§ 6A-8-401 - Duty of issuer to register transfer.
SECTION 6A-8-401
§ 6A-8-401 Duty of issuer to registertransfer. – (a) If a certificated security in registered form is presented to an issuerwith a request to register transfer or an instruction is presented to an issuerwith a request to register transfer of an uncertificated security, the issuershall register the transfer as requested if:
(1) under the terms of the security the person seekingregistration of transfer is eligible to have the security registered in itsname;
(2) the indorsement or instruction is made by the appropriateperson or by an agent who has actual authority to act on behalf of theappropriate person;
(3) reasonable assurance is given that the indorsement orinstruction is genuine and authorized (§ 6A-8-402);
(4) any applicable law relating to the collection of taxeshas been complied with;
(5) the transfer does not violate any restriction on transferimposed by the issuer in accordance with § 6A-8-204;
(6) a demand that the issuer not register transfer has notbecome effective under § 6A-8-403, or the issuer has complied with §6A-8-403(b) but no legal process or indemnity bond is obtained as provided in§ 6A-8-403(d); and
(7) the transfer is in fact rightful or is to a protectedpurchaser.
(b) If an issuer is under a duty to register a transfer of asecurity, the issuer is liable to a person presenting a certificated securityor an instruction for registration or to the person's principal for lossresulting from unreasonable delay in registration or failure or refusal toregister the transfer.