<html xmlns="http://www.w3.org/1999/xhtml"><head><meta charset="UTF-8" /><meta http-equiv='content-language' content='en-us'/><title>SDLRC - Codified Law 57A-9-106 - Control of security, security settlement, or commodity contract. </title><meta name="Generator" content="PowerTools for Open XML" /><style>span { white-space: pre-wrap; } p.s2073648Normal { text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2073648SENU { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2073648CL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } p.s2073648Normal-000000 { text-indent: 0.50in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } span.s2073648DefaultParagraphFont { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } p.s2073648Normal-000001 { text-indent: 0.25in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-left: 0; margin-right: 0; margin-bottom: .001pt; } p.s2073648Normal-000002 { margin-left: 0.70in; text-indent: -0.45in; text-align: justify; font-family: 'Times New Roman', 'serif'; font-size: 12pt; line-height: 108%; margin-top: 0; margin-right: 0; margin-bottom: .001pt; } span.s2073648000003 { font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } span.s2073648SCL { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: bold; margin: 0; padding: 0; } span.s2073648SCL-000004 { font-family: 'Times New Roman', 'serif'; font-size: 12pt; font-style: normal; font-weight: normal; margin: 0; padding: 0; } body { text-decoration-skip-ink: none; } </style></head><body><div><p dir="ltr" class="s2073648Normal"><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=57A-9-106"><span class="s2073648SENU">57A-9-106</span></a><span xml:space="preserve" class="s2073648SENU">. </span><span class="s2073648CL">Control of security, security settlement, or commodity contract.</span></p><p dir="ltr" class="s2073648Normal-000000"><span xml:space="preserve" class="s2073648DefaultParagraphFont">(a) A person has control of a certificated security, uncertificated security, or security entitlement as provided in § </span><a href="https://sdlegislature.gov/Statutes/Codified_Laws/DisplayStatute.aspx?Type=Statute&amp;Statute=57A-8-106"><span class="s2073648DefaultParagraphFont">57A-8-106</span></a><span class="s2073648DefaultParagraphFont">.</span></p><p dir="ltr" class="s2073648Normal-000001"><span class="s2073648DefaultParagraphFont">(b) A secured party has control of a commodity contract if:</span></p><p dir="ltr" class="s2073648Normal-000002"><span class="s2073648DefaultParagraphFont">(1)    The secured party is the commodity intermediary with which the commodity contract is carried; or</span></p><p dir="ltr" class="s2073648Normal-000002"><span class="s2073648DefaultParagraphFont">(2)    The commodity customer, secured party, and commodity intermediary have agreed that the commodity intermediary will apply any value distributed on account of the commodity contract as directed by the secured party without further consent by the commodity customer.</span></p><p dir="ltr" class="s2073648Normal-000001"><span class="s2073648DefaultParagraphFont">(c) A secured party having control of all security entitlements or commodity contracts carried in a securities account or commodity account has control over the securities account or commodity account.</span></p><p dir="ltr" class="s2073648Normal"><span xml:space="preserve" class="s2073648000003"> </span></p><p dir="ltr" class="s2073648Normal"><span class="s2073648SCL">Source:</span><span xml:space="preserve" class="s2073648SCL-000004"> SL 2000, ch 231.</span></p></div></body></html>