§ 9206. Security interest arising in purchase or delivery of financial asset.

312 words·~1 min read·/pa/title-13/chapter-92/9206

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

(a)Security interest when person buys through securities intermediary.-- 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)Security interest secures obligation to pay for financial asset.-- The security interest described in subsection

(a)secures the person's obligation to pay for the financial asset.

(c)Security interest in payment against delivery transaction.-- 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 all of the following apply:

(1)The security or other financial asset:

(i)in the ordinary course of business is transferred by delivery with any necessary indorsement or assignment; and

(ii)is delivered under an agreement between persons in the business of dealing with such securities or financial assets.

(2)The agreement calls for delivery against payment.

(d)Security interest secures obligation to pay for delivery.-- The security interest described in subsection

(c)secures the obligation to make payment for the delivery.

13c9206v

Cross References. Section 9206 is referred to in sections 9203, 9309 of this title.

13c9207h

SUBCHAPTER B

RIGHTS AND DUTIES

Sec.

9207. Rights and duties of secured party having possession or control of collateral.

9208. Additional duties of secured party having control of collateral.

9209. Duties of secured party if account debtor has been notified of assignment.

9210. Request for accounting; request regarding list of collateral or statement of account.

13c9207s