Part 9 — Security Certificates, Registers and Transfers Division 1 Interpretation and Application
225 Lost or stolen security
adverse claim, in writing, within a reasonable time after the owner
knows of a loss, apparent destruction or wrongful taking of the
security is precluded from asserting a claim to a new security
against the issuer if the issuer has registered a transfer of the
security.
(2) If the owner of a security claims that the security has been lost,
destroyed or wrongfully taken, the issuer must issue a new security
in place of the original security if the owner
(a) so requests before the issu er has notice that the security has
been acquired by a good faith purchaser,
(b) provides the issuer with a s ufficient indemnity bond, and
(c) satisfies any other reasonab le requirements imposed by the
issuer.
(3) If, after the issue of a new security under subsection (2), a good
faith purchaser of the original security presents the original security
for registration of transfer, the issuer must register the transfer
unless registration would result in an overissue to which section
177 applies.
(4) In addition to the rights on an indemnity bond, the issuer may
recover the new security issued under subsection (2) from the
person to whom it was issued or any person taking under that
person other than a good faith purchaser.