Alabama Statutes

§ 7-8-303 — Protected Purchaser

Alabama·Title 7 Commercial Code·Art. 8 Investment Securities·Part 3 Transfer of Certificated and Uncertificated Securities
(a)“Protected purchaser” means a purchaser of a certificated or uncertificated security, or of an interest therein, who:
(1)gives value;
(2)does not have notice of any adverse claim to the security; and
(3)obtains control of the certificated or uncertificated security.
(b)A protected purchaser acquires its interest in the security free of any adverse claim.

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Legislative History

(Acts 1996, No. 96-742, p. 1241, §1; Act 2023-492, §1.)

Nearby Sections

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