Sec. 8.204. EFFECT OF ISSUER'S RESTRICTION ON TRANSFER. A restriction on transfer of a security imposed by the issuer, even if otherwise lawful, is ineffective against a person without knowledge of the restriction unless:
(1) the security is certificated and the restriction is noted conspicuously on the security certificate; or
(2) the security is uncertificated and the registered owner has been notified of the restriction.
Amended by Acts 1995, 74th Leg., ch. 962, Sec. 1, eff. Sept. 1, 1995.
Structure Texas Statutes
Title 1 - Uniform Commercial Code
Chapter 8 - Investment Securities
Subchapter B. Issue and Issuer
Section 8.202. Issuer's Responsibility and Defenses; Notice of Defect or Defense
Section 8.203. Staleness as Notice of Defect or Defense
Section 8.204. Effect of Issuer's Restriction on Transfer
Section 8.205. Effect of Unauthorized Signature on Security Certificate
Section 8.206. Completion or Alteration of Security Certificate
Section 8.207. Rights and Duties of Issuer With Respect to Registered Owners
Section 8.208. Effect of Signature of Authenticating Trustee, Registrar, or Transfer Agent