{"formats":[{"name":"JSON","format":"json","url":"\/downloads\/2025\/code-json\/8.8A-510.json"},{"name":"Plain Text","format":"text","url":"\/downloads\/2025\/code-text\/8.8A-510.txt"},{"name":"XML","format":"xml","url":"\/downloads\/2025\/code-xml\/8.8A-510.xml"},{"name":"HTML","format":"html","url":"\/downloads\/2025\/code-html\/8.8A-510.html"}],"law_id":68145,"edition_id":1,"section_id":68145,"structure_id":15693,"section_number":"8.8A-510","catch_line":"Rights of purchaser of security entitlement from entitlement holder","history":"1996, c. 216; 2000, c. 1007.","full_text":"a\n\nIn a case not covered by the priority rules in Title 8.9A or the rules stated in subsection (c), an action based on an adverse claim to a financial asset or security entitlement, whether framed in conversion, replevin, constructive trust, equitable lien, or other theory, may not be asserted against a person who purchases a security entitlement, or an interest therein, from an entitlement holder if the purchaser gives value, does not have notice of the adverse claim, and obtains control.b\n\nIf an adverse claim could not have been asserted against an entitlement holder under § 8.8A-502, the adverse claim cannot be asserted against a person who purchases a security entitlement, or an interest therein, from the entitlement holder.c\n\nIn a case not covered by the priority rules in Title 8.9A, a purchaser for value of a security entitlement, or an interest therein, who obtains control has priority over a purchaser of a security entitlement, or an interest therein, who does not obtain control. Except as otherwise provided in subsection (d), purchasers who have control rank according to priority in time of:1\n\nthe purchaser’s becoming the person for whom the securities account, in which the security entitlement is carried, is maintained, if the purchaser obtained control under subdivision (d) (1) of § 8.8A-106;2\n\nthe securities intermediary’s agreement to comply with the purchaser’s entitlement orders with respect to security entitlements carried or to be carried in the securities account in which the security entitlement is carried, if the purchaser obtained control under subdivision (d) (2) of § 8.8A-106; or3\n\nif the purchaser obtained control through another person under subdivision (d) (3) of § 8.8A-106, the time on which priority would be based under this subsection if the other person were the secured party.d\n\nA securities intermediary as purchaser has priority over a conflicting purchaser who has control unless otherwise agreed by the securities intermediary.","order_by":null,"text":{"0":{"id":246672,"text":"In a case not covered by the priority rules in Title 8.9A or the rules stated in subsection (c), an action based on an adverse claim to a financial asset or security entitlement, whether framed in conversion, replevin, constructive trust, equitable lien, or other theory, may not be asserted against a person who purchases a security entitlement, or an interest therein, from an entitlement holder if the purchaser gives value, does not have notice of the adverse claim, and obtains control.","type":"section","prefixes":["a"],"prefix":"a","entire_prefix":"a","prefix_anchor":"a","level":1,"next_prefix":"b"},"1":{"id":246673,"text":"If an adverse claim could not have been asserted against an entitlement holder under § 8.8A-502, the adverse claim cannot be asserted against a person who purchases a security entitlement, or an interest therein, from the entitlement holder.","type":"section","prefixes":["b"],"prefix":"b","entire_prefix":"b","prefix_anchor":"b","level":1,"prior_prefix":"a","next_prefix":"c"},"2":{"id":246674,"text":"In a case not covered by the priority rules in Title 8.9A, a purchaser for value of a security entitlement, or an interest therein, who obtains control has priority over a purchaser of a security entitlement, or an interest therein, who does not obtain control. Except as otherwise provided in subsection (d), purchasers who have control rank according to priority in time of:","type":"section","prefixes":["c"],"prefix":"c","entire_prefix":"c","prefix_anchor":"c","level":1,"prior_prefix":"b","next_prefix":"c1"},"3":{"id":246675,"text":"the purchaser’s becoming the person for whom the securities account, in which the security entitlement is carried, is maintained, if the purchaser obtained control under subdivision (d) (1) of § 8.8A-106;","type":"section","prefixes":["c","1"],"prefix":"1","entire_prefix":"c1","prefix_anchor":"c1","level":2,"prior_prefix":"c","next_prefix":"c2"},"4":{"id":246676,"text":"the securities intermediary’s agreement to comply with the purchaser’s entitlement orders with respect to security entitlements carried or to be carried in the securities account in which the security entitlement is carried, if the purchaser obtained control under subdivision (d) (2) of § 8.8A-106; or","type":"section","prefixes":["c","2"],"prefix":"2","entire_prefix":"c2","prefix_anchor":"c2","level":2,"prior_prefix":"c1","next_prefix":"c3"},"5":{"id":246677,"text":"if the purchaser obtained control through another person under subdivision (d) (3) of § 8.8A-106, the time on which priority would be based under this subsection if the other person were the secured party.","type":"section","prefixes":["c","3"],"prefix":"3","entire_prefix":"c3","prefix_anchor":"c3","level":2,"prior_prefix":"c2","next_prefix":"d"},"6":{"id":246678,"text":"A securities intermediary as purchaser has priority over a conflicting purchaser who has control unless otherwise agreed by the securities intermediary.","type":"section","prefixes":["d"],"prefix":"d","entire_prefix":"d","prefix_anchor":"d","level":1,"prior_prefix":"c3"}},"ancestry":[{"id":15693,"edition_id":1,"name":"Security Entitlements","identifier":"5","label":"part","depth":2,"order_by":1,"parent_id":13421,"metadata":{},"date_created":"2026-06-26 03:58:00","date_modified":"2026-06-26 03:58:00","permalink":{"id":283781,"object_type":"structure","relational_id":15693,"identifier":"5","token":"8.8A\/5","url":"\/8.8A\/5\/","edition_id":1,"permalink":0,"preferred":1}},{"id":13421,"edition_id":1,"name":"Commercial Code \u2014 Investment Securities","identifier":"8.8A","label":"title","depth":1,"order_by":1,"parent_id":null,"metadata":{},"date_created":"2026-06-26 03:44:52","date_modified":"2026-06-26 03:44:52","permalink":{"id":283611,"object_type":"structure","relational_id":13421,"identifier":"8.8A","token":"8.8A","url":"\/8.8A\/","edition_id":1,"permalink":0,"preferred":1}}],"structure_contents":[{"id":68902,"structure_id":15693,"section_number":"8.8A-501","catch_line":"Securities account; acquisition of security entitlement from securities intermediary","url":"\/8.8A-501\/","token":"8.8A\/5\/8.8A-501","metadata":false},{"id":72041,"structure_id":15693,"section_number":"8.8A-502","catch_line":"Assertion of adverse claim against entitlement holder","url":"\/8.8A-502\/","token":"8.8A\/5\/8.8A-502","metadata":false},{"id":80721,"structure_id":15693,"section_number":"8.8A-503","catch_line":"Property interest of entitlement holder in financial asset held by securities intermediary","url":"\/8.8A-503\/","token":"8.8A\/5\/8.8A-503","metadata":false},{"id":74402,"structure_id":15693,"section_number":"8.8A-504","catch_line":"Duty of securities intermediary to maintain financial asset","url":"\/8.8A-504\/","token":"8.8A\/5\/8.8A-504","metadata":false},{"id":83716,"structure_id":15693,"section_number":"8.8A-505","catch_line":"Duty of securities intermediary with respect to payments and distributions","url":"\/8.8A-505\/","token":"8.8A\/5\/8.8A-505","metadata":false},{"id":60117,"structure_id":15693,"section_number":"8.8A-506","catch_line":"Duty of securities intermediary to exercise rights as directed by entitlement holder","url":"\/8.8A-506\/","token":"8.8A\/5\/8.8A-506","metadata":false},{"id":84341,"structure_id":15693,"section_number":"8.8A-507","catch_line":"Duty of securities intermediary to comply with entitlement order","url":"\/8.8A-507\/","token":"8.8A\/5\/8.8A-507","metadata":false},{"id":68419,"structure_id":15693,"section_number":"8.8A-508","catch_line":"Duty of securities intermediary to change entitlement holder's position to other form of security holding","url":"\/8.8A-508\/","token":"8.8A\/5\/8.8A-508","metadata":false},{"id":78803,"structure_id":15693,"section_number":"8.8A-509","catch_line":"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","url":"\/8.8A-509\/","token":"8.8A\/5\/8.8A-509","metadata":false},{"id":68145,"structure_id":15693,"section_number":"8.8A-510","catch_line":"Rights of purchaser of security entitlement from entitlement holder","url":"\/8.8A-510\/","token":"8.8A\/5\/8.8A-510","metadata":false},{"id":74506,"structure_id":15693,"section_number":"8.8A-511","catch_line":"Priority among security interests and entitlement holders","url":"\/8.8A-511\/","token":"8.8A\/5\/8.8A-511","metadata":false}],"previous_section":{"id":78803,"structure_id":15693,"section_number":"8.8A-509","catch_line":"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","url":"\/8.8A-509\/","token":"8.8A\/5\/8.8A-509","metadata":false},"next_section":{"id":74506,"structure_id":15693,"section_number":"8.8A-511","catch_line":"Priority among security interests and entitlement holders","url":"\/8.8A-511\/","token":"8.8A\/5\/8.8A-511","metadata":false},"metadata":false,"official_url":"https:\/\/law.lis.virginia.gov\/vacode\/8.8A-510\/","history_text":"

This law was first created in 1996. The record of its establishment is cataloged in chapter 216<\/a> of that year\u2019s edition of \u201cActs of Assembly,\u201d the annual state publication listing all changes made to the Code of Virginia in that year. It has been modified 1 time. Those modifications are cataloged by \u201cThe Acts of Assembly,\u201d a state publication, by year and chapter. Those modifications that can be read on the General Assembly\u2019s website will be linked accordingly. That modification is as follows: in 2000, chapter 1007<\/a>.<\/p>","references":false,"refers_to":[{"id":84402,"section_number":"8.8A-106","catch_line":"Control","order_by":null,"url":"\/8.8A-106\/"},{"id":72041,"section_number":"8.8A-502","catch_line":"Assertion of adverse claim against entitlement holder","order_by":null,"url":"\/8.8A-502\/"}],"permalink":{"id":283819,"object_type":"law","relational_id":68145,"identifier":"8.8A-510","token":"8.8A\/5\/8.8A-510","url":"\/8.8A-510\/","edition_id":1,"permalink":0,"preferred":1},"url":"\/8.8A-510\/","token":"8.8A\/5\/8.8A-510","dublin_core":{"Title":"Rights of purchaser of security entitlement from entitlement holder","Type":"Text","Format":"text\/html","Identifier":"\u00a7 8.8A-510","Relation":"Code of Virginia"},"html":"\n\t\t\t\t\t\t

a.<\/span> In a case not covered by the priority rules in Title 8.9A or the rules stated in subsection (c), an action based on an adverse claim to a financial asset or security entitlement, whether framed in conversion, replevin, constructive trust, equitable<\/span> lien<\/span>, or other theory, may not be asserted against a person who purchases a security entitlement, or an interest therein, from an entitlement holder if the purchaser gives value, does not have notice of the adverse claim, and obtains control. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

b.<\/span> If an adverse claim could not have been asserted against an entitlement holder under § 8.8A-502<\/a>, the adverse claim cannot be asserted against a person who purchases a security entitlement, or an interest therein, from the entitlement holder. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

c.<\/span> In a case not covered by the priority rules in Title 8.9A, a purchaser for value of a security entitlement, or an interest therein, who obtains control has priority over a purchaser of a security entitlement, or an interest therein, who does not obtain control. Except as otherwise provided in subsection (d), purchasers who have control rank according to priority in time of: <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

1.<\/span> the purchaser’s becoming the person for whom the securities account, in which the security entitlement is carried, is maintained, if the purchaser obtained control under subdivision (d) (1) of § 8.8A-106<\/a>; <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

2.<\/span> the securities intermediary’s agreement to comply with the purchaser’s entitlement orders<\/span> with respect to security entitlements carried or to be carried in the securities account in which the security entitlement is carried, if the purchaser obtained control under subdivision (d) (2) of § 8.8A-106<\/a>; or <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

3.<\/span> if the purchaser obtained control through another person under subdivision (d) (3) of § 8.8A-106<\/a>, the time on which priority would be based under this subsection if the other person were the secured party<\/span>. <\/i><\/a><\/p><\/section>\n\t\t\t\t\t\t

d.<\/span> A securities intermediary as purchaser has priority over a conflicting purchaser who has control unless otherwise agreed by the securities intermediary. <\/i><\/a><\/p><\/section>","plain_text":" CODE OF VIRGINIA\n\nRIGHTS OF PURCHASER OF SECURITY ENTITLEMENT FROM ENTITLEMENT HOLDER (\u00a7\n8.8A-510)\n\na. In a case not covered by the priority rules in Title 8.9A or the rules stated\nin subsection (c), an action based on an adverse claim to a financial asset or\nsecurity entitlement, whether framed in conversion, replevin, constructive\ntrust, equitable lien, or other theory, may not be asserted against a person who\npurchases a security entitlement, or an interest therein, from an entitlement\nholder if the purchaser gives value, does not have notice of the adverse claim,\nand obtains control.\n\nb. If an adverse claim could not have been asserted against an entitlement\nholder under § 8.8A-502, the adverse claim cannot be asserted against a\nperson who purchases a security entitlement, or an interest therein, from the\nentitlement holder.\n\nc. In a case not covered by the priority rules in Title 8.9A, a purchaser for\nvalue of a security entitlement, or an interest therein, who obtains control has\npriority over a purchaser of a security entitlement, or an interest therein, who\ndoes not obtain control. Except as otherwise provided in subsection (d),\npurchasers who have control rank according to priority in time of:\n\n 1. the purchaser’s becoming the person for whom the securities account,\n in which the security entitlement is carried, is maintained, if the purchaser\n obtained control under subdivision (d) (1) of § 8.8A-106;\n\n 2. the securities intermediary’s agreement to comply with the\n purchaser’s entitlement orders with respect to security entitlements\n carried or to be carried in the securities account in which the security\n entitlement is carried, if the purchaser obtained control under subdivision\n (d) (2) of § 8.8A-106; or\n\n 3. if the purchaser obtained control through another person under subdivision\n (d) (3) of § 8.8A-106, the time on which priority would be based under\n this subsection if the other person were the secured party.\n\nd. A securities intermediary as purchaser has priority over a conflicting\npurchaser who has control unless otherwise agreed by the securities\nintermediary.\n\nHISTORY: 1996, c. 216; 2000, c. 1007.","edition":{"id":1,"name":"2025","slug":"2025","date_created":"2026-06-21 22:39:22","date_modified":"2026-06-21 22:39:22","current":1,"order_by":1,"last_import":null}}