A securities intermediary shall act at the direction of an entitlement holder to change a security entitlement into another available form of holding for which the entitlement holder is eligible, or to cause the financial asset to be transferred to a securities account of the entitlement holder with another securities intermediary. A securities intermediary satisfies the duty if:
(1) the securities intermediary acts as agreed upon by the entitlement holder and the securities intermediary; or
(2) in the absence of agreement, the securities intermediary exercises due care in accordance with reasonable commercial standards to follow the direction of the entitlement holder.
Structure Code of Alabama
Article 8 - Investment Securities.
Part 5 - Security Entitlements.
Section 7-8-502 - Assertion of Adverse Claim Against Entitlement Holder.
Section 7-8-504 - Duty of Securities Intermediary to Maintain Financial Asset.
Section 7-8-505 - Duty of Securities Intermediary With Respect to Payments and Distributions.
Section 7-8-507 - Duty of Securities Intermediary to Comply With Entitlement Order.
Section 7-8-510 - Rights of Purchaser of Security Entitlement From Entitlement Holder.
Section 7-8-511 - Priority Among Security Interests and Entitlement Holders.