California Commercial Code

§ 9206

COM § 9206 Effective Jan 1, 2000Div. 9 · Ch. 2

Statute text

(a)A security interest in favor of a securities intermediary attaches to a person’s security entitlement if both of the following conditions are satisfied:

(1)The person buys a financial asset through the securities intermediary in a transaction in which the person is obligated to pay the purchase price to the securities intermediary at the time of the purchase.

(2)The securities intermediary credits the financial asset to the buyer’s securities account before the buyer pays the securities intermediary.

…

Legislative history

Repealed and added by Stats. 1999, Ch. 991, Sec. 35. Effective January 1, 2000. Operative July 1, 2001, by Sec. 75 of Ch. 991 and Section 9701.