§ 6A-8-508 - Duty of securities intermediary to change entitlement holder's position to other form of security holding. - Rhode Island Statutes

SECTION 6A-8-508

   § 6A-8-508  Duty of securities intermediaryto change entitlement holder's position to other form of security holding.– A securities intermediary shall act at the direction of an entitlement holderto change a security entitlement into another available form of holding forwhich the entitlement holder is eligible, or to cause the financial asset to betransferred to a securities account of the entitlement holder with anothersecurities intermediary. A securities intermediary satisfies the duty if:

   (1) the securities intermediary acts as agreed upon by theentitlement holder and the securities intermediary; or

   (2) in the absence of agreement, the securities intermediaryexercises due care in accordance with reasonable commercial standards to followthe direction of the entitlement holder.