This paper sketches some of the important provisions and reasoning back of Article 8 of the Uniform Commercial Code, which will become effective September 1, 1965. It takes the security when issued and deals with the handling of the security on the market. Nebraska, not being primarily a commercial state, has relatively little case law on the subject covered by Article 8. Hence, this article will be helpful in Nebraska in that it will make certain a number of matters now not touched by legislation or case law and will avoid the necessity of trying to weave our way among the conflicting decisions of other jurisdictions. The primary purpose of this article is to facilitate the marketability on the free market of the instruments that come within the definition of investment securities. The Code uses a new vocabulary, and definitions are scattered throughout the Act. Article 8 is divided into four parts, and is one of the shorter and perhaps less controversial articles of the Code. Part 1 contains certain definitions and a number of general matters; part 2 deals with the rights and responsibilities of the issuer; part 3 deals with the rights and obligations of successive purchasers; part 4 deals with the registration and authenticating of securities.
Winthrop B. Lane,
Article 8—Investment Securities,
43 Neb. L. Rev. 792
Available at: http://digitalcommons.unl.edu/nlr/vol43/iss4/7