8.8A-115 - A-115. Securities intermediary and others not liable to adverse claimant. - Virginia Statutes

§ 8.8A-115. Securities intermediary and others not liable to adverse claimant.

A securities intermediary that has transferred a financial asset pursuant toan effective entitlement order, or a broker or other agent or bailee that hasdealt with a financial asset at the direction of its customer or principal,is not liable to a person having an adverse claim to the financial asset,unless the securities intermediary, or broker or other agent or bailee:

(1) took the action after it had been served with an injunction, restrainingorder, or other legal process enjoining it from doing so, issued by a courtof competent jurisdiction, and had a reasonable opportunity to act on theinjunction, restraining order, or other legal process; or

(2) acted in collusion with the wrongdoer in violating the rights of theadverse claimant; or

(3) in the case of a security certificate that has been stolen, acted withnotice of the adverse claim.

(1996, c. 216.)