1. (a) A third person in good faith and without a court order may act on instructions of, or otherwise deal with, a person purporting to:

   1. (1) make a transfer as; or

   2. (2) act in the capacity of;

      a custodial trustee.

2. (b) In the absence of knowledge to the contrary, a third person described in subsection (a) is not responsible for determining:

   1. (1) the validity of the purported custodial trustee's designation;
   2. (2) the propriety of, or the authority under this chapter for, any action of the purported custodial trustee;

   3. (3) the validity or propriety of an instrument executed or instruction given under this chapter by:

      1. (A) the person purporting to make a transfer or declaration; or
      2. (B) the purported custodial trustee; or
   4. (4) the propriety of the application of property vested in the purported custodial trustee.

As added by P.L.3-2003, SEC.1.