Section 476.419

Title XXXII COURTS

Chapter 476

Effective - 28 Aug 2020   

  476.419.  Securities, multiple recipients, requirements and limitations on court to divide. — 1.  Notwithstanding any provision of law to the contrary, a court shall not divide securities among multiple recipients in such a way that negotiable securities become nonnegotiable securities.

  2.  A court may divide securities into increments equal to a multiple of an allowable tradeable amount.  For purposes of this section, an "allowable tradeable amount" is the minimum amount or denomination accepted by the industry, as defined in the official statement or offering document of the original security.  If the provisions of this section prevent the distribution of property in the proportion that other law requires, a court may:

  (1)  Distribute different values of securities to different recipients and distribute other property in a way so that the total value of property each recipient receives is as close to the proper proportion as practicable;

  (2)  Liquidate the securities and distribute the resulting moneys among recipients; or

  (3)  Take other action within its power, including a combination of subdivisions (1) and (2) of this subsection.

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(L. 2020 S.B. 599)