84-8-101. Short title. This article may be cited as the uniform commercial code—investment securities.
History: L. 1996, ch. 202, § 28; July 1.
KANSAS COMMENT, 1996
Article 8 is generally identical to the 1995 Official Text, which was substantially approved by the Uniform Laws Commission in 1994, and by the Kansas legislature in 1996. Any individual variations from the Official Text will be noted with the individual sections. Historical statutory and case law references for former provisions may be obtained from the 1965 and 1983 bound volume 7 of the Kansas Statutes Annotated.
Article 8 deals with a wide range of commercial paper, commonly called "securities," used as media for investment. The most common types of securities covered by this Article are corporate stocks and bonds, but Article 8 also applies to other types of investment paper. See 84-8-102. The system contemplates three systems of dealing with securities: (a) Direct holding where the owner of the security holds a certificate representing the ownership; (b) direct holding of uncertificated securities, common with mutual funds, in which the owner of the security is directly registered with the issuer of the security; and (c) securities held by intermediaries, in which system a jumbo certificate is issued and ownership is registered by entries in one or more security intermediaries, in which the ultimate owners are denominated owning a security entitlement. It was the development of the last system, (c) above, that prompted the redrafting of Article 8, particularly a new Part 5 to Article 8. The direct holding systems, described in (a) and (b) above, are addressed in Parts 2, 3 and 4.
Article 8 supplants those portions of the Uniform Negotiable Instruments Law that applied to investment securities, and the Uniform Stock Transfer Act, which applied to corporate stocks. Negotiable instruments such as notes and drafts are dealt with under Article 3, not Article 8. See 84-3-103, which contains the definitions for "securities" and for "financial assets."
Revisor's Note:
Former section 84-8-101 was repealed by L. 1996, ch. 202, § 91 and the number reassigned to the current text.
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