Nevada § 104.8510 - Rights of purchaser of security entitlement from entitlement holder

§ 104.8510. Rights of purchaser of security entitlement from entitlement holder

1. In a case not covered by the rules of priority in article 9 or the rules stated

in subsection 3, an action based on an adverse claim to a financial asset or security

entitlement, whether framed in conversion, replevin, constructive trust, equitable

lien or other theory, may not be asserted against a person who purchases a security

entitlement, or an interest therein, from an entitlement holder if the purchaser gives

value, does not have notice of the adverse claim and obtains control. 2. If an adverse claim could not have been asserted against an entitlement holder

under NRS 104.8502 , the adverse claim cannot be asserted against a person who purchases a security entitlement,

or an interest therein, from the entitlement holder. 3. In a case not covered by the rules of priority in article 9, a purchaser for value

of a security entitlement, or an interest therein, who obtains control has priority

over a purchaser of a security entitlement, or an interest therein, who does not obtain

control. Except as otherwise provided in subsection 4, purchasers who have control rank according

to priority in time of: (a) The purchaser's becoming the person for whom the securities account, in which

the security entitlement is carried, is maintained, if the purchaser obtained control

under paragraph (a) of subsection 4 of NRS 104.8106 ; (b) The securities intermediary's agreement to comply with the purchaser's entitlement

orders with respect to security entitlements carried or to be carried in the securities

account in which the security entitlement is carried, if the purchaser obtained control

under paragraph (b) of that subsection; or (c) If the purchaser obtained control through another person under paragraph (c) of

that subsection, the time on which priority would be based under this subsection if

the other person were the secured party. 4. A securities intermediary as purchaser has priority over a conflicting purchaser

who has control unless otherwise agreed by the securities intermediary.