---
title: O.C.G.A. § 11-8-505. Duty of securities intermediary with respect to payments and distributions.
collection: code
id: 11-8-505
cite_as: O.C.G.A. § 11-8-505 (2025)
canonical_url: https://georgiacommons.org/code/11-8-505
md_url: https://georgiacommons.org/code/11-8-505.md
text_url: https://georgiacommons.org/code/11-8-505/text
source_url: https://www.legis.ga.gov/api/document/docs/default-source/joint-features-document-library/t11-(v9)-2022-pdf.pdf?sfvrsn=b5451bbd_0#page=696
date: 2025
status: active
corpus_version: 2025-supplement-89aa39ab3c68
license: CC0-1.0
publisher: Georgia Commons, an independent project of Georgia Civic Data. Not the State of Georgia. Not legal advice.
up: https://georgiacommons.org/code/11-8.md
previous: https://georgiacommons.org/code/11-8-504.md
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index: https://georgiacommons.org/code/index.md
version: the only printed version
in_force: true
current_through: Including Acts of the 2025 Regular Session of the General Assembly
heading_path: COMMERCIAL CODE / INVESTMENT SECURITIES / SECURITY ENTITLEMENTS
---

# O.C.G.A. § 11-8-505. Duty of securities intermediary with respect to payments and distributions.

(a) A securities intermediary shall take action to obtain a payment or distribution made by the issuer of a financial asset. A securities intermediary satisfies the duty if:

(1) The securities intermediary acts with respect to the duty as agreed upon by the entitlement holder and the securities intermediary; or

(2) In the absence of agreement, the securities intermediary exercises due care in accordance with reasonable commercial standards to attempt to obtain the payment or distribution.

(b) A securities intermediary is obligated to its entitlement holder for a payment or distribution made by the issuer of a financial asset if the payment or distribution is received by the securities intermediary.

## History

Code 1981, § 11-8-505, enacted by Ga. L. 1998, p. 1323, § 1.