400.8-402. Assurance that endorsement and instructions are effective.

MISSOURI STATUTES AND CODES

400.8-402. Assurance that endorsement and instructions are effective.

Assurance that endorsement and instructions are effective.

400.8-402. (a) An issuer may require the following assurance thateach necessary indorsement or each instruction is genuine and authorized:

(1) In all cases, a guaranty of the signature of the person making anindorsement or originating an instruction including, in the case of aninstruction, reasonable assurance of identity;

(2) If the indorsement is made or the instruction is originated by anagent, appropriate assurance of actual authority to sign;

(3) If the indorsement is made or the instruction is originated by afiduciary pursuant to section 400.8-107(a)(4) or (a)(5), appropriateevidence of appointment or incumbency;

(4) If there is more than one fiduciary, reasonable assurance thatall who are required to sign have done so; and

(5) If the indorsement is made or the instruction is originated by aperson not covered by another provision of this subsection, assuranceappropriate to the case corresponding as nearly as may be to the provisionsof this subsection.

(b) An issuer may elect to require reasonable assurance beyond thatspecified in this section.

(1) "Guaranty of the signature" means a guaranty signed by or onbehalf 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) In the case of a fiduciary appointed or qualified by a court, acertificate issued by or under the direction or supervision of the court oran officer thereof and dated within sixty days before the date ofpresentation for transfer; or

(ii) In any other case, a copy of a document showing the appointmentor a certificate issued by or on behalf of a person reasonably believed byan issuer to be responsible or, in the absence of that document orcertificate, other evidence the issuer reasonably considers appropriate.