On November 1, 2020, Oklahoma’s rules protecting elder and dependent adults from financial exploitation will become effective. Oklahoma is the 30th state to employ such legislation. The new rules expressly require broker-dealers and investment advisers to report suspected financial abuse. Administrative immunity is provided to firms that report in good faith. Firms are also allowed, but not required, to contact third parties (i) previously designated by the eligible adult or (ii) reasonably associated with the eligible adult. Consistent with legislation enacted in other jurisdictions, Oklahoma’s rules permit broker-dealers and investment advisers to delay disbursements or transactions from an account owned by an eligible adult if certain conditions are met. Firms that take action pursuant to these provisions in good faith are granted administrative immunity.
Further detail regarding state statutes in this area can be found in Bressler’s interactive Senior and Vulnerable Investor Issues Map.