30-8-302. "Bona fide purchaser" -- "adverse claim" -- title acquired by bona fide purchaser. (1) A "bona fide purchaser" is a purchaser for value in good faith and without notice of any adverse claim:
     (a) who takes delivery of a certificated security in bearer form or registered form, issued or endorsed to him or in blank;
     (b) to whom the transfer, pledge, or release of an uncertificated security is registered on the books of the issuer; or
     (c) to whom a security is transferred under the provisions of subsections (1)(c), (1)(d)(i), or (1)(g) of 30-8-313.
     (2) "Adverse claim" includes a claim that a transfer was or would be wrongful or that a particular adverse person is the owner of or has an interest in the security.
     (3) A bona fide purchaser, in addition to acquiring the rights of a purchaser (30-8-301), also acquires his interest in the security free of any adverse claim.
     (4) Notwithstanding 30-8-301(1), the transferee of a particular certificated security who has been a party to any fraud or illegality affecting the security or who as a prior holder of that certificated security had notice of an adverse claim cannot improve his position by taking from a bona fide purchaser.

     History: En. Sec. 8-302, Ch. 264, L. 1963; R.C.M. 1947, 87A-8-302; amd. Sec. 26, Ch. 402, L. 1983.