355.8-401 Duty of issuer to register transfer.
(1) If a certificated security in registered form is presented to an issuer with a request to
register transfer or an instruction is presented to an issuer with a request to register <br>transfer of an uncertificated security, the issuer shall register the transfer as <br>requested if: <br>(a) Under the terms of the security the person seeking registration of transfer is
eligible to have the security registered in its name;
(b) The indorsement or instruction is made by the appropriate person or by an
agent who has actual authority to act on behalf of the appropriate person;
(c) Reasonable assurance is given that the indorsement or instruction is genuine
and authorized (KRS 355.8-402);
(d) Any applicable law relating to the collection of taxes has been complied with; <br>(e) The transfer does not violate any restriction on transfer imposed by the issuer
in accordance with KRS 355.8-204;
(f) A demand that the issuer not register transfer has not become effective under
KRS 355.8-403, or the issuer has complied with KRS 355.8-403(2) but no <br>legal process or indemnity bond is obtained as provided in KRS 355.8-403(4); <br>and
(g) The transfer is in fact rightful or is to a protected purchaser.
(2) If an issuer is under a duty to register a transfer of a security, the issuer is liable to a
person presenting a certificated security or an instruction for registration or to the <br>person's principal for loss resulting from unreasonable delay in registration or <br>failure or refusal to register the transfer.
Effective: January 1, 1997 <br>History: Repealed and reenacted 1996 Ky. Acts ch. 130, sec. 147, effective January 1,
1997. -- Amended 1986 Ky. Acts ch. 118, sec. 46, effective July 1, 1987. -- Created <br>1958 Ky. Acts ch. 77, sec. 8-401, effective July 1, 1960.
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