Section 3-518 - Registration of assets in name of nominee.
§ 3-518. Registration of assets in name of nominee.
(a) Registration.- A trust company may register in the name of a nominee any assets of a common trust fund that it administers.
(b) Nominee.- The nominee may be either an individual or a partnership.
(c) Records and supervision.- A trust company that registers assets in the name of a nominee shall:
(1) Show the assets and the name of the nominee on its records; and
(2) If the nominee is operated or controlled by the trust company, supervise any possession or control of the assets by the nominee.
(d) Liability.- A transfer agent or registrar of a corporation whose stocks, bonds, securities, or other obligations are registered in the name of a nominee under this section is not required to investigate and may not be held liable for treating the nominee as the owner of the assets.
[An. Code 1957, art. 11, § 62; 1980, ch. 33, § 2.]