292.6508 Protection of registering entity.

283 words·~1 min read·/ky/chapter-292/292-6508

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)A registering entity is not required to offer or to accept a request for security

registration in beneficiary form. If a registration in beneficiary form is offered by a

registering entity, the owner requesting registration in beneficiary form assents to

the protections given to the registering entity by KRS 292.6501 to 292.6512.

(2)By accepting a request for registration of a security in beneficiary form, the

registering entity agrees that the registration will be implemented on death of the

deceased owner as provided in KRS 292.6501 to 292.6512.

(3)A registering entity is discharged from all claims to a security by the estate,

creditors, heirs, or devisees of a deceased owner if it registers a transfer of the

security in accordance with KRS 292.6507 and does so in good faith reliance:

(a)On the registration;

(b)On KRS 292.6501 to 292.6512; and

(c)On information provided to it by affidavit of the personal representative of the

deceased owner, or by the surviving beneficiary or by the surviving

beneficiary's representatives, or other information available to the registering

entity.

The protections of KRS 292.6501 to 292.6512 do not extend to a reregistration or

payment made after a registering entity has received written notice from any

claimant to any interest in the security objecting to implementation of a registration

in beneficiary form. No other notice or other information available to the registering

entity affects its right to protection under KRS 292.6501 to 292.6512.

(4)The protection provided by KRS 292.6501 to 292.6512 to the registering entity of a

security does not affect the rights of the beneficiaries in disputes between

themselves and other claimants to ownership of the security transferred or its value

or proceeds.