§490:8-509  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 490:8-504 to 490:8-508 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 490:8-504 to 490:8-508
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 490:8-504 to 490:8-508 do not
require a securities intermediary to take any action that is prohibited by
other statute, regulation, or rule. [L 1997, c 33, pt of §2]