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Can you summarize MNST 336.8-107?
UNIFORM COMMERCIAL CODE > WHETHER ENDORSEMENT, INSTRUCTION, OR ENTITLEMENT ORDER IS EFFECTIVE.
Short Summary
This legal document, governed by the Minnesota Statutes under the Uniform Commercial Code, specifically addresses the effectiveness of endorsement, instruction, or entitlement orders in relation to securities and financial assets. It defines the ‘appropriate person’ who is entitled to the security or financial asset and outlines the conditions under which an endorsement, instruction, or entitlement order is considered effective. The document also states that an endorsement, instruction, or entitlement order made by a representative remains effective even if the representative fails to comply with a controlling instrument or breaches their duty. Additionally, it clarifies that an endorsement, instruction, or entitlement order made by a person described as a representative is still effective even if they are no longer serving in that capacity. The effectiveness of an endorsement, instruction, or entitlement order is determined at the time it is made and is not affected by any subsequent changes in circumstances.
Whom does it apply to?
Persons involved in the transfer of securities or financial assets
What does it govern?
Endorsement, instruction, or entitlement order
What are exemptions?
No exemptions are mentioned.
What are the Penalties?
No penalties are mentioned.
Jurisdiction
Minnesota