New Jersey Statutes

§ 12A:8-506 — Duty of Securities Intermediary to Exercise Rights as Directed by Entitlement Holder.

New Jersey·Title 12A COMMERCIAL TRANSACTIONS
A securities intermediary shall exercise rights with respect to a financial asset if directed to do so by an entitlement holder. A securities intermediary satisfies the duty if: a. the securities intermediary acts with respect to the duty as agreed upon by the entitlement holder and the securities intermediary; or b. in the absence of agreement, the securities intermediary either places the entitlement holder in a position to exercise the rights directly or exercises due care in accordance with reasonable commercial standards to follow the direction of the entitlement holder. L.1997,c.252,s.1.

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