A notary public may NOT perform a notarial act if they have a direct financial or beneficial interest in a transaction. In which of the following scenarios is the notary legally PERMITTED to notarize the document?

AI Explanation

Definition of conflict of interest and statutory exemptions. According to CA Gov. Code § 8224, a notary has no direct financial or beneficial interest in a transaction if the notary acts merely in the capacity of an agent, employee, insurer, attorney, escrow, or lender for a person who does have a direct financial or beneficial interest.