(810 ILCS 5/8-509)
Specification of duties of securities
intermediary by other statute or regulation; manner
of performance of duties of securities intermediary
and exercise of rights of entitlement holder.
(a) If the substance of a duty imposed upon a securities
intermediary by Sections 8-504 through 8-508 is the subject of other statute,
regulation, or rule, compliance with that statute, regulation, or rule
satisfies the duty.
(b) To the extent that specific standards for the performance of the
duties of a securities intermediary or the exercise of the rights of an
entitlement holder are not specified by other statute, regulation, or rule or
by agreement between the securities intermediary and entitlement holder,
the securities intermediary shall perform its duties and the entitlement
holder shall exercise its rights in a commercially reasonable manner.
(c) The obligation of a securities intermediary to perform the duties
imposed by Sections 8-504 through 8-508 is subject to:
(1) rights of the securities intermediary arising out
of a security interest under a security agreement with the entitlement holder or otherwise; and
(2) rights of the securities intermediary under other
law, regulation, rule, or agreement to withhold performance of its duties as a result of unfulfilled obligations of the entitlement holder to the securities intermediary.
(d) Sections 8-504 through 8-508 do not require a securities
intermediary to take any action that is prohibited by other statute,
regulation, or rule.
(Source: P.A. 89-364, eff. 1-1-96.)