Vermont § 403 - § 8—403.

§ 403. § 8—403.

• Demand that issuer not register transfer (a) A person who is an appropriate person to make an indorsement or originate an instruction
  may demand that the issuer not register transfer of a security by communicating to
  the issuer a notification that identifies the registered owner and the issue of which
  the security is a part and provides an address for communications directed to the
  person making the demand. The demand is effective only if it is received by the issuer
  at a time and in a manner affording the issuer reasonable opportunity to act on it. (b) If a certificated security in registered form is presented to an issuer with a request
  to register transfer or an instruction is presented to an issuer with a request to
  register transfer of an uncertificated security after a demand that the issuer not
  register transfer has become effective, the issuer shall promptly communicate to (i)
  the person who initiated the demand at the address provided in the demand and (ii)
  the person who presented the security for registration of transfer or initiated the
  instruction requesting registration of transfer a notification stating that: (1) the certificated security has been presented for registration of transfer or the instruction
  for registration of transfer of the uncertificated security has been received; (2) a demand that the issuer not register transfer had previously been received; and (3) the issuer will withhold registration of transfer for a period of time stated in the
  notification in order to provide the person who initiated the demand an opportunity
  to obtain legal process or an indemnity bond. (c) The period described in subdivision (b)(3) of this section may not exceed 30 days
  after the date of communication of the notification. A shorter period may be specified
  by the issuer if it is not manifestly unreasonable. (d) An issuer is not liable to a person who initiated a demand that the issuer not register
  transfer for any loss the person suffers as a result of registration of a transfer
  pursuant to an effective indorsement or instruction if the person who initiated the
  demand does not, within the time stated in the issuer’s communication, either: (1) obtain an appropriate restraining order, injunction, or other process from a court
  of competent jurisdiction enjoining the issuer from registering the transfer; or (2) file with the issuer an indemnity bond, sufficient in the issuer’s judgment to protect
  the issuer and any transfer agent, registrar, or other agent of the issuer involved
  from any loss it or they may suffer by refusing to register the transfer. (e) This section does not relieve an issuer from liability for registering transfer pursuant
  to an indorsement or instruction that was not effective. (Added 1995, No. 92 (Adj. Sess.), § 1, eff. Jan. 1, 1997.)