§ 6A-8-402 - Assurance that indorsement or instruction is effective.
SECTION 6A-8-402
§ 6A-8-402 Assurance that indorsement orinstruction is effective. – (a) An issuer may require the following assurance that each necessaryindorsement or each instruction is genuine and authorized:
(1) in all cases, a guaranty of the signature of the personmaking an indorsement or originating an instruction including, in the case ofan instruction, reasonable assurance of identity;
(2) if the indorsement is made or the instruction isoriginated by an agent, appropriate assurance of actual authority to sign;
(3) if the indorsement is made or the instruction isoriginated by a fiduciary pursuant to § 6A-8-107(a)(4) or (a)(5),appropriate evidence of appointment or incumbency;
(4) if there is more than one fiduciary, reasonable assurancethat all who are required to sign have done so; and
(5) if the indorsement is made or the instruction isoriginated by a person not covered by another provision of this subsection,assurance appropriate to the case corresponding as nearly as may be to theprovisions of this subsection.
(b) An issuer may elect to require reasonable assurancebeyond that specified in this section.
(c) In this section:
(1) "Guaranty of the signature" means a guaranty signed by oron behalf of a person reasonably believed by the issuer to be responsible. Anissuer may adopt standards with respect to responsibility if they are notmanifestly unreasonable.
(2) "Appropriate evidence of appointment or incumbency" means:
(i) the case of a fiduciary appointed or qualified by acourt, a certificate issued by or under the direction or supervision of thecourt or an officer thereof and dated within 60 days before the date ofpresentation for transfer; or
(ii) any other case, a copy of a document showing theappointment or a certificate issued by or on behalf of a person reasonablybelieved by an issuer to be responsible or, in the absence of that document orcertificate, other evidence the issuer reasonably considers appropriate.