(a) A person signing a security certificate as authenticating trustee, registrar, transfer agent, or the like, warrants to a purchaser for value of the certificated security, if the purchaser is without notice of a particular defect, that:
The certificate is genuine;
The person's own participation in the issue of the security is within the person's capacity and within the scope of the authority received by the person from the issuer; and
The person has reasonable grounds to believe that the certificated security is in theform and within the amount the issuer is authorized to issue.
(b) Unless otherwise agreed, a person signing under subsection (a) of this section does not assume responsibility for the validity of the security in other respects.
Source: L. 96: Entire article R&RE, p. 219, § 2, effective July 1.
Editor's note: This section is similar to former § 4-8-208 as it existed prior to 1996.