Repealed and added by Stats. 1996, Ch. 497, Sec. 9. Effective January 1, 1997.
A restriction on transfer of a security imposed by the issuer, even if otherwise lawful, is ineffective against a person without knowledge of the restriction unless either of the following applies:
(1)The security is certificated and the restriction is noted conspicuously on the security certificate.
(2)The security is uncertificated and the registered owner has been notified of the restriction.
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