30-8-105. Certificated securities negotiable -- statements and instructions not negotiable -- presumptions. (1) Certificated securities governed by this chapter are negotiable instruments.
     (2) Statements (30-8-408), notices, or the like sent by the issuer of uncertificated securities and instructions (30-8-308) are neither negotiable instruments nor certificated securities.
     (3) In any action on a security:
     (a) unless specifically denied in the pleading, each signature on a certificated security, in a necessary endorsement, on an initial transaction statement, or on an instruction is admitted;
     (b) if the effectiveness of a signature is put in issue, the burden of establishing it is on the party claiming under the signature but the signature is presumed to be genuine or authorized;
     (c) if signatures on a certificated security are admitted or established, production of the security entitles a holder to recover on it unless the defendant establishes a defense or a defect going to the validity of the security;
     (d) if signatures on an initial transaction statement are admitted or established, the facts stated in the statement are presumed to be true as of the time of its issuance; and
     (e) after it is shown that a defense or defect exists, the plaintiff has the burden of establishing that he or some person under whom he claims is a person against whom the defense or defect is ineffective (30-8-202).

     History: En. Sec. 8-105, Ch. 264, L. 1963; R.C.M. 1947, 87A-8-105; amd. Sec. 13, Ch. 402, L. 1983.