According to The American Surrogacy Center, the law in Iowa has not addressed the surrogate arrangement.
Iowa Code 70.11, which makes it unlawful to sell or purchase another person, provides for an exception in the surrogate arrangement. This section indicates that the state has accepted the surrogate arrangement and that a surrogate contract is not against public policy.
Since there are no laws that address surrogacy – the parent should adopt the child to legalize the parental relationship with the child. There are some county family courts in the state that allow second parent adoption.
In Iowa a husband is presumed to be the father of any child born in wedlock. So if the surrogate is married, her husband’s parental rights need to be terminated in the adoption proceeding as well as the surrogate’s parental rights.
But there are many things that could go wrong. What happens if the surrogate attempts to keep the child and ignores the agreement? What if the surrogate is not the biological mother of the child, but gives birth to the child?
The Iowa law does not answer the question of “maternity.”
Source: The American Surrogacy Center