A securities intermediary that receives a financial asset and establishes a security entitlement to the financial asset in favor of an entitlement holder is a purchaser for value of the financial asset. A securities intermediary that acquires a security entitlement to a financial asset from another securities intermediary acquires the security entitlement for value if the securities intermediary acquiring the security entitlement establishes a security entitlement to the financial asset in favor of an entitlement holder.
Tex. Bus. & Com. Code § 8.116
SECURITIES INTERMEDIARY AS PURCHASER FOR VALUE
Known as the Uniform Commercial Code
The act spans §§ 1–12 (616 sections).
Added by Acts 1995, 74th Leg., ch. 962, Sec. 1, eff
Official source: Texas Constitution and Statutes. Reproduced from public-domain Texas statutes; confirm against the official source for the current text. Not legal advice.