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The Vermont Statutes Online



Title

09A

:
Uniform Commercial Code






Chapter

008

:
Investment Securities











 

§

8-405. Replacement of lost, destroyed, or wrongfully taken security certificate

(a) If an owner

of a certificated security, whether in registered or bearer form, claims that

the certificate has been lost, destroyed, or wrongfully taken, the issuer shall

issue a new certificate if the owner:

(1) so requests

before the issuer has notice that the certificate has been acquired by a

protected purchaser;

(2) files with

the issuer a sufficient indemnity bond; and

(3) satisfies

other reasonable requirements imposed by the issuer.

(b) If, after

the issue of a new security certificate, a protected purchaser of the original

certificate presents it for registration of transfer, the issuer shall register

the transfer unless an overissue would result. In that case, the issuer's

liability is governed by Section 8-210. In addition to any rights on the

indemnity bond, an issuer may recover the new certificate from a person to whom

it was issued or any person taking under that person, except a protected

purchaser. (Added 1995, No. 92 (Adj. Sess.), § 1, eff. Jan. 1, 1997.)