70A-8-204 - Effect of issuer's restriction on transfer.
70A-8-204. Effect of issuer's restriction on transfer.
A restriction on transfer of a security imposed by the issuer, even if otherwise lawful, isineffective against a person without knowledge of the restriction unless:
(1) the security is certificated and the restriction is noted conspicuously on the securitycertificate; or
(2) the security is uncertificated and the registered owner has been notified of therestriction.
Repealed and Re-enacted by Chapter 204, 1996 General Session