T-11.002 - Act respecting the transfer of securities and the establishment of security entitlements

Section 56 Disposition versions

2009-01-01

56. A purchaser has control of an uncertificated security if the uncertificated security is delivered to the purchaser or the purchaser enters with the issuer of the security into an agreement, called “control agreement”, under the terms of which the issuer agrees to comply with instructions that are originated by the purchaser without the further consent of the registered holder.

A purchaser has control of an uncertificated security even if the registered holder retains the right to originate instructions to the issuer, to make substitutions for the uncertificated security or to otherwise dispose of the uncertificated security.

2008, c. 20, s. 56.