2005 Idaho Code - 68-907 — NONLIABILITY OF THIRD PERSONS

                                  TITLE  68
                            TRUSTS AND FIDUCIARIES
                                  CHAPTER 9
                         SIMPLIFICATION OF FIDUCIARY
                              SECURITY TRANSFERS
    68-907.  NONLIABILITY OF THIRD PERSONS. (a) No person who participates in
the acquisition, disposition, assignment or transfer of a security by or to a
fiduciary, including a person who guarantees the signature of the fiduciary,
(is liable for participation in any breach of fiduciary,) is liable for
participation in any breach of fiduciary duty by reason of failure to inquire
whether the transaction involves a breach unless it is shown that he acted
with actual knowledge that the proceeds of the transaction were being or were
to be used wrongfully for the individual benefit of the fiduciary or that the
transaction was otherwise in breach of duty.
    (b)  If a corporation or transfer agent makes a transfer pursuant to an
assignment by a fiduciary, a person who guaranteed the signature of the
fiduciary is not liable on the guarantee to any person to whom the corporation
or transfer agent by reason of this act incurs no liability.
    (c)  This section does not impose any liability upon the corporation or
its transfer agent.

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