§ 26-1-9.1-206 — Security interest arising in purchase or delivery of financial asset

Indiana § 26-1-9.1-206

• Jurisdiction: Indiana
• Title 26: COMMERCIAL LAW
• Art. 1: UNIFORM COMMERCIAL CODE
• Ch. 9.1: Secured Transactions

Text

(a) A security interest in favor of a
securities intermediary attaches to a person's security entitlement if:
(1) the person buys a financial asset through the securities
intermediary in a transaction in which the person is obligated to
pay the purchase price to the securities intermediary at the time
of the purchase; and
(2) the securities intermediary credits the financial asset to the
buyer's securities account before the buyer pays the securities
intermediary.
(b) The security interest described in subsection (a) secures the
person's obligation to pay for the financial asset.
(c) A security interest in favor of a person that delivers a certificated
security or other financial asset represented by a writing attaches to the
security or other financial asset if:
(1) the security or other financial asset:
(A) in the ordinary course of business is transferred by delivery
with any necessary endorsement or assignment; and
(B) is delivered under an agreement between persons in the
business of dealing with such securities or financial assets; and
(2) the agreement calls for delivery against payment.
(d) The security interest described in subsection (c) secures the
obligation to make payment for the delivery.

Legislative History

As added by P.L.57-2000, SEC.45.