41-08-09. (8-109) Warranties in indirect holding

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ND Code › Title 41 › Chapter 41-08 › Section 41-08-09

This text was captured on Aug 14, 2026. It is a snapshot, not a live feed, so check the official code before relying on it.

Text

41-08-09. (8-109) Warranties in indirect holding

1. A person who originates an entitlement order to a securities intermediary warrants to

the securities intermediary that:

a. The entitlement order is made by an appropriate person, or if the entitlement

order is by an agent, the agent has actual authority to act on behalf of the

appropriate person; and

b. There is no adverse claim to the security entitlement.

2. A person who delivers a security certificate to a securities intermediary for credit to a

securities account or originates an instruction with respect to an uncertificated security

directing that the uncertificated security be credited to a securities account makes to

the securities intermediary the warranties specified in subsection 1 or 2 of section

41-08-08.

3. If a securities intermediary delivers a security certificate to its entitlement holder or

causes its entitlement holder to be registered as the owner of an uncertificated

security, the securities intermediary makes to the entitlement holder the warranties

specified in subsection 1 or 2 of section 41-08-08.

This is a copy of a public record, reproduced as it was published. It is not legal advice, and it may not be the version a court would rely on. Check the official source before you cite it.

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