TITLE 28

COMMERCIAL TRANSACTIONS

CHAPTER 8

INVESTMENT SECURITIES

PART 2.

ISSUE AND ISSUER

28-8-206.  Completion or alteration of security certificate. (1) If a security certificate contains the signatures necessary to its issue or transfer but is incomplete in any other respect:

(a)  Any person may complete it by filling in the blanks as authorized; and

(b)  Even if the blanks are incorrectly filled in, the security certificate as completed is enforceable by a purchaser who took it for value and without notice of the incorrectness.

(2)  A complete security certificate that has been improperly altered, even if fraudulently, remains enforceable, but only according to its original terms.

History:

[28-8-206, added 1995, ch. 272, sec. 2, p. 887.]