(810 ILCS 5/8-204)
(from Ch. 26, par. 8-204)
Effect of issuer's restriction on transfer.
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:
(1) the security is certificated and the restriction
is noted conspicuously on the security certificate; or
(2) the security is uncertificated and the registered
owner has been notified of the restriction.
(Source: P.A. 89-364, eff. 1-1-96.)