1754

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:\n(1) The security is certificated and the restriction is noted conspicuously on the security certificate, or\n(2) the security is uncertificated and the registered owner has been notified of the restriction.\nHistory —Aug. 17, 1995, No. 208, added as § 8-204 on Sept. 19, 1996, No. 241, § 12.