducted pursuant to ss. 120.569 and
87 120.57, except that the Financial Services Commission shall by
88 rule provide for participation by the general public.
89 2. Should a hearing be requested as provided by sub
90 subparagraph 1.b., the applicant or licensee shall publish at
91 its own cost a notice of the hearing in a newspaper of general
92 circulation in the area affected by the application. The
93 Financial Services Commission may by rule specify the format and
94 size of the notice.
95 3. Notwithstanding s. 120.60(1), and except as provided in
96 subparagraph 4., an application for license for a new bank, new
97 trust company, new credit union, new savings and loan
98 association, or new licensed family trust company must be
99 approved or denied within 180 days after receipt of the original
100 application or receipt of the timely requested additional
101 information or correction of errors or omissions. An application
102 for such a license or for acquisition of such control which is
103 not approved or denied within the 180-day period or within 30
104 days after conclusion of a public hearing on the application,
105 whichever is later, shall be deemed approved subject to the
106 satisfactory completion of conditions required by statute as a
107 prerequisite to license and approval of insurance of accounts
108 for a new bank, a new savings and loan association, a new credit
109 union, or a new licensed family trust company by the appropriate
110 insurer.
111 4. In the case of an application for license to establish a
112 new bank, trust company, or capital stock savings association in
113 which a foreign national proposes to own or control 10 percent
114 or more of any class of voting securities, and in the case of an
115 application by a foreign national for approval to acquire
116 control of a bank, trust company, or capital stock savings
117 association, the Office of Financial Regulation shall request
118 that a public hearing be conducted pursuant to ss. 120.569 and
119 120.57. Notice of such hearing shall be published by the
120 applicant as provided in subparagraph 2. The failure of such
121 foreign national to appear personally at or participate through
122 video conference in the hearing shall be grounds for denial of
123 the application. Notwithstanding s. 120.60(1) and subparagraph
124 3., every application involving a foreign national shall be
125 approved or denied within 1 year after receipt of the original
126 application or any timely requested additional information or
127 the correction of any errors or omissions, or within 30 days
128 after the conclusion of the public hearing on the application,
129 whichever is later.
130 Section 2. Subsection (4) of section 475.01, Florida
131 Statutes, is amended to read:
132 475.01 Definitions.—
133 (4) A broker acting as a trustee of a trust created under
134 chapter 689 is subject to the provisions of this chapter unless
135 the trustee is a bank, state or federal association, or trust
136 company possessing trust powers as defined in s. 658.12(24) s.
137 658.12(23).
138 Section 3. Section 501.2076, Florida Statutes, is created
139 to read:
140 501.2076 Violations involving consumer financial
141 institution account fees.—The imposition of a fee or other
142 charge by a third party agent or entity directly or indirectly
143 upon a consumer for an online audit verification of an account
144 maintained by a financial institution as defined in s. 655.005
145 or of the associated balance of such account is a violation of
146 this part.
147 Section 4. Section 518.117, Florida Statutes, is amended to
148 read:
149 518.117 Permissible investments of fiduciary funds.—A
150 fiduciary that is authorized by lawful authority to engage in
151 trust business as defined in s. 658.12(21) s. 658.12(20) may
152 invest fiduciary funds in accordance with s. 660.417 so long as
153 the investment otherwise complies with this chapter.
154 Section 5. Paragraph (a) of subsection (1) and subsection
155 (4) of section 655.045, Florida Statutes, are amended, and
156 paragraph (f) is added to subsection (1) of that section, to
157 read:
158 655.045 Examinations, reports, and internal audits;
159 penalty.—
160 (1) The office shall conduct an examination of the
161 condition of each state financial institution at least every 18
162 months. The office may conduct more frequent examinations based
163 upon the risk profile of the financial institution, prior
164 examination results, or significant changes in the institution
165 or its operations. The office may use continuous, phase, or
166 other flexible scheduling examination methods for very large or
167 complex state financial institutions and financial institutions
168 owned or controlled by a multi-financial institution holding
169 company. The office shall consider examination guidelines from
170 federal regulatory agencies in order to facilitate, coordinate,
171 and standardize examination processes.
172 (a) The office may accept an examination of a state
173 financial institution made by an appropriate federal regulatory
174 agency or may conduct a joint or concurrent examination of the
175 institution with the federal agency. If the office accepts an
176 examination report in accordance with this paragraph, However,
177 at least once during each 36-month period beginning July 1,
178 2014, the office shall conduct the subsequent an examination of
179 each state financial institution in a manner that allows the
180 preparation of a complete examination report not subject to the
181 right of a federal or other non-Florida entity to limit access
182 to the information contained therein. The office may furnish a
183 copy of all examinations or reviews made of financial
184 institutions or their affiliates to the state or federal
185 agencies participating in the examination, investigation, or
186 review, or as otherwise authorized under s. 655.057.
187 (f) In coordinating an examination required under this
188 section, if a federal agency suspends or cancels a previously
189 scheduled examination of a financial institution, the office has
190 an additional 90 days to meet the examination requirement of
191 this section. In such case, the requirement is deemed met by the
192 federal agency conducting the examination upon the lifting of
193 the suspension or upon the office conducting the examination
194 instead.
195 (4) A copy of the report of each examination must be
196 furnished to the financial institution entity examined and
197 presented to the board of directors at its next regular or
198 special meeting. Each director shall review the report and
199 acknowledge receipt of the report and such review by signing and
200 dating the prescribed signature page of the report and returning
201 a copy of the signed page to the office.
202 Section 6. Section 655.414, Florida Statutes, is amended to
203 read:
204 655.414 Acquisition of assets; assumption of liabilities.
205 With prior approval of the office and upon such conditions as
206 the commission prescribes by rule, a financial institution
207 entity may acquire 50 percent or more all or substantially all
208 of the assets or liabilities of, or a combination of assets and
209 liabilities of, or assume all or any part of the liabilities of,
210 any other financial institution in accordance with the
211 procedures and subject to the following conditions and
212 limitations:
213 (1) CALCULATION OF ASSET OR LIABILITY PERCENTAGES.
214 Percentages of assets or liabilities must be calculated based on
215 the most recent quarterly reporting date.
216 (2) ADOPTION OF A PLAN.—The board of directors of the
217 acquiring or assuming financial entity and the board of
218 directors of the transferring financial institution must adopt,
219 by a majority vote, a plan for such acquisition, assumption, or
220 sale on terms that are mutually agreed upon. The plan must
221 include:
222 (a) The names and types of financial institutions involved.
223 (b) A statement setting forth the material terms of the
224 proposed acquisition, assumption, or sale, including the plan
225 for disposition of all assets and liabilities not subject to the
226 plan.
227 (c) A provision for liquidation, if applicable, of the
228 transferring financial institution upon execution of the plan,
229 or a provision setting forth the business plan for the continued
230 operation of each financial institution after the execution of
231 the plan.
232 (d) A statement that the entire transaction is subject to
233 written approval of the office and approval of the members or
234 stockholders of the transferring financial institution.
235 (e) If a stock financial institution is the transferring
236 financial institution and the proposed sale is not for cash, a
237 clear and concise statement that dissenting stockholders of the
238 institution are entitled to the rights set forth in s. 658.44(4)
239 and (5).
240 (f) The proposed effective date of the acquisition,
241 assumption, or sale and such other information and provisions as
242 necessary to execute the transaction or as required by the
243 office.
244 (3)(2) APPROVAL OF OFFICE.—Following approval by the board
245 of directors of each participating financial institution, the
246 plan, together with certified copies of the authorizing
247 resolutions adopted by the boards and a completed application
248 with a nonrefundable filing fee, must be forwarded to the office
249 for approval or disapproval. The office shall approve the plan
250 of acquisition, assumption, or sale if it appears that:
251 (a) The resulting financial entity or entities would have
252 an adequate capital structure in relation to their activities
253 and their deposit liabilities;
254 (b) The plan is fair to all parties; and
255 (c) The plan is not contrary to the public interest.
256
257 If the office disapproves the plan, it shall state its
258 objections and give the parties an opportunity to amend the plan
259 to overcome such objections.
260 (4)(3) VOTE OF MEMBERS OR STOCKHOLDERS.—If the office
261 approves the plan, it may be submitted to the members or
262 stockholders of the transferring financial institution at an
263 annual meeting or at a special meeting called to consider such
264 action. Upon a majority vote of the total number of votes
265 eligible to be cast or, in the case of a credit union, a
266 majority vote of the members present at the meeting, the plan is
267 adopted.
268 (5)(4) ADOPTED PLAN; CERTIFICATE; ABANDONMENT.—
269 (a) If the plan is adopted by the members or stockholders
270 of the transferring financial institution, the president or vice
271 president and the cashier, manager, or corporate secretary of
272 such institution shall submit the adopted plan to the office,
273 together with a certified copy of the resolution of the members
274 or stockholders approving it.
275 (b) Upon receipt of the certified copies and evidence that
276 the participating financial institutions have complied with all
277 applicable state and federal law and rules, the office shall
278 certify, in writing, to the participants that the plan has been
279 approved.
280 (c) Notwithstanding approval of the members or stockholders
281 or certification by the office, the board of directors of the
282 transferring financial institution may abandon such a
283 transaction without further action or approval by the members or
284 stockholders, subject to the rights of third parties under any
285 contracts relating thereto.
286 (6)(5) FEDERALLY CHARTERED OR OUT-OF-STATE INSTITUTION AS A
287 PARTICIPANT.—If one of the participants in a transaction under
288 this section is a federally chartered financial institution or
289 an out-of-state financial institution, all participants must
290 also comply with requirements imposed by federal and other state
291 law for the acquisition, assumption, or sale and provide
292 evidence of such compliance to the office as a condition
293 precedent to the issuance of a certificate authorizing the
294 transaction; however, if the purchasing or assuming financial
295 institution is a federal or out-of-state state-chartered
296 financial institution and the transferring state financial
297 entity will be liquidated, approval of the office is not
298 required.
299 (7)(6) STOCK INSTITUTION ACQUIRING MUTUAL INSTITUTION.—A
300 mutual financial institution may not sell 50 percent or more all
301 or substantially all of its assets to a stock financial
302 institution until it has first converted into a capital stock
303 financial institution in accordance with s. 665.033(1) and (2).
304 For this purpose, references in s. 665.033(1) and (2) to
305 associations also refer to credit unions but, in the case of a
306 credit union, the provision concerning proxy statements does not
307 apply.
308 Section 7. Paragraph (c) of subsection (3) of section
309 655.50, Florida Statutes, is amended to read:
310 655.50 Florida Control of Money Laundering and Terrorist
311 Financing in Financial Institutions Act.—
312 (3) As used in this section, the term:
313 (c) “Financial institution” means a state association, a
314 bank, a trust company, a credit union, a credit card bank, an
315 international bank agency, or an international branch financial
316 institution, as defined in 31 U.S.C. s. 5312, as amended,
317 including a credit card bank, located in this state.
318 Section 8. Present subsections (2) through (8) of section
319 657.021, Florida Statutes, are redesignated as subsections (3)
320 through (9), respectively, and a new subsection (2) is added to
321 that section, to read:
322 657.021 Board of directors; executive committee.—
323 (2) Within the 30 days following the annual meeting or any
324 other meeting at which any director, officer, member of the
325 supervisory or audit committee, member of the credit committee,
326 or credit manager is elected or appointed, the credit union
327 shall submit to the office the names and residence addresses of
328 the elected person or persons on a form adopted by the
329 commission and provided by the office.
330 Section 9. Paragraph (a) of subsection (5) of section
331 657.042, Florida Statutes, is amended to read:
332 657.042 Investment powers and limitations.—A credit union
333 may invest its funds subject to the following definitions,
334 restrictions, and limitations:
335 (5) INVESTMENTS IN REAL ESTATE AND EQUIPMENT FOR THE CREDIT
336 UNION.—
337 (a) Up to 60 5 percent of the equity capital of the credit
338 union may be invested in the direct ownership of, or leasehold
339 interests in, land, buildings, furniture, fixtures, and
340 equipment, and improvements thereon, used or to be used by the
341 credit union in the transaction of its business. This limitation
342 applies to assets subject to a lease agreement which are
343 required to be capitalized under criteria issued by the
344 Financial Accounting Standards Board real estate and
345 improvements thereon, furniture, fixtures, and equipment
346 utilized or to be utilized by the credit union for the
347 transaction of business.
348 Section 10. Present subsections (20) through (24) of
349 section 658.12, Florida Statutes, are redesignated as
350 subsections (21) through (25), respectively, and a new
351 subsection (20) is added to that section, to read:
352 658.12 Definitions.—Subject to other definitions contained
353 in the financial institutions codes and unless the context
354 otherwise requires:
355 (20) “Target market” means the group of clients or
356 potential clients from whom a bank or proposed bank expects to
357 draw deposits and to whom a bank focuses or intends to focus its
358 marketing efforts. The term also means the group of clients or
359 potential clients from whom a trust company, a trust department
360 of a bank or association, a proposed trust company, or a
361 proposed trust department of a bank or an association expects to
362 draw its fiduciary accounts and to whom it focuses or intends to
363 focus its marketing efforts.
364 Section 11. Paragraphs (b) and (c) of subsection (1) of
365 section 658.20, Florida Statutes, are amended to read:
366 658.20 Investigation by office.—
367 (1) Upon the filing of an application, the office shall
368 make an investigation of:
369 (b) The need for bank or trust facilities or additional
370 bank or trust facilities, as the case may be, in the primary
371 service area where the proposed bank or trust company is to be
372 located or in the target market that the bank or trust company
373 intends to engage in business.
374 (c) The ability of the primary service area or target
375 market to support the proposed bank or trust company and all
376 other existing bank or trust facilities that serve the same
377 primary service area or target market in the primary service
378 area.
379 Section 12. Subsection (4) of section 658.21, Florida
380 Statutes, is amended to read:
381 658.21 Approval of application; findings required.—The
382 office shall approve the application if it finds that:
383 (4) The proposed officers have sufficient financial
384 institution experience, ability, standing, and reputation and
385 the proposed directors have sufficient business experience,
386 ability, standing, and reputation to indicate reasonable promise
387 of successful operation, and none of the proposed officers or
388 directors has been convicted of, or pled guilty or nolo
389 contendere to, any violation of s. 655.50, relating to the
390 control of money laundering and terrorist financing; chapter
391 896, relating to offenses related to financial institutions; or
392 similar state or federal law. At least two of the proposed
393 directors who are not also proposed officers must have had at
394 least 1 year of direct experience as an executive officer,
395 regulator, or director of a financial institution within the 5
396 years before the date of the application. However, if the
397 applicant demonstrates that at least one of the proposed
398 directors has very substantial experience as an executive
399 officer, director, or regulator of a financial institution more
400 than 5 years before the date of the application, the office may
401 modify the requirement and allow the applicant to have only one
402 director who has direct financial institution experience within
403 the last 5 years. The proposed president or chief executive
404 officer must have had at least 1 year of direct experience as an
405 executive officer, director, or regulator of a financial
406 institution within the last 5 years.
407 Section 13. Section 658.265, Florida Statutes, is created
408 to read:
409 658.265 Trust representative offices.—
410 (1) For purposes of this section, the term “trust
411 representative office” means an office of a bank or trust
412 company other than a main office or branch of a bank or trust
413 company at which activities ancillary to fiduciary business are
414 conducted.
415 (2) A trust representative office may engage in the
416 following ancillary activities:
417 (a) Advertising, marketing, and soliciting for fiduciary
418 business.
419 (b) Contacting existing or potential customers, answering
420 questions, and providing information about matters related to
421 customer accounts.
422 (c) Acting as a liaison between the bank or trust company
423 and the customer, including, but not limited to, forwarding
424 requests for distribution or changes in investment objectives or
425 forwarding forms and funds received from the customer.
426 (d) Inspecting or maintaining custody of fiduciary assets
427 or holding title to real property.
428 (3) A trust representative office may not engage in any
429 activities considered to be fiduciary in nature, including, but
430 not limited to:
431 (a) Acting as a trustee, an executor, an administrator, a
432 registrar of stocks and bonds, a transfer agent, a guardian, an
433 assignee, a receiver, or a custodian under a uniform gifts to
434 minors act;
435 (b) Acting as an investment adviser, if the bank or trust
436 company receives a fee for its investment advice; or
437 (c) Acting in any capacity in which the bank or trust
438 company possesses investment discretion on behalf of another.
439 Section 14. Present subsections (2), (3), and (4) of
440 section 658.28, Florida Statutes, are redesignated as
441 subsections (3), (4), and (5), respectively, and a new
442 subsection (2) is added to that section, to read:
443 658.28 Acquisition of control of a bank or trust company.—
444 (2) A person or a group of persons that acquires a
445 controlling interest as contemplated by this section, either
446 directly or indirectly, in a state bank or state trust company
447 through probate or trust shall notify the office within 90 days
448 after acquiring such interest. Such an interest does not give
449 rise to a presumption of control until the person or group of
450 persons votes the shares or the office has issued a certificate
451 of approval in response to an application pursuant to subsection
452 (1).
453 Section 15. Present paragraphs (b) and (c) of subsection
454 (11) of section 658.2953, Florida Statutes, are redesignated as
455 paragraphs (c) and (d), respectively, and a new paragraph (b) is
456 added to that subsection, to read:
457 658.2953 Interstate branching.—
458 (11) DE NOVO INTERSTATE BRANCHING BY STATE BANKS.—
459 (b) “De novo branch” means a branch of a financial
460 institution which is originally established by the financial
461 institution as a branch and does not become a branch of such
462 financial institution as a result of:
463 1. The acquisition by the financial institution of a
464 depository institution or a branch of a depository institution;
465 or
466 2. The conversion, merger, or consolidation of any such
467 institution or branch.
468 Section 16. Paragraph (d) of subsection (1) of section
469 662.1225, Florida Statutes, is amended to read:
470 662.1225 Requirements for a family trust company, licensed
471 family trust company, or foreign licensed family trust company.—
472 (1) A family trust company or a licensed family trust
473 company shall maintain:
474 (d) A deposit account at a bank insured by the Federal
475 Deposit Insurance Corporation located in the United States with
476 a state-chartered or national financial institution that has a
477 principal or branch office in this state.
478 Section 17. Subsection (1) of section 662.128, Florida
479 Statutes, is amended to read:
480 662.128 Annual renewal.—
481 (1) Within 45 days after the end of each calendar year, a
482 family trust company, licensed family trust company, or foreign
483 licensed family trust company shall file its annual renewal
484 application with the office. The annual renewal application
485 shall be filed annually no later than 45 days after the
486 anniversary of the filing of either the initial application or
487 the prior year’s renewal application of the family trust
488 company, licensed family trust company, or foreign licensed
489 family trust company.
490 Section 18. Subsection (1) of section 663.07, Florida
491 Statutes, is amended to read:
492 663.07 Asset maintenance or capital equivalency.—
493 (1) Each international bank agency and international branch
494 shall:
495 (a) Maintain with one or more banks insured by the Federal
496 Deposit Insurance Corporation and located within the United
497 States in this state, in such amounts as the office specifies,
498 evidence of dollar deposits or investment securities of the type
499 that may be held by a state bank for its own account pursuant to
500 s. 658.67. The aggregate amount of dollar deposits and
501 investment securities for an international bank agency or
502 international branch shall, at a minimum, equal the greater of:
503 1. Four million dollars; or
504 2. Seven percent of the total liabilities of the
505 international bank agency or international branch excluding
506 accrued expenses and amounts due and other liabilities to
507 affiliated branches, offices, agencies, or entities; or
508 (b) Maintain other appropriate reserves, taking into
509 consideration the nature of the business being conducted by the
510 international bank agency or international branch.
511
512 The commission shall prescribe, by rule, the deposit,
513 safekeeping, pledge, withdrawal, recordkeeping, and other
514 arrangements for funds and securities maintained under this
515 subsection. The deposits and securities used to satisfy the
516 capital equivalency requirements of this subsection shall be
517 held, to the extent feasible, in one or more state or national
518 banks located in this state or in a federal reserve bank.
519 Section 19. Present subsections (4), (5), and (6) of
520 section 663.532, Florida Statutes, are redesignated as
521 subsections (5), (6), and (7) respectively, and a new subsection
522 (4) is added to that section, to read:
523 663.532 Qualification.—
524 (4) The permissible activities provided in s. 663.408
525 relating to a specific jurisdiction must be suspended by the
526 qualified limited service affiliate if either the qualified
527 limited service affiliate or the office becomes aware that the
528 jurisdiction of an international trust entity served by the
529 qualified limited service affiliate is included on the Financial
530 Action Task Force list of High-Risk Jurisdictions subject to a
531 Call for Action or list of Jurisdictions Under Increased
532 Monitoring. Suspensions pursuant to this subsection must remain
533 in effect until the jurisdiction is removed from the Financial
534 Action Task Force list of High Risk Jurisdictions subject to a
535 Call for Action or list of Jurisdictions Under Increased
536 Monitoring.
537 Section 20. Paragraph (a) of subsection (5) of section
538 736.0802, Florida Statutes, is amended to read:
539 736.0802 Duty of loyalty.—
540 (5)(a) An investment by a trustee authorized by lawful
541 authority to engage in trust business, as defined in s.
542 658.12(21) s. 658.12(20), in investment instruments, as defined
543 in s. 660.25(6), that are owned or controlled by the trustee or
544 its affiliate, or from which the trustee or its affiliate
545 receives compensation for providing services in a capacity other
546 than as trustee, is not presumed to be affected by a conflict
547 between personal and fiduciary interests provided the investment
548 otherwise complies with chapters 518 and 660 and the trustee
549 complies with the requirements of this subsection.
550 Section 21. This act shall take effect July 1, 2021.