{"data":{"id":"us-tx/tex.-business-commerce-code-8.505","jurisdiction":"us-tx","citation":"Tex. Business \u0026 Commerce Code § 8.505","heading":"DUTY OF SECURITIES INTERMEDIARY WITH RESPECT TO PAYMENTS AND DISTRIBUTIONS.","body":"(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:\n(1) the securities intermediary acts with respect to the duty as agreed on by the entitlement holder and the securities intermediary; or\n(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.\n(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.\nAdded by Acts 1995, 74th Leg., ch. 962, Sec. 1, eff. Sept. 1, 1995.","path":["BUSINESS AND COMMERCE CODE","TITLE 1. UNIFORM COMMERCIAL CODE","CHAPTER 8. INVESTMENT SECURITIES","SUBCHAPTER E. SECURITY ENTITLEMENTS"],"source_url":"https://statutes.capitol.texas.gov/Docs/BC/htm/BC.8.htm#8.505","current_through":"89th 2nd Called Legislative Session, 2025","vintage":"","retrieved_at":"2026-08-27T01:46:56Z","sha256":"c8b9012f1149bfd246f99fc705c83ac16cc2885aa0c20cc19d6477197de92276","source_id":"us-tx","stale":false,"prev":"us-tx/tex.-business-commerce-code-8.504","next":"us-tx/tex.-business-commerce-code-8.506"},"notice":"GroundRules: Original legal text. Not legal advice."}