Nevada § 104.9105 - Control of electronic copy of record evidencing chattel paper

§ 104.9105. Control of electronic copy of record evidencing chattel paper

1. A purchaser has control of an authoritative electronic copy of a record evidencing

chattel paper if a system employed for evidencing the assignment of interests in the

chattel paper reliably establishes the purchaser as the person to which the authoritative

electronic copy was assigned. 2. A system satisfies subsection 1 if the record or records evidencing the chattel

paper are created, stored and assigned in such a manner that: (a) A single authoritative copy of the record or records exists which is unique, identifiable

and, except as otherwise provided in paragraphs (d), (e) and (f), unalterable; (b) The authoritative copy identifies the purchaser as the assignee of the record

or records; (c) The authoritative copy is communicated to and maintained by the purchaser or its

designated custodian; (d) Copies or amendments that add or change an identified assignee of the authoritative

copy can be made only with the consent of the purchaser; (e) Each copy of the authoritative copy and any copy of a copy is readily identifiable

as a copy that is not the authoritative copy; and (f) Any amendment of the authoritative copy is readily identifiable as authorized

or unauthorized. 3. A system satisfies subsection 1, and a purchaser has control of an authoritative

electronic copy of a record evidencing chattel paper, if the electronic copy, a record

attached to or logically associated with the electronic copy or a system in which

the electronic copy is recorded: (a) Enables the purchaser readily to identify each electronic copy as either an authoritative

copy or a nonauthoritative copy; (b) Enables the purchaser readily to identify itself in any way, including by name,

identifying number, cryptographic key, office or account number, as the assignee of

the authoritative electronic copy; and (c) Gives the purchaser exclusive power, subject to subsection 4, to: (1) Prevent others from adding or changing an identified assignee of the authoritative

electronic copy; and (2) Transfer control of the authoritative electronic copy. 4. Subject to subsection 5, a power is exclusive under subparagraphs (1) and (2) of

paragraph (c) of subsection 3, even if: (a) The authoritative electronic copy, a record attached to or logically associated

with the authoritative electronic copy or a system in which the authoritative electronic

copy is recorded limits the use of the authoritative electronic copy or has a protocol

programmed to cause a change, including a transfer or loss of control; or (b) The power is shared with another person. 5. A power of a purchaser is not shared with another person under paragraph (b) of

subsection 4 and the purchaser's power is not exclusive if: (a) The purchaser can exercise a power only if the power also is exercised by the

other person; and (b) The other person: (1) Can exercise the power without exercise of the power by the purchaser; or (2) Is the transferor to the purchaser of an interest in the chattel paper. 6. If a purchaser has the powers specified in subparagraphs (1) and (2) of paragraph

(c) of subsection 3, the powers are presumed to be exclusive. 7. A purchaser has control of an authoritative electronic copy of a record evidencing

chattel paper if another person, other than the transferor to the purchaser of an

interest in the chattel paper: (a) Has control of the authoritative electronic copy and acknowledges that it has

control on behalf of the purchaser; or (b) Obtains control of the authoritative electronic copy after having acknowledged

that it will obtain control of the electronic copy on behalf of the purchaser.