9-4-519 - Requirements for public depositors. - Tennessee Statutes

9-4-519. Requirements for public depositors.

(a)  Public depositors shall comply with the following requirements:

     (1)  A public depositor shall ensure that the name of the public depositor is on the account or certificate provided to the public depositor by the qualified public depository in a manner sufficient to disclose the identity of the public depositor; and

     (2)  A public depositor who sustained a loss occasioned by a default or insolvency of a qualified public depository that was not satisfied pursuant to § 9-4-512 shall notify the state treasurer of that fact within three (3) business days after receiving actual notice of the default from publications made pursuant to § 9-4-513(a).

(b)  If a public depositor does not comply with subdivision (a)(1), the pool shall not be liable for the loss incurred to that particular account created by the public depositor. The waiver of immunity provided in § 9-4-520 shall be ineffective as to that public depositor for such account.

[Acts 1990, ch. 1043, § 1; 1991, ch. 438, § 2; 1997, ch. 217, § 6.]