§ 25-8-508. Duty of securities intermediary to change entitlement holder's position to other form of security holding. - North Carolina Statutes

§25‑8‑508.  Duty of securities intermediary to change entitlementholder's position to other form of security holding.

A securities intermediaryshall act at the direction of an entitlement holder to change a securityentitlement into another available form of holding for which the entitlementholder is eligible, or to cause the financial asset to be transferred to asecurities account of the entitlement holder with another securitiesintermediary. A securities intermediary satisfies the duty if:

(1)        The securitiesintermediary acts as agreed upon by the entitlement holder and the securitiesintermediary; or

(2)        In the absence ofagreement, the securities intermediary exercises due care in accordance withreasonable commercial standards to follow the direction of the entitlementholder. (1997‑181, s. 1.)