§490:8-109 Warranties in indirect holding. (a) A person who originates an entitlement order to a securities intermediary warrants to the securities intermediary that:
(1) The entitlement order is made by an appropriate person, or if the entitlement order is by an agent, the agent has actual authority to act on behalf of the appropriate person; and
(2) There is no adverse claim to the security entitlement.
(b) A person who delivers a security certificate to a securities intermediary for credit to a securities account or originates an instruction with respect to an uncertificated security directing that the uncertificated security be credited to a securities account makes to the securities intermediary the warranties specified in section 490:8-108(a) or (b).
(c) If a securities intermediary delivers a security certificate to its entitlement holder or causes its entitlement holder to be registered as the owner of an uncertificated security, the securities intermediary makes to the entitlement holder the warranties specified in section 490:8-108(a) or (b). [L 1997, c 33, pt of §2]
Section: Previous 490-8-102 490-8-103 490-8-104 490-8-105 490-8-106 490-8-107 490-8-108 490-8-109 490-8-110 490-8-111 490-8-112 490-8-113 490-8-114 490-8-115 490-8-116 NextLast modified: October 27, 2016