Part 9 — Security Certificates, Registers and Transfers Division 1 Interpretation and Application
210 Warranties of guarantor of signature
security warrants that, at the time of signing, the signer was an
appropriate person to endorse and the signature was genuine.
(2) A person who guarantees the signature of an endorser does not
otherwise warrant the rightfulness of the transfer to which the
signature relates.
(3) A person who guarantees the endorsement of a security
warrants both the signature and the rightfulness, in all respects, of
the transfer to which the signature relates, but an issuer may not
require a guarantee of endorsement as a condition to registration of
transfer.
(4) The guarantees referred to in subsections (1) to (3) are made to
any person who, relying on the guarantee, takes or deals with the
security, and the guarantor is liable to the person for any loss
resulting from breach of warranty.