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The Vermont Statutes Online
Title
09A
:
Uniform Commercial Code
Chapter
009
:
Secured Transactions
§
9-305. Law governing perfection and priority of security interests in
investment property
(a) Except as
otherwise provided in subsection (c) of this section, the following rules
apply:
(1) While a
security certificate is located in a jurisdiction, the local law of that
jurisdiction governs perfection, the effect of perfection or nonperfection, and
the priority of a security interest in the certificated security represented
thereby.
(2) The local
law of the issuer's jurisdiction as specified in subsection 8-110(d) of this
title governs perfection, the effect of perfection or nonperfection, and the
priority of a security interest in an uncertificated security.
(3) The local
law of the securities intermediary's jurisdiction as specified in subsection
8-110(e) of this title governs perfection, the effect of perfection or
nonperfection, and the priority of a security interest in a security
entitlement or securities account.
(4) The local
law of the commodity intermediary's jurisdiction governs perfection, the effect
of perfection or nonperfection, and the priority of a security interest in a
commodity contract or commodity account.
(b) The
following rules determine a commodity intermediary's jurisdiction for purposes
of this part:
(1) If an
agreement between the commodity intermediary and commodity customer governing
the commodity account expressly provides that a particular jurisdiction is the
commodity intermediary's jurisdiction for purposes of this part, this article,
or this title, that jurisdiction is the commodity intermediary's jurisdiction.
(2) If
subdivision (1) of this subsection does not apply and an agreement between the
commodity intermediary and commodity customer governing the commodity account
expressly provides that the agreement is governed by the law of a particular
jurisdiction, that jurisdiction is the commodity intermediary's jurisdiction.
(3) If neither
subdivision (1) nor subdivision (2) of this section applies and an agreement
between the commodity intermediary and commodity customer governing the
commodity account expressly provides that the commodity account is maintained
at an office in a particular jurisdiction, that jurisdiction is the commodity
intermediary's jurisdiction.
(4) If none of
the preceding subdivisions of this subsection applies, the commodity
intermediary's jurisdiction is the jurisdiction in which the office identified
in an account statement as the office serving the commodity customer's account
is located.
(5) If none of
the preceding subdivisions of this subsection applies, the commodity
intermediary's jurisdiction is the jurisdiction in which the chief executive
office of the commodity intermediary is located.
(c) The local
law of the jurisdiction in which the debtor is located governs:
(1) perfection
of a security interest in investment property by filing;
(2) automatic
perfection of a security interest in investment property created by a broker or
securities intermediary; and
(3) automatic
perfection of a security interest in a commodity contract or commodity account
created by a commodity intermediary. (Added 1999, No. 106 (Adj. Sess.), § 2,
eff. July 1, 2001.)