A corporation or transfer agent registering a security in the name of a person who is a fiduciary or who is described as a fiduciary is not bound to inquire into the existence, extent, or correct description of the fiduciary relationship, and thereafter the corporation and its transfer agent may assume without inquiry that the newly registered owner continues to be the fiduciary until the corporation or transfer agent receives written notice that the fiduciary is no longer acting as such with respect to the particular security.

History

Aug. 30, 1964, 78 Stat. 672, Pub. L. 88-509, § 1

Editor's Notes

Uniform Law: This section is based upon § 2 of the Uniform Act for Simplification of Fiduciary Security Transfers.

Prior Codifications

1973 Ed., § 28-2902.

1981 Ed., § 28-2902.