Okla. Stat. tit. 12A § 8-116

Current through Laws 2024, c. 453.

Section 8-116 - Securities Intermediary as Purchaser for Value

A securities intermediary that receives a financial asset and establishes a security entitlement to the financial asset in favor of an entitlement holder is a purchaser for value of the financial asset. A securities intermediary that acquires a security entitlement to a financial asset from another securities intermediary acquires the security entitlement for value if the securities intermediary acquiring the security entitlement establishes a security entitlement to the financial asset in favor of an entitlement holder.

Okla. Stat. tit. 12A, § 8-116

Added by Laws 1995, SB 522, c. 242, § 16, eff. 2/1/1996.

Oklahoma Code Comment

As with the preceding Section, this Section protects securities intermediaries that receive financial assets in order to facilitate the handling of securities transactions. Again, there are similarities with other UCC rules designed to protect purchasers and the bank payments system. See, e.g., UCC §§ 3-302, 8-502, 8-303, 8-503 and 8-510; and UCC §§ 4-205, 4-210 and 4-211, which facilitate the claim of a bank to holder in due course status as regards items handled for collection or payment. See also UCC § 5- 114(2)(a) (which becomes UCC § 5-109(a)(1) in the proposed 1995 revision to the uniform text).

Prior Statutory Provisions:

None.