Duty of securities intermediary with respect to payments and distributions

  1. Law
  2. Mississippi Code
  3. Regulation of Trade, Commerce and Investments
  4. Uniform Commercial Code-Revised Article 8. Investment Securities
  5. Security Entitlements
  6. Duty of securities intermediary with respect to payments and distributions

Checkout our iOS App for a better way to browser and research.

A securities intermediary shall take action to obtain a payment or distribution made by the issuer of a financial asset. A securities intermediary satisfies the duty if:

  1. The securities intermediary acts with respect to the duty as agreed upon by the entitlement holder and the securities intermediary; or
  2. In the absence of agreement, the securities intermediary exercises due care in accordance with reasonable commercial standards to attempt to obtain the payment or distribution.

A securities intermediary is obligated to its entitlement holder for a payment or distribution made by the issuer of a financial asset if the payment or distribution is received by the securities intermediary.


Download our app to see the most-to-date content.