Sec. 42a-8-508. Duty of securities intermediary to change entitlement holder's position to other form of security holding.
Sec. 42a-8-508. Duty of securities intermediary to change entitlement holder's
position to other form of security holding. A securities intermediary shall act at the
direction of an entitlement holder to change a security entitlement into another available
form of holding for which the entitlement holder is eligible, or to cause the financial
asset to be transferred to a securities account of the entitlement holder with another
securities intermediary. A securities intermediary satisfies the duty if:
(1) The securities intermediary acts 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 follow the direction of the entitlement holder.
(P.A. 97-182, S. 48.)