{"data":{"id":"us-nd/n.d.-cent.-code-41-08-37","jurisdiction":"us-nd","citation":"N.D. Cent. Code § 41-08-37","heading":"(8-404) Wrongful registration","body":"1.Except as otherwise provided in section 41-08-39, an issuer is liable for wrongful registration of transfer if the issuer has registered a transfer of a security to a person not entitled to it, and the transfer was registered:\na.Pursuant to an ineffective endorsement or instruction;\nb.After a demand that the issuer not register transfer became effective under subsection 1 of section 41-08-36 and the issuer did not comply with subsection 2 of section 41-08-36;\nc.After the issuer had been served with an injunction, restraining order, or other legal process enjoining it from registering the transfer, issued by a court of competent jurisdiction, and the issuer had a reasonable opportunity to act on the injunction, restraining order, or other legal process; or\nd.By an issuer acting in collusion with the wrongdoer.\n2.An issuer that is liable for wrongful registration of transfer under subsection 1 on demand shall provide the person entitled to the security with a like certificated or uncertificated security, and any payments or distributions that the person did not receive as a result of the wrongful registration. If an overissue would result, the issuer's liability to provide the person with a like security is governed by section 41-08-26.\n3.Except as otherwise provided in subsection 1 or in a law relating to the collection of taxes, an issuer is not liable to an owner or other person suffering loss as a result of the registration of a transfer of a security if registration was made pursuant to an effective endorsement or instruction.","path":["Title 41 Uniform Commercial Code","Chapter 41-08 Investment Securities"],"source_url":"https://ndlegis.gov/cencode/t41c08.pdf","current_through":"2026-07-31T11:12:02","vintage":"","retrieved_at":"2026-09-02T21:04:14Z","sha256":"b92c74868fd3afabba59877f77feedefb57b1e2f66563ee3f2dda48e7d444216","source_id":"us-nd","stale":true,"prev":"us-nd/n.d.-cent.-code-41-08-36","next":"us-nd/n.d.-cent.-code-41-08-38"},"notice":"GroundRules: Original legal text. Not legal advice."}