N.Y. Estates, Powers & Trusts Law § 13-4.8: Protection of registering entity

§ 13-4.8 Protection of registering entity

(a) 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 this part.

(b) 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 this

part.

(c) A registering entity is discharged from all claims to a security

by the estate, creditors, distributees, legatees or devisees of a

deceased owner if it registers a transfer of the security in accordance

with section 13-4.7 and does so in good faith reliance (i) on the

registration, (ii) on this part, and (iii) 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 this part 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 this part.

(d) The protection provided by this part to the registering entity of

a security does not affect the rights of beneficiaries in disputes

between themselves and other claimants to ownership of the security

transferred or its value or proceeds.