24.40.010 Rights Acquired by Purchaser

(a) Upon transfer of a security to a purchaser (Section 24.40.130), the purchaser acquires the rights in the security which his or her transferor had or had actual authority to convey unless the purchaser's rights are limited by Section 24.40.020(d).

(b) A transferee of a limited interest acquires rights only to the extent of the interest transferred. The creation or release of a security interest in a security is the transfer of a limited interest in that security.