Colo. Rev. Stat. § 4-8-505
Duty of securities intermediary with respect to payments and distributions
Colorado · Colorado Revised Statutes Title 4 — Uniform Commercial Code · Status: effective
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- Citation
- Colo. Rev. Stat. § 4-8-505, Duty of securities intermediary with respect to payments and distributions, Colorado, version 1 as recorded 2026-10-03, yourstate.us, https://yourstate.us/provision/2283239
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Full text
(a) A securities intermediary shall take action to obtain a payment or distribution made by the issuer of a financial asset. A securities intermediary satisfies the duty if:
(1) The securities intermediary acts with respect to the duty as agreed upon by the entitlement holder and the securities intermediary; or
(2) In the absence of agreement, the securities intermediary exercises due care in accordance with reasonable commercial standards to attempt to obtain the payment or distribution.
(b) A securities intermediary is obligated to its entitlement holder for a payment or distribution made by the issuer of a financial asset if the payment or distribution is received by the securities intermediary.