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--- version:02/19/2026+++ version:02/11/2026@@ -8,224 +8,137 @@(Text matches printed bills. Document has been reformatted to meet World Wide Web specifications.)-Indicates Matter Stricken--Indicates New Matter--Committee Report--February 19, 2026--H. 5162--Introduced by Reps. Herbkersman, Bernstein,-Rivers, Weeks, Hardee, W. Newton, Brittain, Gatch, Montgomery, Lawson, J. E.-Johnson, B. Newton, McCabe, Rankin, Brewer, Chumley, Gagnon, McGinnis, M. M.-Smith, Williams, Ligon and Kirby--S. Printed 2/19/26--H.--Read the first time February 11, 2026--________--The committee on House Labor,-Commerce and Industry--To whom was referred a Bill (H. 5162) to amend-the South Carolina Code of Laws by adding Section 34-3-900 so as to define-terms pertaining to the financial exploitation of eligible adults and to-outline, etc., respectfully--Report:--That they have duly and carefully considered-the same, and recommend that the same do pass with amendment:-- Amend the bill, as and if amended, SECTION 1, by-striking Section 34-3-900(A)(3)(b) and inserting:-- (b) causing an eligible adult to purchase-goods or services or engage in a transaction for the profit or advantage of the-seller or another person through undue influence, harassment, duress, force,-coercion, or swindling by overreaching, cheating,-misrepresentations, or defrauding the eligible adult through cunning-arts or devices that delude the eligible adult and cause him to lose money or-other property.--Amend the-bill further, SECTION 1, by striking Section 34-3-900(F) and inserting:-- (F) Any decline or hold of a disbursement or-transaction as authorized by this section will expire-upon the sooner of:-- (1) upon a-determination by the financial institution that allowing the transaction will-not result in the financial exploitation of an eligible adult;-- (2) at the time provided for by the-financial institution in its account agreement;-- (2)(3) if not otherwise provided for in a financial-institution's account agreement, thirty business days after the date on-which the financial institution first declined or placed on hold the-transaction unless an appropriate investigative entity as set forth in Section-43-35-10(5) requests that the financial institution extend the delay, in which case the delay shall expire no more than-fifty-five business days after the date on which the financial institution-first declined or placed on hold the transaction; or-- (3)(4) the order of a court of competent jurisdiction.--Renumber sections to conform.--Amend title to conform.--WILLIAM HERBKERSMAN for-Committee.--_______-A bill-TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING SECTION-34-3-900 SO AS TO DEFINE TERMS PERTAINING TO THE FINANCIAL EXPLOITATION OF-ELIGIBLE ADULTS AND TO OUTLINE A PROCEDURE FOR ESTABLISHING EMERGENCY CONTACTS-FOR ELIGIBLE ADULTS TO PROTECT ELIGIBLE ADULTS FROM FINANCIAL EXPLOITATION.+TO AMEND THE SOUTH CAROLINA CODE OF LAWS+BY ADDING SECTION 34-3-900 SO AS TO DEFINE TERMS PERTAINING TO THE FINANCIAL+EXPLOITATION OF ELIGIBLE ADULTS AND TO OUTLINE A PROCEDURE FOR ESTABLISHING+EMERGENCY CONTACTS FOR ELIGIBLE ADULTS TO PROTECT ELIGIBLE ADULTS FROM+FINANCIAL EXPLOITATION.-Be it enacted by the-General Assembly of the State of South Carolina:+Be it enacted by the General Assembly of the State of South Carolina:-SECTION 1. Chapter 3, Title 34 of the S.C. Code is amended by-adding:+SECTION 1. Chapter 3, Title 34 of the+S.C. Code is amended by adding:Article 13-Protecting Eligible Adults from Financial Exploitation+Protecting+Eligible Adults from Financial ExploitationSection34-3-900. (A) As used in thissection:- (1)-"Financial institution" means any bank, credit union, wealth management-institution, or other financial services company. This section excludes a "broker-dealer"-as defined in Section 35-1-102(4) and an "investment adviser" as defined in-Section 35-1-102(15).+ (1) "Financial institution" means any+bank, credit union, wealth management institution, or other financial services+company. This section excludes a "broker-dealer" as defined in Section+35-1-102(4) and an "investment adviser" as defined in Section 35-1-102(15).- (2)-"Eligible adult" means:+ (2) "Eligible adult" means:- (a)-a person fifty-five years of age or older; or+ (a) a person fifty-five years of age or+older; or- (b)-a vulnerable adult subject to Section 43-35-10(11).+ (b) a vulnerable adult subject to+Section 43-35-10(11).- (3)-"Financial exploitation" means:+ (3) "Financial exploitation" means:- (a)-improper, unlawful, or unauthorized use of the funds, assets, property, power-of attorney, guardianship, or conservatorship of a vulnerable adult by a person-for the profit or advantage of that person or another person; or+ (a) improper, unlawful, or unauthorized+use of the funds, assets, property, power of attorney, guardianship, or+conservatorship of a vulnerable adult by a person for the profit or advantage+of that person or another person; or- (b)-causing an eligible adult to purchase goods or services or engage in a-transaction for the profit or advantage of the seller or another person through-undue influence, harassment, duress, force, coercion, or swindling by-overreaching, cheating, or defrauding the eligible adult through cunning arts-or devices that delude the eligible adult and cause him to lose money or other-property.+ (b) causing an eligible adult to+purchase goods or services or engage in a transaction for the profit or+advantage of the seller or another person through undue influence, harassment,+duress, force, coercion, or swindling by overreaching, cheating, or defrauding+the eligible adult through cunning arts or devices that delude the eligible+adult and cause him to lose money or other property.- (B) If-a financial institution reasonably believes that the financial exploitation of-an eligible adult has occurred or may occur, then the financial institution-may, but is not required to, decline or place on hold any transaction-involving:+ (B) If a financial institution+reasonably believes that the financial exploitation of an eligible adult has+occurred or may occur, then the financial institution may, but is not required+to, decline or place on hold any transaction involving:- (1)-the account of the eligible adult;+ (1) the account of the eligible adult;- (2)-an account in which the eligible adult is a beneficiary, including a trust or-guardianship account; or+ (2) an account in which the eligible+adult is a beneficiary, including a trust or guardianship account; or- (3)-the account of a person who is suspected of engaging in the financial-exploitation of the eligible adult.+ (3) the account of a person who is+suspected of engaging in the financial exploitation of the eligible adult.- (C) A-financial institution may also decline or place on hold any transaction-pursuant to this section if an investigative entity or law enforcement agency-provides information to the financial institution demonstrating that it is-reasonable to believe that the financial exploitation of an eligible adult has-occurred or may occur.+ (C) A financial institution may also+decline or place on hold any transaction pursuant to this section if an+investigative entity or law enforcement agency provides information to the+financial institution demonstrating that it is reasonable to believe that the+financial exploitation of an eligible adult has occurred or may occur.- (D) A-financial institution is not required to decline or place on hold a transaction-pursuant to this section. Such a decision is in the financial institution's-discretion based on the information available to the financial institution.+ (D) A financial institution is not+required to decline or place on hold a transaction pursuant to this section.+Such a decision is in the financial institution's discretion based on the+information available to the financial institution.(E)(1) Any financial institution thatdeclines or places on hold a transaction pursuant to this section shall:- (a)-make a reasonable effort to provide notice, orally or in writing, to all-parties authorized to transact business on the account from which the transfer-or disbursement was declined or placed on hold; and+ (a) make a reasonable effort to provide+notice, orally or in writing, to all parties authorized to transact business on+the account from which the transfer or disbursement was declined or placed on+hold; and- (b)-report an incident involving a vulnerable adult to the appropriate-investigative entity in accordance with Section 43-35-25.+ (b) report an incident involving a+vulnerable adult to the appropriate investigative entity in accordance with+Section 43-35-25.- (2)-Notwithstanding the provisions of this subsection, a financial institution has-no duty to notify any party that is suspected of financial exploitation-pursuant to this section.+ (2) Notwithstanding the provisions of+this subsection, a financial institution has no duty to notify any party that+is suspected of financial exploitation pursuant to this section.- (F) Any-decline or hold of a disbursement or transaction as authorized by this section-will expire upon the sooner of:+ (F) Any decline or hold of a+disbursement or transaction as authorized by this section will expire upon the+sooner of:- (1)-a determination by the financial institution that allowing the transaction will-not result in the financial exploitation of an eligible adult;+ (1) a determination by the financial+institution that allowing the transaction will not result in the financial+exploitation of an eligible adult;- (2)-thirty business days after the date on which the financial institution first-declined or placed on hold the transaction unless an appropriate investigative-entity as set forth in Section 43-35-10(5) requests that the financial-institution extend the delay, in which case the delay shall expire no more than-fifty-five business days after the date on which the financial institution-first declined or placed on hold the transaction; or+ (2) thirty business days after the date+on which the financial institution first declined or placed on hold the+transaction unless an appropriate investigative entity as set forth in Section+43-35-10(5) requests that the financial institution extend the delay, in which+case the delay shall expire no more than fifty-five business days after the+date on which the financial institution first declined or placed on hold the+transaction; or- (3)-the order of a court of competent jurisdiction.+ (3) the order of a court of competent+jurisdiction.- (G) A-financial institution may provide access to or copies of records relevant to-the suspected financial exploitation of an eligible adult to law enforcement-agencies or investigative entities responsible for administering the provisions-of this section. Such records may include relevant historical records and-recent transactions relating to suspected financial exploitation.+ (G) A financial institution may provide+access to or copies of records relevant to the suspected financial exploitation+of an eligible adult to law enforcement agencies or investigative entities+responsible for administering the provisions of this section. Such records may+include relevant historical records and recent transactions relating to+suspected financial exploitation.- (H) If-the determinations and actions of a financial institution or an employee of a-financial institution are made in good faith and in accordance with the-provisions of this section, then the financial institution or employee shall be-immune from criminal, civil, or administrative liability for declining-transactions to disburse monies pursuant to this section, and for taking-actions in furtherance of a determination, including making a report or-providing access to or copies of relevant records to an investigative entity or-law enforcement agency. Nothing in this section is intended to nor does it-limit or shield in any manner a financial institution from civil liability-against any claim, including reasonable attorney's fees, costs, and litigation-expenses, for participating in or materially aiding the financial exploitation-of an eligible adult. Any such claims shall be asserted by the eligible adult,-or on his behalf by an appropriate guardian or representative who is not-involved in or otherwise suspected of participating in the financial-exploitation of the eligible adult, by filing a civil action in circuit court.+ (H) If the determinations and actions+of a financial institution or an employee of a financial institution are made+in good faith and in accordance with the provisions of this section, then the+financial institution or employee shall be immune from criminal, civil, or+administrative liability for declining transactions to disburse monies pursuant+to this section, and for taking actions in furtherance of a determination,+including making a report or providing access to or copies of relevant records+to an investigative entity or law enforcement agency. Nothing in this section+is intended to nor does it limit or shield in any manner a financial+institution from civil liability against any claim, including reasonable+attorney's fees, costs, and litigation expenses, for participating in or+materially aiding the financial exploitation of an eligible adult. Any such+claims shall be asserted by the eligible adult, or on his behalf by an+appropriate guardian or representative who is not involved in or otherwise+suspected of participating in the financial exploitation of the eligible adult,+by filing a civil action in circuit court.(I)(1) A financial institution may offerto a customer who is an eligible adult the opportunity to submit and@@ -234,50 +147,46 @@provider has reasonable cause to suspect that the eligible adult is a victim ora target of financial exploitation.- (2)-A financial institution that has reasonable cause to suspect that an eligible-adult is the victim or target of financial exploitation may convey the-suspicion to one or more of the following, provided that the person is not the-suspected perpetrator:+ (2) A financial institution that has+reasonable cause to suspect that an eligible adult is the victim or target of+financial exploitation may convey the suspicion to one or more of the+following, provided that the person is not the suspected perpetrator:- (a)-an individual or entity on the list described in subsection (I), if a list has-been provided by the eligible adult to the financial service provider;+ (a) an individual or entity on the list+described in subsection (I), if a list has been provided by the eligible adult+to the financial service provider;- (b)-a co-owner, additional authorized signatory, or beneficiary on the eligible-adult's account at the financial institution; or+ (b) a co-owner, additional authorized+signatory, or beneficiary on the eligible adult's account at the financial+institution; or- (c)-a parent, spouse, adult child, sibling, or other known family member or close-associate of an eligible adult.+ (c) a parent, spouse, adult child,+sibling, or other known family member or close associate of an eligible adult.- (3)-When providing information under this section, a financial institution may-limit the information and disclose only that the financial institution has-reasonable cause to suspect that the eligible adult may be a victim or target-of financial exploitation without disclosing any other details or confidential-personal information regarding the financial affairs of the eligible adult.+ (3) When providing information under+this section, a financial institution may limit the information and disclose+only that the financial institution has reasonable cause to suspect that the+eligible adult may be a victim or target of financial exploitation without+disclosing any other details or confidential personal information regarding the+financial affairs of the eligible adult.- (4)-A financial institution may choose not to contact one or more individuals or-entities on the list provided pursuant to subsection (I) if the financial-institution suspects that the person or persons are engaged in financial-exploitation.+ (4) A financial institution may choose+not to contact one or more individuals or entities on the list provided+pursuant to subsection (I) if the financial institution suspects that the+person or persons are engaged in financial exploitation.- (5)-If the determinations and actions of a financial institution or an employee of-a financial institution are made in good faith and in accordance with the-provisions of this section, then the financial institution or employee shall be-immune from criminal, civil, or administrative liability for making-communications pursuant to this subsection and for taking actions in-furtherance of a determination, including making a report or providing access-to or copies of relevant records to an investigative entity or law enforcement-agency.+ (5) If the determinations and actions+of a financial institution or an employee of a financial institution are made+in good faith and in accordance with the provisions of this section, then the+financial institution or employee shall be immune from criminal, civil, or+administrative liability for making communications pursuant to this subsection+and for taking actions in furtherance of a determination, including making a+report or providing access to or copies of relevant records to an investigative+entity or law enforcement agency.-SECTION 2. This act takes effect upon approval-by the Governor.+SECTION+2. This act takes effect upon approval by the Governor.----XX-----This web page was last updated on February 19, 2026 at 03:02 PM+This web page was last updated on February 11, 2026 at 01:42 PM
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