A third person in good faith and without a court order may act on instructions of, or otherwise deal with, a person purporting to make a transfer as, or to act in the capacity of, a custodial trustee. In the absence of actual knowledge to the contrary, the third person is not responsible for determining:

(1)        The validity of the purported custodial trustee’s designation;

(2)        The propriety of, or the authority under this act for, any action of the purported custodial trustee;

(3)        The validity or propriety of an instrument executed or instruction given pursuant to this act either by the person purporting to make a transfer or declaration or by the purported custodial trustee; or

(4)        The propriety of the application of property vested in the purported custodial trustee. (1995, c. 486, s. 1.)