§490:8-508 - Duty of securities intermediary to change entitlement holder's position to other form of security holding. - Hawaii Statutes

     §490:8-508  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. [L 1997, c 33, pt of §2]