Colorado § 4-8-105 Notice of adverse claim

Colorado Statutes

§ 4-8-105 — Notice of adverse claim

Colorado § 4-8-105

Title 04Uniform

Art.Investment Securities

This text of Colorado § 4-8-105 (Notice of adverse claim) is published on Counsel Stack Legal Research, covering Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook

Colo. Rev. Stat. § 4-8-105 (2026).

Text

(a)A person has notice of an adverse claim if:

(1)The person knows of the adverse claim;

(2)The person is aware of facts sufficient to indicate that there is a significant probability that the adverse claim exists and deliberately avoids information that would establish the existence of the adverse claim; or

(3)The person has a duty, imposed by statute or regulation, to investigate whether an adverse claim exists, and the investigation so required would establish the existence of the adverse claim.

(b)Having knowledge that a financial asset or interest therein is or has been transferred by a representative imposes no duty of inquiry into the rightfulness of a transaction and is not notice of an adverse claim. However, a person who knows that a representative has transferre

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(a) A person has notice of an adverse
claim if:

(1) The person knows of the adverse claim;

(2) The person is aware of facts sufficient to indicate that there is a
significant probability that the adverse claim exists and deliberately avoids
information that would establish the existence of the adverse claim; or

(3) The person has a duty, imposed by statute or regulation, to investigate
whether an adverse claim exists, and the investigation so required would establish
the existence of the adverse claim.

(b) Having knowledge that a financial asset or interest therein is or has been
transferred by a representative imposes no duty of inquiry into the rightfulness of a
transaction and is not notice of an adverse claim. However, a person who knows
that a representative has transferred a financial asset or interest therein in a
transaction that is, or whose proceeds are being used, for the individual benefit of
the representative or otherwise in breach of duty has notice of an adverse claim.

(c) An act or event that creates a right to immediate performance of the
principal obligation represented by a security certificate or sets a date on or after
which the certificate is to be presented or surrendered for redemption or exchange
does not itself constitute notice of an adverse claim except in the case of a transfer
more than:

(1) One year after a date set for presentment or surrender for redemption or
exchange; or

(2) Six months after a date set for payment of money against presentation or
surrender of the certificate, if money was available for payment on that date.

(d) A purchaser of a certificated security has notice of an adverse claim if the
security certificate:

(1) Whether in bearer or registered form, has been indorsed for collection
or for surrender or for some other purpose not involving transfer; or

(2) Is in bearer form and has on it an unambiguous statement that it is the
property of a person other than the transferor, but the mere writing of a name on
the certificate is not such a statement.

(e) Filing of a financing statement under article 9 of this title is not notice of
an adverse claim to a financial asset.