(1) A person that assists or deals with a conservator in good faith and for value in any transaction, other than a transaction requiring a court order under Section 414, is protected as though the conservator properly exercised any power in question. Mere knowledge by a person that the person is dealing with a conservator does not require the person to inquire into the existence of authority of the conservator or the propriety of the conservator’s exercise of authority, but restrictions on authority stated in letters of conservatorship, or otherwise provided by law, are effective as to the person. A person that pays or delivers property to a conservator is not responsible for proper application of the property. (2) Protection under subsection (1) extends to a procedural irregularity or jurisdictional defect in the proceeding leading to the issuance of letters of conservatorship and does not substitute for protection for a person that assists or deals with a conservator provided by comparable provisions in law of this state other than this act relating to a commercial transaction or simplifying a transfer of securities by a fiduciary.
