Colorado Code
Part 4 - Registration
§ 4-8-403. Demand That Issuer Not Register Transfer

(1) Obtain an appropriate restraining order, injunction, or other process from a court of competent jurisdiction enjoining the issuer from registering the transfer; or
(2) File with the issuer an indemnity bond, sufficient in the issuer's judgment to protect the issuer and any transfer agent, registrar, or other agent of the issuer involved from any loss it or they may suffer by refusing to register the transfer.


Source: L. 96: Entire article R&RE, p. 224, § 2, effective July 1.
Editor's note: This section is similar to former § 4-8-403 as it existed prior to 1996.



Under this section, the owner's notification that the certificate has been lost would constitute a demand that the issuer not register transfer. No indemnity bond or legal process is necessary. If the original certificate is presented for registration of transfer, the issuer is required to notify the registered owner of that fact, and defer registration of transfer for a stated period. In order to prevent undue delay in the process of registration, the stated period may not exceed thirty days. This gives the registered owner an opportunity to either obtain legal process or post an indemnity bond and thereby prevent the issuer from registering transfer.
Definitional Cross References:
"Appropriate person". Section 8-107
"Certificated security". Section 8-102(a)(4)
"Communicate". Section 8-102(a)(6)
"Effective". Section 8-107
"Indorsement". Section 8-102(a)(11)
"Instruction". Section 8-102(a)(12)
"Issuer". Section 8-201
"Registered form". Section 8-102(a)(13)
"Uncertificated security". Section 8-102(a)(18)

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