# Idaho Code § 28-8-107: 28-8-107 WHETHER INDORSEMENT, INSTRUCTION OR ENTITLEMENT ORDER IS EFFECTIVE > Idaho · Statutes · In force URL: https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-107 ## Section - **Citation:** Idaho Code § 28-8-107 - **Heading:** 28-8-107 WHETHER INDORSEMENT, INSTRUCTION OR ENTITLEMENT ORDER IS EFFECTIVE - **Jurisdiction:** Idaho - **Kind:** Statutes - **Status:** In force - **Text as of:** August 14, 2026 - **Source:** Compiled text - **Location:** Idaho Code / Title 28 / Chapter 8 / Section 28-8-107 ## Text PART 1. SHORT TITLE AND GENERAL MATTERS 28-8-107. Whether indorsement, instruction or entitlement order is effective. (1) "Appropriate person" means: (a) With respect to an indorsement, the person specified by a security certificate or by an effective special indorsement to be entitled to the security; (b) With respect to an instruction, the registered owner of an uncertificated security; (c) With respect to an entitlement order, the entitlement holder; (d) If the person designated in paragraph (a), (b) or (c) of this subsection is deceased, the designated person's successor taking under other law or the designated person's personal representative acting for the estate of the decedent; or (e) If the person designated in paragraph (a), (b) or (c) of this subsection lacks capacity, the designated person's guardian, conservator or other similar representative who has power under other law to transfer the security or financial asset. (2) An indorsement, instruction, or entitlement order is effective if: (a) It is made by the appropriate person; (b) It is made by a person who has power under the law of agency to transfer the security or financial asset on behalf of the appropriate person, including, in the case of an instruction or entitlement order, a person who has control under section 28-8-106(3)(b) or (4)(b); or (c) The appropriate person has ratified it or is otherwise precluded from asserting its ineffectiveness. (3) An indorsement, instruction or entitlement order made by a representative is effective even if: (a) The representative has failed to comply with a controlling instrument or with the law of the state having jurisdiction of the representative relationship, including any law requiring the representative to obtain court approval of the transaction; or (b) The representative's action in making the indorsement, instruction or entitlement order or using the proceeds of the transaction is otherwise a breach of duty. (4) If a security is registered in the name of or specially indorsed to a person described as a representative, or if a securities account is maintained in the name of a person described as a representative, an indorsement, instruction or entitlement order made by the person is effective even though the person is no longer serving in the described capacity. (5) Effectiveness of an indorsement, instruction or entitlement order is determined as of the date the indorsement, instruction or entitlement order is made, and an indorsement, instruction or entitlement order does not become ineffective by reason of any later change of circumstances. History: [28-8-107, added 1995, ch. 272, sec. 2, p. 879.] ## Nearby sections - [Idaho Code § 28-8-101 28-8-101 SHORT TITLE.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-101.md) - [Idaho Code § 28-8-102 28-8-102 DEFINITIONS.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-102.md) - [Idaho Code § 28-8-103 28-8-103 RULES FOR DETERMINING WHETHER CERTAIN OBLIGATIONS AND INTERESTS ARE SECURITIES OR FINANCIAL ASSETS.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-103.md) - [Idaho Code § 28-8-104 28-8-104 ACQUISITION OF SECURITY OR FINANCIAL ASSET OR INTEREST THEREIN.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-104.md) - [Idaho Code § 28-8-105 28-8-105 NOTICE OF ADVERSE CLAIM.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-105.md) - [Idaho Code § 28-8-106 28-8-106 CONTROL.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-106.md) - [Idaho Code § 28-8-107 28-8-107 WHETHER INDORSEMENT, INSTRUCTION OR ENTITLEMENT ORDER IS EFFECTIVE.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-107.md) - [Idaho Code § 28-8-108 28-8-108 WARRANTIES IN DIRECT HOLDING.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-108.md) - [Idaho Code § 28-8-109 28-8-109 WARRANTIES IN INDIRECT HOLDING.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-109.md) - [Idaho Code § 28-8-110 28-8-110 APPLICABILITY AND CHOICE OF LAW.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-110.md) - [Idaho Code § 28-8-111 28-8-111 CLEARING CORPORATION RULES.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-111.md) - [Idaho Code § 28-8-112 28-8-112 CREDITOR'S LEGAL PROCESS.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-112.md) - [Idaho Code § 28-8-113 28-8-113 STATUTE OF FRAUDS INAPPLICABLE.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-113.md) - [Idaho Code § 28-8-114 28-8-114 EVIDENTIARY RULES CONCERNING CERTIFICATED SECURITIES.](https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-114.md) --- Source: Frix Law Library, https://www.frixlaw.com/law-library/statutes/STATE_ID_T28_C8_S28-8-107. Check the current official text before relying on it. Not legal advice.